Shares of Power Grid Corporation of India Ltd. rose 4%, reaching a day’s high of Rs 366.25 on 25th September, after the Ministry of Power finalised the National Electricity Plan (NEP) 2023-2032 for central and state transmission systems.

The total cost of the National Electricity Plan is Rs 9.15 lakh crore, aiming to meet the growing energy demand, with a target of reaching a peak demand of 458 gigawatts (GW) by 2032.

This plan includes expanding the transmission network capacity from 4.85 lakh circuit kilometres to 6.48 lakh circuit kilometres, while the transformation capacity will increase from 1,251 GVA (Gigavolt-Ampere) to 2,342 GVA.

It also emphasises green hydrogen initiatives and pump storage systems, benefiting major transmission companies, cable manufacturers, and transformer producers by providing clear visibility for future orders.

An additional nine transmission lines with a capacity of 33.25 GW will be added, increasing the current 33.5 GW. The ability to transfer electricity between regions will rise from 119 GW to 168 GW, with a total transmission network of 335 GW planned for the future.

The finalisation of the NEP was anticipated in the power sector, with the draft under review and recently confirmed by the government. This signals a significant push in capacity addition, including new transmission lines and clean energy technologies like green hydrogen.

This development is seen as positive for Power Grid, a key player in the transmission sector, benefiting from the government’s major investment in the plan.

At 3:30 PM, the shares of Power Grid closed 4.04% higher at Rs 364.20 on NSE.

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