To strengthen the transmission system in the state Bihar State Power Holding Co. Ltd (BSPHCL) inked a memorandum of understanding with Power Grid Corp. of India to form a joint venture company, Bihar Grid Co. Ltd.
The 50:50 joint venture firm would start work from April 2, 2013 to speed up the process of supplying energy from power generation plants.
India will see a predicted 4,500 MW of new generation coming online by June 2015. About 8,000 MW, including the central sector allocation, will be added by the end of 2016-17. This presents the problem of adding new transmission.
The transmission of this amount would require wide networks and enhanced distribution system, which would include creation of new grid substations and transmission lines.
The joint venture will also take on the generation-linked scheme that included transmission system for evacuation of power from Lakhisarai, Pirpainti and Buxar generation projects.