Power Grid Secures Tariff-Based Competitive Bidding Project in Madhya Pradesh; Share Price in Focus

Power Grid Corporation of India Limited (POWERGRID) has been declared the successful bidder under the tariff-based competitive bidding process. The project comes under the Inter-State Transmission System (ISTS).

Letter of Intent

POWERGRID received the Letter of Intent on 19 September 2025. This formally assigns the company responsibility for the project. The implementation will be on a Build, Own, Operate and Transfer (BOOT) basis.

Project Scope

As per the exchange filings,  the work involves the augmentation of transformation capacity and the creation of line bays. These will be carried out at the Mandsaur substation in Madhya Pradesh, which is still under construction. The project is linked to renewable energy interconnection.

Mandsaur, in Madhya Pradesh, has several renewable energy projects, including solar and wind. The substation works are intended to provide additional capacity for handling renewable power through the interstate grid.

Filing with Exchanges

The update was filed with the National Stock Exchange and the Bombay Stock Exchange. The disclosure was made under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Implementation Model

The BOOT model requires the selected developer to build and operate the project for a defined period. After this, the project will be transferred as per the bidding terms. This framework is used for several interstate transmission projects.

Next Steps

With the LoI issued, POWERGRID is expected to begin work on the substation augmentation and bay implementation. The project will add capacity to the transmission system for renewable energy flow.

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Power Grid Corporation Share Price Performance

As of September 22, 2025, 10:36 AM,  Power Grid Corporation share price was trading at ₹287.05, a 0.30% increase from the previous closing price.

Conclusion

The award of the Mandsaur project confirms POWERGRID’s role in carrying out works under the ISTS framework. The company will proceed with the required tasks following the receipt of the LoI.

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