Developer: Power Grid Corporation of India Limited (POWERGRID), the country’s largest power network developer and state-owned transmission company
Project details and status: The project, titled “Transmission system for integration of power from renewable energy projects in Lakadia REZ in Gujarat – Phase II (7,500 MW)”, entails the development of an interstate transmission system (ISTS) to strengthen the transmission network and facilitate the evacuation of renewable energy from the Lakadia renewable energy zone (REZ) in Gujarat.
The project scope includes establishing new 765/400 kV and 400/220 kV substations at Lakadia-II, near Chitrod, supported by 6×1,500 MVA 765/400 kV and 10×500 MVA 400/220 kV interconnecting transformers (ICTs). It also includes a 22 km line-in line-out (LILO) of the existing 765 kV Halvad–Kandla D/C line; a 190 km, 765 kV Lakadia-II–Ahmedabad D/C line; and a 220 km, 765 kV Lakadia-II–Vataman D/C line. The project also involves establishing a 6,000 MW, ±800 kV Lakadia-II HVDC terminal using line-commutated converter (LCC) technology, comprising four 1,500 MW units, associated 400 kV AC equipment, and two +300/-200 MVAr synchronous condenser (SynCon) units.
The project is being developed through the project-specific special purpose vehicle (SPV) Lakadia II Power Transmission Limited and has been awarded under the tariff-based competitive bidding (TBCB) route. The bid process coordinator (BPC) for the transmission project is REC Power Development and Consultancy Limited (RECPDCL), a wholly owned subsidiary of REC Limited under the Indian Ministry of Power (MoP). The estimated cost of the scheme has been reported as INR82.38 billion
In January 2026, the 37th National Committee on Transmission (NCT) considered the transmission scheme for integrating 7.5 GW of renewable energy capacity from Lakadia REZ.
In February 2026, the Ministry of Power (MoP) approved the scheme for implementation through the tariff-based competitive bidding (TBCB) route, with RECPDCL appointed as the BPC. In the same month, the 38th NCT meeting modified part of the scheme, including the location of the 330 MVAr switchable line reactors associated with the Lakadia-II–Ahmedabad 765 kV D/C line.
In May 2026, RECPDCL issued Amendment-I to the request for proposal (RfP) documents, formally identifying the project-specific SPV as Lakadia II Power Transmission Limited. It also issued the request for proposal (RfP) for the project, dated May 4, with a bid deadline of July 6, 2026
In June 2026, POWERGRID issued a tender for two synchronous condenser units at the 400 kV level of the 765/400/220 kV Lakadia-II Substation near Chitrod. The package is associated with the 7,500 MW Lakadia REZ Phase-II transmission system.
In July 2026, POWERGRID invited bids for transmission line package TL05, covering Part-II of the 765 kV Lakadia-II–Vataman D/C line, with a closing date of July 20, 2026.
In August 2026, POWERGRID emerged as the L1 bidder for the Lakadia-II TBCB scheme following the e-reverse auction.
In September 2026, POWERGRID received a letter of intent (LoI) for ISTS project under the TBCB route. The project has quoted annual transmission charges of INR11.52 billion.
The project is scheduled for commissioning within 36 months of the effective date.
(INR1=USD0.010)
