POWERGRID wins 2026 green hydrogen transmission bid

Kakinada project win under TBCB

State-owned Power Grid Corporation of India Ltd (POWERGRID) said it has been declared the successful bidder under the tariff-based competitive bidding (TBCB) route to establish an inter-state transmission system project in Andhra Pradesh. The project is titled “Transmission system for proposed Green Hydrogen / Green Ammonia projects in Kakinada area (Phase-I)”. It will be executed on a Build, Own, Operate and Transfer (BOOT) basis. POWERGRID said it received the Letter of Intent (LoI) on June 12, 2026. The announcement positions the company as a key grid developer for transmission infrastructure linked to upcoming green hydrogen and green ammonia capacities in the Kakinada area.

What the scope includes

POWERGRID stated that the Kakinada Phase-I transmission scope includes a new 765/400 kV GIS substation along with STATCOM and 765 kV transmission line works in Andhra Pradesh. The combination indicates both evacuation capability and grid stability equipment being planned as part of the package. A GIS substation at 765/400 kV typically supports high-capacity power transfer within constrained land footprints, aligning with large industrial load and renewable integration requirements. The STATCOM element is generally used for dynamic reactive power support, which is relevant in networks with variable renewable generation and large connected loads.

Acquisition completion date disclosed

The provided article text also states that the acquisition was completed on June 29, 2026, after POWERGRID emerged as the successful bidder under the TBCB process. No additional details are provided in the text on the asset acquired or transaction structure. The June 29 date indicates a post-award completion step that followed the competitive bidding outcome.

Another 2026 TBCB win: Karnataka renewable integration

Separately, POWERGRID has also been selected as the winning bidder for an inter-state transmission system project that focuses on strengthening the transmission system to integrate additional renewable energy potential at Davanagere and Bellary in Karnataka. The company disclosed this to the National Stock Exchange of India and BSE Limited on January 8, 2026. POWERGRID said the LoI was dated January 7, 2026, and it was received the following day.

This Karnataka project is designed to support the evacuation and integration of 3 GW of renewable energy capacity, with 0.25 GW at Davanagere and 2.75 GW at Bellary. POWERGRID also said it will construct a 400 kV double-circuit transmission line passing through Karnataka. The stated objective is to strengthen integration of renewable energy into the grid, using a competitively bid tariff framework.

Inter-regional strengthening projects: SR-ER and SR-WR

POWERGRID has also been declared successful bidder under TBCB for inter-regional strengthening projects awarded on the BOOT model. One such project is titled “Inter-Regional Strengthening between SR Grid and ER Grid”, with the LoI received on December 15, 2025. The scope includes 765 kV double-circuit transmission lines traversing through Odisha and Andhra Pradesh, along with associated line bays and reactor works at both ends.

Another project mentioned is titled “Inter-Regional Strengthening between SR Grid and WR Grid”, for which POWERGRID received the LoI on September 29, 2025. The scope includes 765 kV double-circuit transmission lines traversing through Karnataka and Maharashtra, along with associated line bays at both ends. The article text notes that this initiative is expected to enhance inter-regional power transfer capacity between the Southern and Western grids.

Wider TBCB pipeline: Madhya Pradesh and multiple ISTS awards

The provided text also references a TBCB success for establishing a transmission system in Madhya Pradesh, where POWERGRID received a Letter of Intent on April 1, 2025. In addition, the text notes that POWERGRID has been declared the successful bidder under TBCB for three major Inter-State Transmission System (ISTS) projects under the BOOT model.

Among those, the third project cited is “Transmission System for Integration of Kurnool-IV REZ - Phase-I (for 4.5 GW)”, which entails the establishment of a new 765/400/220kV pooling substation in Kurnool, Andhra Pradesh. The text does not provide the LoI date for this specific Kurnool-IV REZ Phase-I project.

Key facts at a glance

Market impact: what these awards indicate

The repeated TBCB wins across states and corridors point to the continued use of competitive bidding to expand India’s inter-state transmission system. The Kakinada award connects transmission planning with industrial-scale green hydrogen and green ammonia projects, where grid infrastructure is required for reliable power supply and integration. The Karnataka award explicitly ties transmission build-out to renewable energy evacuation and integration, with the 3 GW figure providing a clear indicator of the scale. Inter-regional strengthening awards, including SR-ER and SR-WR, reflect ongoing efforts to expand transfer capability between major regional grids through new 765 kV corridors.

Why the Kakinada project matters

The Kakinada Phase-I project is notable because it is framed around transmission requirements for proposed green hydrogen and green ammonia developments, rather than only renewable generation pooling. The stated inclusion of a STATCOM signals attention to grid stability needs in addition to pure capacity augmentation. And the BOOT model indicates that the asset will be developed, owned, and operated for a period before transfer, aligning execution incentives with long-term operational performance.

Conclusion

POWERGRID’s June 12, 2026 LoI for the Kakinada green hydrogen transmission system adds another BOOT-based TBCB project to its pipeline, alongside Karnataka renewable integration and inter-regional strengthening works. The text also notes a June 29, 2026 acquisition completion linked to a TBCB win, and earlier LoIs across 2025 and 2026 for SR-ER, SR-WR, and other ISTS projects. The next milestones for investors to track will be subsequent statutory and project execution updates that follow these LoIs and award disclosures.