Power Grip Corp board approves investment proposals of Rs 810 cr, JV with RVPNL

GE Power India | CMP: Rs X | Shares surged over 6 percent after the company secured a Letter of Intent (LoI) for a contract valued at Rs 243.46 crore from NTPC GE Power Services Pvt Ltd (NGSL).

Power Grid Corporation of India’s (PGCIL's) board on June 21 approved several investment proposals worth Rs 810 crore, the company said in a regulatory filing.

The company will invest Rs 117.51 crore in upgrading an existing facility in Madhya Pradesh. The project will be commissioned in 18 months, according to the statement.

In another facility in Kurnool, the company will augment transformation capacity at a cost of Rs 163.61 crore, scheduled to be commissioned
within 21 months from the date of intimation by CTUIL letter.

PGCIL will also invest Rs 104.22 crore for upgradation works at a plant in Telangana's Veltoor, while it will carry out an upgradation project worth Rs 424.21 crore for the implementation of unified load dispatch and communication phase-3 in the eastern region, it said.

Meanwhile, the government-run company's board also gave an in-principle approval for the formation of a joint venture with Rajasthan Rajya Vidyut Prasaran Nigam Limited (RVPNL) for the development of intra-state transmission system in Rajasthan, the stock filing said.

The development is subject to approvals from the power ministry, department of investment and public asset management (DIPAM), Niti Aayog and other statutory authorities, the state-run company added.

The shares of the company were trading at Rs 326.2, marginally higher by 0.51 percent on NSEAT 13:15 pm on June 21.