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GROWTHIFYE ONE-PAGER·MPERC · Madhya Pradesh·MYT·Case 127/2025·Order dated 2026-02-23

MPERC grants MPPTCL in-principle approval for ₹3,486.82 Cr additional transmission capex (rolling plan) for FY2025-26 to FY2028-29, within ongoing MYT control period

In the matter of petition filed by MPPTCL for approval of Capex Works that have been identified after the submission of previous Capital Investment Plans for Transmission Works to coincide with the control period of MYT (FY 2024-25 to 2028-29). (Petitioner: 1) M P Power Transmission Company Limited)

Background · what was sought

MPPTCL's original 5-year capex plan for FY2024-25 to FY2028-29 was approved on 03.09.2024 (Pet 8/2024, ₹7668.16 Cr). Additional TBCB-linked works (₹487 Cr RTM portion of ₹4785 Cr CTUIL-accepted works) were approved via Pet 18/2025, and Sabalgarh/Sheopur strengthening works (₹667 Cr) via Pet 124/2025. New requirements subsequently emerged - Simhasth-2028 evacuation, N-1 compliance, new substations for discom load growth, and system-improvement works (OPGW, SCADA/automation) - prompting MPPTCL to seek in-principle approval of a further rolling capex plan, initially pegged at ₹3524 Cr and later revised to ₹3486.82 Cr after re-estimating OPGW replacement cost.

What the Commission decided
  • Accorded in-principle approval to MPPTCL's additional transmission investment plan (rolling) of ₹3486.82 Cr for FY2025-26 to FY2028-29 (as amended from ₹3524 Cr).
  • Clarified this is in addition to capex already approved in the MYT control period: ₹7668.16 Cr (Pet 8/2024), ₹487 Cr (Pet 18/2025) and ₹667 Cr (Pet 124/2025).
  • Approved physical scope: 1,476 Ckt-Km of 132kV/220kV lines, 9,508 MVA new transformation capacity, and 14 new EHV substations (1x220kV, 13x132kV) by FY2028-29.
  • Accepted MPPTCL's revised OPGW/system-improvement estimate of ₹609.72 Cr (down from ₹654.72 Cr; OPGW component cut from ₹425 Cr to ₹380 Cr), keeping it under RTM since actual cost is expected below the ₹400 Cr TBCB threshold.
  • Noted that no public/stakeholder objections were received and Respondents did not oppose the petition, hence deemed supportive.
  • Approval made subject to the same terms and conditions as the Commission's order dated 03.09.2024 in Petition 8/2024; petition disposed of.
Way forward agreed by the Commission
  1. MPPTCL to obtain Board/competent-authority approvals for individual works prior to execution, as committed.
  2. MPPTCL to tie up remaining ₹2,726 Cr of unfunded works in phased manner via financial institutions/REC; ₹760.82 Cr REC loan already tied up; 20% equity via GoMP Energy Dept approval dated 19.06.2025.
  3. Environmental and statutory clearances to be pursued by MPPTCL only after Commission's approval (as submitted in petition).
  4. Reactive compensation needs at high-voltage substations (Julwania, Chhegaon, Badnawar, Mandsaur, Kirnapur) to be studied jointly with CTUIL/CEA/WRLDC/SLDC before further reactor installation.
  5. MPPTCL to execute works per year-wise physical/financial targets tabulated in the order and report progress in future tariff/true-up filings.
  6. Same T&C as the 03.09.2024 order in Petition 8/2024 will govern implementation, including subsequent prudence check at execution/tariff stage.
What it means for C&I buyers, OA users & developers
  • • Large new 132/220kV capacity (9,508 MVA) and 14 new substations should ease transmission congestion, benefiting C&I open-access consumers and new industrial connections across MP.
  • • N-1 compliance upgrades (single-to-double source conversions, transformer augmentation, tap-to-LILO conversions) reduce outage risk for C&I loads fed from affected substations (e.g., Morena, Gwalior area).
  • • Simhasth-2028-linked capacity addition (280 MVA) in Ujjain may free up incremental grid headroom for industries/temporary large loads in that region ahead of the event.
  • • As RTM-funded assets get capitalized, transmission POC charges may see gradual upward revision in future tariff orders/true-ups, impacting open-access and C&I wheeling costs over the control period.
Growthifye take

This is a routine but sizeable in-principle capex nod (₹3,487 Cr) layered atop MPPTCL's already-approved ₹8,822 Cr MYT-period plan, taking cumulative approved transmission capex in MP toward ₹12,300+ Cr. For C&I/RE developers, the practical takeaway is medium-term: better N-1 reliability and added substation capacity in growth corridors (Ujjain, Gwalior, discom-nominated load centers), but funding remains ~78% unfunded/loan-dependent and clearances are yet to be initiated, so actual commissioning will lag the FY2028-29 horizon. Expect gradual POC tariff pass-through as RTM assets capitalize; developers evaluating open-access connectivity in these zones should track work-wise timelines (Chapter VII annexures) rather than assume immediate capacity availability.

Growthifye does not take responsibility for the accuracy of this information. Values are compiled from tariff orders published on the websites of State Electricity Regulatory Commissions and distribution licensees (plus CEA / MoP / Grid-India), parsed automatically and shown with their source. Always verify against the signed order before any commercial decision. This one-pager is a Vidura-assisted summary of the official order; the signed order prevails.

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