REC Power Development and Consultancy Limited (RECPDCL), a wholly owned subsidiary of Maharatna CPSE REC Limited, has transferred Nawada Durgapur Power Transmission Limited, the project-specific special purpose vehicle (SPV) for the inter-state transmission scheme “ERES-47: Nawada – Durgapur – Jeerat (New) 765kV corridor”, to Shivalaya Construction Limited. The transfer was completed on October 16, 2026, after Shivalaya emerged as the successful bidder in the tariff-based competitive bidding (TBCB) process conducted by RECPDCL as the Bid Process Coordinator (BPC). Shivalaya will now develop the project on a build, own, operate and transfer (BOOT) basis.
Transaction Details
In its disclosure to NSE and BSE under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, REC Limited stated that the entire shareholding of the SPV, comprising 50,000 equity shares held by RECPDCL, was transferred along with all its assets and liabilities after receipt of the necessary consideration. The Share Purchase Agreement between RECPDCL and the successful bidder was executed on the same day.
The consideration comprises an acquisition price of ₹18,44,62,442 (about ₹18.45 crore) including taxes, which covers professional fees and reimbursement of expenses incurred during project development. REC clarified that the amount was determined in accordance with Ministry of Power guidelines, that the buyer does not belong to its promoter or promoter group, and that the transaction is neither a related-party transaction nor a slump sale. With effect from October 16, 2026, the SPV is no longer a subsidiary of RECPDCL or REC Limited.
From Planning to Award
According to the Request for Proposal (RFP) issued by RECPDCL, a 765 kV ring had been planned in the Eastern Region linking Ranchi (New), Medinipur, Jeerat (New), Gokarna, Banka and Gaya. Of this, the Ranchi (New)–Medinipur–Jeerat (New) 765 kV double-circuit line has already been implemented. Operational feedback highlighted the need to complete the balance portion to improve regional reliability and power supply to the Kolkata area, and a joint study meeting of Eastern Region stakeholders on September 25, 2025 agreed on the new Nawada–Durgapur–Jeerat (New) route for this purpose.
After deliberations in the 47th and 48th Consultation Meetings for Evolving Transmission Schemes in the Eastern Region (CMETS-ER) and recommendation by the 55th TCC and ERPC meetings in December 2025, the 38th meeting of the National Committee on Transmission (NCT) approved the scheme for TBCB implementation on February 25, 2026. The Ministry of Power notified the scheme through a Gazette Notification dated March 24, 2026, appointing RECPDCL as BPC.
RECPDCL issued the single-stage RFP on June 9, 2026, with bids due on August 11, 2026 on the MSTC electronic bidding platform. Bidders had to furnish a bid bond of ₹55.32 crore and demonstrate a minimum net worth of ₹1,106.40 crore. The successful bidder was to be selected on the basis of the lowest quoted annual transmission charges discovered through e-reverse auction.
Project Scope
The project, to be established across Bihar, Jharkhand and West Bengal, comprises six elements:
- A new 765/400/220 kV substation at Nawada, Bihar, with 2×1,500 MVA 765/400 kV ICTs, 2×500 MVA 400/220 kV ICTs, 2×330 MVAr 765 kV bus reactors and two 125 MVAr 420 kV bus reactors, along with space for future expansion.
- A new 765 kV switching station at Durgapur, West Bengal, with 2×330 MVAr bus reactors and provision for a 765/400 kV level in future.
- Line-in-line-out (LILO) of the Gaya–Ballia 765 kV single-circuit line at Nawada.
- Nawada–Durgapur (New) 765 kV double-circuit line.
- Durgapur (New)–Jeerat (New) 765 kV double-circuit line.
- Extension at the existing Jeerat (New) 765/400 kV substation, including two line bays and switchable line reactors.
Significance for the Eastern Grid
Beyond completing the 765 kV ring, the Nawada substation will meet the drawal requirement of Bihar State Power Transmission Company Limited (BSPTCL), which is to build the Nawada–Guraru 220 kV double-circuit line and the Guraru 220/132 kV substation in a matching time frame. The corridor will also be used to grant 1,200 MW of inter-state transmission system (ISTS) connectivity to NTPC’s Nabinagar Super Thermal Power Project Stage-II (3×800 MW), for which two 400 kV line bays have been included at Nawada.
Timeline and Commercial Framework
The scheduled commercial operation date (SCOD) for the overall project is March 31, 2029. The RFP links the recovery of transmission charges to individual elements: the Nawada–Durgapur (New) line accounts for 35.61% of the quoted charges, the Durgapur (New)–Jeerat (New) line 23.26%, the Nawada substation 18.08%, the LILO 11.67%, the Durgapur switching station 8.37% and the Jeerat extension 3.01%.
As the transmission service provider, the SPV must now obtain a transmission licence from the Central Electricity Regulatory Commission (CERC), which will also adopt the discovered tariff, and seek approval from the Central Electricity Authority under Section 164 of the Electricity Act, 2003. The transmission charges, quoted as a single annual figure for 35 years from SCOD, will be paid by Designated ISTS Customers through the Central Transmission Utility (CTU) under the CERC Sharing Regulations. On completion of 35 years from COD, all project assets, including substation land, right of way and clearances, must be transferred to the CTU at zero cost.
Outlook
The handover moves this Eastern Region corridor from bidding into execution. With about 29 months left until SCOD, timely right-of-way and statutory clearances across three states will be critical to delivering the planned reliability gains for Kolkata and Bihar.
Official Sources
- REC Limited, Intimation of sale and transfer of project specific SPV/Subsidiary (NSE/BSE filing), October 16, 2026 – https://nsearchives.nseindia.com/corporate/RECLTD_16102026181540_Signed_Intimation_of_sale_of_SPV_16102026.pdf
- REC Power Development and Consultancy Limited, RFP for ERES-47: Nawada – Durgapur – Jeerat (New) 765kV Corridor, June 9, 2026 – https://www.recpdcl.in/assets/data/pdf/RFP_ERES-47_10062026.pdf
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