Power Grid Corporation of India has announced an increase in its FY26 capital expenditure plan, moving the forecast to ₹32,000 crore after previously estimating ₹28,000 crore.
The revised figure reflects the company’s confidence in project execution. The increase of ₹4,000 crore is attributed to the award of 7 Tariff Based Competitive Bidding contracts in FY26.
A notable contract involves the transmission system for Uttar Pradesh pumped storage projects, with a net contract value of ₹3,626 crore and a tariff of ₹328.4.
Under Budget 2026 the government plans to raise total investment by nine state owned power sector firms to ₹1,01,762.92 crore in 2026‑27, a rise of nearly 19 per cent.
Finance Minister Nirmala Sitharaman has proposed raising Power Grid Corp’s investment to ₹37,000 crore in the next fiscal year, up from a revised estimate of ₹28,000 crore and a base estimate of ₹25,000 crore.
Read More: Gujarat Emerges as India’s Largest Renewable Energy Contributor With 42.583 GW Capacity!
In the third quarter Power Grid Corp expanded its global transmission footprint through a partnership with Africa50 on a Kenya public private partnership project.
The venture includes development, financing, construction and operation of the 400kV Lessos Loosuk and 220kV Kisumu Musaga transmission lines, with an estimated cost of $311 million.
The 7 Tariff Based Competitive Bidding contracts cover a range of transmission projects across the country, enhancing grid reliability and supporting renewable integration.
The pumped storage project in Uttar Pradesh is expected to improve power evacuation from storage facilities, contributing to grid stability.
As of February 02, 2026, at 1:06 PM, Power Grid of India share price on NSE was trading at ₹261.40 up by 4.00% from the previous closing price.
Power Grid Corp’s FY26 capex increase to ₹32,000 crore underscores stronger project pipelines and alignment with the government’s investment push. The company’s new contracts and international partnership illustrate a broadened operational scope.
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Published on: Feb 2, 2026, 2:13 PM IST
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