Key Highlights
- Scheme – Green Energy Corridor Phase-III (GEC-III)
- Total Outlay – ₹1,86,405 Crore
- RE Evacuation Capacity – Up to 135 GW
- BESS Capacity – 50 GWh
- ISTS Component – ₹1,36,378 Crore
- BESS Component – ₹50,000 Crore
- Central Financial Support- ₹54,082 Crore
- Completion Target – FY 2032-33
- Focus – Renewable Power Evacuation & Grid Flexibility
- Implementing Agencies – State Transmission Utilities
The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the Green Energy Corridor Phase-III (GEC-III) scheme to strengthen India’s intra-state transmission infrastructure (ISTS) and facilitate the evacuation of up to 135 GW of renewable energy States and Union Territories.
The scheme, targeted for completion by FY2032-33, has a total project outlay of ₹1,86,405 crore. Of this, ₹1,36,378 crore will be allocated for the development of Intra-State Transmission Systems (ISTS), while ₹50,000 crore will support the deployment of 50 GWh of Battery Energy Storage Systems (BESS).
The Centre will provide ₹54,082 crore in Central Financial Assistance (CFA) under the scheme. The financial support is intended to offset intra-state transmission charges and help keep power costs lower for end consumers.
135 GW Renewable Energy Evacuation
GEC-III is designed to strengthen transmission networks within states and enable the integration of rapidly growing solar, wind and other renewable energy capacity. The upgraded infrastructure will improve power evacuation from renewable-rich regions to demand centers while supporting overall grid stability.
The scheme also introduces a major storage component. The planned 50 GWh BESS capacity can be deployed at renewable energy developer or generator locations, as well as other strategically important grid locations.
The storage infrastructure will help address renewable energy intermittency, transmission congestion, peak-hour curtailment and electricity demand during non-solar hours.
TBCB for Greenfield Transmission Projects
All greenfield projects under the ISTS component will be implemented through Tariff Based Competitive Bidding (TBCB). Transmission Service Providers will participate under a Build-Own-Operate-Maintain (BOOM) model.
Meanwhile, brownfield upgrades and network-strengthening projects will be executed under the Cost Plus Basis (CPB).
State Transmission Utilities will act as the overall implementing agencies for the scheme.
Supporting India’s 2035 Clean Energy Target
GEC-III is expected to play an important role in supporting India’s target of achieving 900 GW of installed non-fossil fuel capacity by 2035.
The combination of transmission expansion and large-scale battery storage is expected to improve renewable energy integration while reducing curtailment and enhancing grid flexibility.
The scheme is also expected to generate direct and indirect employment across the power, manufacturing, construction, battery storage, operations and maintenance sectors.
With ₹1.86 lakh crore of planned investment, GEC-III marks a significant expansion of India’s clean-energy infrastructure and could create substantial opportunities across transmission equipment, grid infrastructure, BESS, EPC and renewable energy sectors.