Mumbai HVDC link adds 1,000MW green power in 2026

What was completed and why it matters

Adani Energy Solutions Ltd (AESL) has completed the Kudus-Aarey High Voltage Direct Current (HVDC) project, a 320 kV transmission link planned to bring an additional 1,000 MW of renewable energy into Mumbai’s grid. An official described it as among the most critical upgrades to Mumbai’s transmission infrastructure in nearly 25 years. The link is designed to bulk inject power into the city from renewable sources across the national grid. For Mumbai, which increasingly depends on imported power, this adds a new corridor meant to reduce constraints during high-load periods. The project is also positioned as a grid-stability upgrade, not just an incremental capacity addition.

Commissioning timeline: March and early 2026 references

The reporting around the project carries two timeline markers. One account notes the Kudus-Aarey HVDC project is expected to be commissioned in March. Separately, AESL has said it is on track to commission the underground cable section of its Mumbai HVDC transmission project by early 2026. The underground component highlighted in the update is a 50 km Extra High Voltage (EHV) cable stretch between the Shirsad Transition Station and the Aarey EHV Station. These references indicate construction completion and commissioning milestones are being tracked in phases, with commissioning dates tied to specific sections.

Project configuration: 80 km corridor with overhead and underground lines

The Mumbai HVDC project spans 80 km and connects the 400 kV Kudus substation to the 220 kV Aarey substation. Of the total, 50 km is planned as underground cable and 30 km as overhead transmission lines. An official said the work involved complex engineering, including around 30 km of overhead and 50 km of underground lines. The underground routing included stretches along the Western Express Highway and a national highway, requiring detailed planning and traffic coordination. Despite these execution challenges, the official said the project was completed within timelines.

Technology: Voltage Source Converter-based HVDC

AESL is using Voltage Source Converter (VSC)-based HVDC technology for the Kudus-Aarey link. The stated advantage is precise and fast control of power flow into Mumbai. This is aimed at strengthening voltage stability when demand fluctuates. In dense urban networks, such controllability is often positioned as a resilience tool, particularly when import dependence rises. The HVDC configuration is also described as superior to conventional approaches because it can stabilise power distribution networks and reduce synchronisation problems that can lead to cascading failures.

Why Mumbai’s grid needs additional corridors

Mumbai is described as an island city with only 1,800 MW of embedded generation capacity. The city’s current peak demand is cited at 4,000 MW, with expectation that demand could touch 5,000 MW by FY25. Another projection included in the reports puts demand at 8,000 MW by 2027. Existing transmission corridors are described as facing capacity-constraint risks. A major blackout event on October 12, 2020 is referenced as an example of grid constraints affecting the entire city. In this context, the Kudus-Aarey interface is positioned as a new link between Mumbai and the state and national grids.

Capital, financing, and project vehicle details

AESL has described the project as a $1 billion green HVDC link and announced financial close for it. One report notes a $100 million financial closure with nine international banks for the under-construction HVDC transmission link between Kudus and Aarey. The banking consortium listed includes DBS Bank Ltd., Intesa Sanpaolo S.p.A., Mizuho Bank Ltd., MUFG Bank Ltd., Siemens Bank GmbH, Société Générale, Standard Chartered Bank, Sumitomo Mitsui Banking Corp. and The Hong Kong Mortgage Corp. The financing is described as part of a $100 million revolving project finance facility tied up in October 2021 for an under-construction transmission assets portfolio, using a platform infrastructure financing framework.

The implementation is attributed to Adani Electricity Mumbai Infra Ltd (AEMIL), described as a wholly owned subsidiary within the Adani Electricity Mumbai group structure, and referenced as the project special purpose vehicle for an intrastate project on a regulated tariff mechanism (RTM) basis. An order for building the 80 km HVDC link is stated to have been placed on Hitachi Energy India Ltd.

A related upgrade: Kharghar-Vikhroli line commissioned in Oct 2023

AESL’s Mumbai transmission buildout has also included other corridors. In October 2023, AESL commissioned the Kharghar-Vikhroli transmission line, bringing 1,000 MW additional electricity to Mumbai. That project included about 74 circuit kilometres of 400 kV and 220 kV lines and a gas-insulated substation at Vikhroli. It was described as Mumbai’s first 400 kV substation of its kind, including towers built in creeks using heavy rigs on floating barges. The Kudus-Aarey HVDC link adds another 1,000 MW injection capability, but is framed specifically around renewable supply and controllable power flow.

Renewable mix targets linked to the project

Adani Electricity Mumbai Ltd (AEML) is described as the largest electricity distribution company and has committed to increasing the share of renewable energy in its overall mix to 60% by 2027. Another update states it had already achieved an earlier target of 30%. The HVDC link is presented as an enabling piece of infrastructure for that shift, by allowing more renewable power to be imported and managed within Mumbai’s grid.

Key facts at a glance

What to watch next

The immediate marker to track is commissioning, which the reports link to March and to early 2026 for the underground cable section. Operationalisation, rather than construction completion alone, will determine when the full 1,000 MW injection capability is available to Mumbai. The city’s rising demand projections and its limited embedded generation capacity keep transmission corridors central to reliability planning.