Power Grid Board approves plans to invest Rs 575 crore

Central transmission utility Power Grid Corporation today announced investments of over Rs 575 crore for two projects.

"Board of directors of the company have approved the investment approval for Eastern Region Strengthening Scheme at an estimated cost of Rs 196.58 crore, with commissioning schedule of 24 months from the date of investment approval," Power Grid Corp said in a stock exchange filing.

The company approved an investment of Rs 378.71 crore for setting up a transmission system associated with the Kakrapar Atomic Power Project, with a commissioning schedule of 32 months.

The state-owned firm plans to invest more than Rs 61,000 crore in the next three financial years, with a significant chunk of funds to be raised by way of bonds and debentures.

Of the total amount, the company may raise Rs 37,641 crore through bonds or debentures and Rs 7,770 crore through multilateral funding or external commercial borrowings.

The remaining amount may come from internal accruals. Power Grid shares traded at Rs 94.05, down 0.58 per cent, on the BSE.