Four new substations to boost city’s energy capacity

As the close to hour-long power blackout in Mumbai last month exposed the condition of clogged power transmission systems, the budget has made an allocation to boost this infrastructure

Mumbai Despite the Covid-induced stress, Maharashtra is gearing up to become an attractive destination for industries, with the budget announcing schemes to lure investors.

Officials from the state energy department said that the substations would come up at Velgaon (Palghar), Kalwa and Pimpalgaon (Nashik) and each of them would add 500 MW transmission capacity to Mumbai (HT Photo)

As the close to hour-long power blackout in Mumbai last month exposed the condition of clogged power transmission systems, the budget has made an allocation to boost this infrastructure.

“Despite the economic slowdown, a total of 98 investment agreements were signed by the industries department with eminent industries under Magnetic Maharashtra 2.0. Out of this, an investment of ₹1.89 lakh crore is expected in the state. It is estimated that 3.30 lakh new employment opportunities will be generated,” said deputy chief minister and finance minister Ajit Pawar in his budget speech.

“It is imperative to increase the capacity of Mumbai transmission system,” added Pawar. Accordingly, four substations with a capacity of 400 KV and one high-voltage, direct current (HVDC) project will be operationalised at a cost of ₹11,530 crore.

Officials from the state energy department said that the substations would come up at Velgaon (Palghar), Kalwa and Pimpalgaon (Nashik) and each of them would add 500 MW transmission capacity to Mumbai. The work, which is being undertaken by Maharashtra State Electricity Transmission Company Limited (MSETCL), is expected to cost ₹500 crore, ₹450 crore and ₹300 crore, and is awaiting approval from the state power regulators. The projects are expected to be commissioned in around two years.

Adani Transmission Limited (ATL) is undertaking work on a transmission line and sub-station project from Kharghar to Vikhroli which will enhance the power supply by 1,000 MW and will be completed by 2023-end. The other project, which will also add 1,000 MW transmission capacity, is the Kudus-Aarey high voltage direct current (HVDC) corridor, which will be partly underground, and will be completed in around three years by Adani Electricity Mumbai Limited (AEML).

Continuing with the state government’s thrust on boosting the use of electric vehicles (EVs), Pawar said, “The target is to increase the share of electric vehicles to 10 per cent in new vehicle registrations by 2025 and the share of public transport in major cities to 25 per cent. The target is to build 5,000 charging facilities by 2025.” The state has a ‘Maharashtra Electric Vehicle Policy-2021,’ which will be in force till 2025. He noted that from April 1 2021 to 27 December 2021, registrations of electric vehicles in the state rose by 157%.

Over a lakh candidates have submitted investment proposals under the ‘Chief Minister Employment Generation Programme.’ Out of this, 9,621 proposals have been approved by various banks, through which investments of ₹1,100 crore have been made. In the coming year, more than 30,000 self-employment projects will create about 1 lakh direct and indirect employment opportunities, Pawar added.

The budget also aimed at increasing entrepreneurship among sections like tribals and women. It has proposed a tribal industrial cluster at Dindori in Nashik district to provide infrastructural facilities and support startups launched by members of the tribal communities. To mark the 100th death anniversary of Pandita Ramabai, who dedicated her life for rehabilitation of widows, Pawar announced the ‘Pandita Ramabai Smriti Shatabdi Mahila Udyojak Yojana,’ under which women who were widowed due to Covid will be assisted to launch self-employment initiatives. The Maharashtra Economic Development Corporation will repay 100% interest on capital loans.

The state government also plans to set up solar power projects with a capacity of 577 MW at Kodgaon and Shindala (Latur), Sakri (Dhule), Washim, Kachrala (Chandrapur) and Yavatmal. Apart from this, a solar energy park with 2,500 MW capacity will be developed.