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Competitive Bidding in Transmission: Is Monopoly of PGCIL at Stake?

News

As many as six companies including state-run Power Grid (PGCIL), Sterlite and Adani have qualified on technical grounds for submitting financial bids for Vemagiri II power transmission project worth around Rs6,300 crore.

Source:- live mint

SNP Insight

Introduction of the competitive bidding might bring the monopoly of PGCIL at stake. The competitive bidding route will enhance the competition and private players participation in the transmission sector. Further, it might help to create a positive sentiments amongst the stakeholders, who feel that India is missing an opportunity to attract foreign and private investment by avoiding competitive bidding in the sector. 

Source:- SNP Infra Research