New Delhi: The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the Green Energy Corridor Phase-III (GEC-III) scheme to strengthen India’s intra-state power transmission network and facilitate the integration of renewable energy.
The scheme aims to enable evacuation of up to 135 GW of renewable energy across states and Union territories by FY 2032-33.
The programme has a total outlay of ₹1,86,405 crore, including ₹1,36,378 crore for intra-state transmission infrastructure and ₹50,000 crore for deploying 50 GWh of Battery Energy Storage Systems (BESS).
The Centre will provide ₹54,082 crore in financial support. According to the government, the assistance will help reduce intra-state transmission charges and, in turn, contain power costs for consumers.
The BESS component will be deployed at renewable energy generation sites or other strategically important locations to address challenges arising from intermittent renewable power generation.
The storage systems are expected to help manage grid congestion, peak-hour curtailment and electricity demand during non-solar hours.
Greenfield transmission projects will be implemented through Tariff Based Competitive Bidding, while brownfield upgrades and network-strengthening works will follow a cost-plus model. State Transmission Utilities will oversee implementation.
The government said GEC-III will support India’s target of 900 GW of installed non-fossil fuel capacity by 2035 and contribute to long-term energy security and lower carbon emissions.
The scheme is also expected to create employment across power transmission, manufacturing and construction, while boosting India’s domestic battery storage industry and generating skilled jobs in grid operations and maintenance.
