India’s transmission network continues to scale new milestones, with steady growth in both line length and transformation capacity. As of May 2025, the total length of transmission lines at the 220 kV level and above stood at 494,994 ckt km, while the AC transformation capacity was 1,354,103 MVA. During 2024-25, India added 8,830 ckt km of transmission line length and 86,433 MVA of transformation capacity. The current pace of network expansion indicates a strong alignment with the Central Electricity Authority’s (CEA’s) long-term vision and a special focus on integrating and supporting India’s renewable energy trajectory. In order to meet the national target of 500 GW of non-fossil-fuel-based capacity by 2030, developing the transmission network is a critical priority.
Policy and regulatory developments
In June 2025, the Ministry of Power introduced key amendments to the standard bidding documents for transmission projects implemented under the tariff-based competitive bidding (TBCB) route. The amendment has relaxed norms for the location of new substations associated with interstate transmission system (ISTS) schemes. The ministry has now allowed differentiated limits based on substation function.
In April 2025, the Central Electricity Regulatory Commission notified the Fourth Amendment to the Connectivity and General Network Access to the Interstate Transmission System Regulations. The amendment introduces several measures to streamline project timelines and improve accountability. It mandates bank guarantees for developers adding new generation capacity and requires them to maintain their shareholding structure until the commercial operation date. The amendment also introduces the concept of restricted connectivity, allowing wind and energy storage-based plants to utilise existing substations during non-solar hours.
In March 2025, the CEA issued guidelines for the strategic placement of phasor measurement units (PMUs) across the grid. These guidelines prioritise PMU installation at key substations, inter regional transmission corridors and renewable energy injection points to improve real-time grid monitoring and stability.
In March 2025, the Ministry of Power issued revised RoW compensation guidelines. The ministry has introduced a two-part compensation model for land value for tower base areas and pro rata rates (30-60 per cent) for RoW corridors, which will be based on the type of land.
Renewable energy integration
As India moves towards its ambitious renewable targets, strengthening grid infrastructure to accommodate large-scale renewable energy integration has become a key focus area for both planners and utilities.
A significant portion of the upcoming renewable capacity will be concentrated in resource-rich states such as Rajasthan, Gujarat and Tamil Nadu. To address this, the CEA, in its report on the “Transmission System for Integration of over 500 GW of Renewable Energy Capacity by 2030” outlines a transmission expansion plan requiring the addition of 50,890 ckt km of transmission lines and 433,575 MVA of substation capacity. This includes approximately 8,120 ckt km of high-voltage direct current (HVDC) corridors, 25,960 ckt km of 765 kV AC lines and significant additions at 400 kV and 220 kV levels.
Meanwhile, the implementation of green energy corridors (GEC) continues to progress. Under GEC-I, the interstate component is complete, while intra-state networks are over 90 per cent complete in terms of both transmission line and transformation capacity addition. Under GEC-II, aimed at integrating an additional 19.4 GW of renewable energy, utilities are in the process of tendering projects to add 10,753 ckt km of lines and 27,546 MVA of substation capacity by 2025-26.
Technology trends
Transmission utilities are also leveraging advanced digital tools and predictive maintenance technologies to monitor network health and pre-empt failures. Drones equipped with thermal imaging, high resolution video and corona cameras are now used for aerial inspections of transmission lines and substations. Urban expansion and land constraints have pushed transmission developers to adopt hybrid substation configurations, combining conventional air-insulated and compact gas-insulated switchgear. At locations such as Hapur and Ghaziabad, 220 kV substations have been upgraded using such hybrid designs. Some utilities such as Karnataka Power Transmission Corporation Limited are also exploring underground GIS substations to serve high-density urban areas while minimising the land footprint.
Mobilising private capital
With an investment requirement of over Rs 9.16 trillion projected under the National Electricity Plan for the period 2023-32, the segment’s financial needs far exceed what can be supported through public funding alone. To meet these demands, the sector is increasingly turning to alternative financing models and seeking deeper participation from private investors. One of the most notable developments in recent years has been the growing use of infrastructure investment trusts (InvITs) to monetise operational transmission assets. Power Grid Corporation of India Limited (Powergrid), the country’s largest transmission utility, has already transferred five TBCB-based projects to its InvIT platform. As private capital flows into the sector, regulatory clarity and risk mitigation mechanisms become increasingly important. The recent changes to transmission licensing norms, including longer licence durations and clear conditions for renewal, are expected to improve investor confidence and attract long-term institutional capital.
Challenges in transmission expansion
According to the CEA’s recent progress update on under-construction transmission projects, the majority of delays in FY 2025 were due to difficulties in securing forest clearances and obtaining approvals from the Power and Telecommunication Coordination Committee. In many cases, land acquisition hurdles, environmental clearances and local opposition have pushed project timelines well beyond their original schedules.
RoW acquisition continues to delay several critical projects. Despite updated compensation norms and procedural reforms, transmission developers face hurdles in securing forest clearances, obtaining approvals from multiple authorities and addressing local community concerns.
As per industry stakeholder discussions conducted by Power Line magazine, the case for a centralised single-window clearance system has gained prominence in forum discussions. Integrating various departments into a unified platform could help streamline RoW approvals and improve visibility across the project life-cycle. Complementing this, the digitisation of land records and the use of geographic information system (GIS)-based utility corridor mapping can enhance route optimisation and help identify low-conflict transmission paths early in the planning process.
Alongside efforts to ease land and route approvals, project developers are engaging with local communities to help reduce delays. For example, Powergrid has deployed local teams comprising women representatives from nearby communities to conduct outreach activities during project implementation. These teams help build community trust by addressing local concerns and facilitating smoother coordination during land acquisition and construction phases.
The push towards offshore wind development has introduced new transmission challenges. Offshore wind farms require dedicated subsea cables, offshore substations and high-capacity HVDC or HVAC systems to connect to the mainland grid. These installations are significantly more expensive than their onshore counterparts. As per the CEA estimates, the transmission cost of offshore wind stands at Rs 28.1 million per MW, nearly three times the cost of onshore wind or solar evacuation. While policy measures such as ISTS waivers and viability gap funding have been introduced, actual execution remains constrained by the lack of marine infrastructure.
The increasing penetration of renewables also demands a grid that can manage variable and bidirectional power flows. While technologies such as STATCOMs, HVDC systems and digital diagnostics offer part of the solution, large-scale deployment is often constrained by funding and capacity-building gaps.
Future outlook
The policy landscape for power transmission in India has evolved significantly over the past year. As per the NEP (2023-32), a substantial transmission infrastructure build-out is expected to meet the country’s energy transition goals. During the 2022-27 period, the plan projects the addition of 114,687 ckt km of transmission lines and 776,330 MVA of transformation capacity, at an estimated investment of Rs 4,252.22 billion. For the subsequent period (2027-32), a further 76,787 ckt km and 497,855 MVA are expected, requiring Rs 4,909.2 billion. These additions are aimed at supporting the expected increase in power demand, meeting growing renewable capacity and facilitating cross-border interconnections.
With the energy transition accelerating and demand patterns evolving rapidly, the transmission segment will need to be prepared in advance. A central pillar of this transformation will be the wider deployment of HVDC systems. HVDC technology offers significant advantages for long-distance, bulk power transmission and enhancing grid stability. It also enables secure power transfers across regions and facilitates renewable energy integration from remote generation zones to distant load centres.
At the same time, digitalisation will play an increasingly important role in shaping the next phase of grid operations. Advanced analytics, AI-enabled diagnostics and predictive maintenance are already being adopted by transmission utilities to monitor asset health and improve operational efficiency. Over time, these capabilities will support more flexible and adaptive grid behaviour, allowing real-time response to variability in supply and demand.
India’s ambitions also extend beyond national borders. As part of the One Sun One World One Grid (OSOWOG) initiative, the country is exploring cross-border electricity trade with regions in the Middle East and Southeast Asia. These developments underscore the potential of transmission infrastructure not just as a domestic enabler, but as a tool for regional energy diplomacy and cooperation.