Continuing the effort to strengthen clean energy deployment and utility modernization, USAID’s SAREP program, in collaboration with the Ministry of Power, conducted a capacity-building workshop for the officials of Madhya Pradesh Power Transmission Corp. Ltd. (MPPTCL) in Jabalpur, Madhya Pradesh, on October 30, 2023.
To overcome the challenges of limited transmission capacity for renewable energy, monetizing existing assets and investing the proceeds into building more transmission lines at the intra-state is the need of the hour. In this context, the workshop covered two main areas:
The workshop started with an insightful address by Mr. Sunil Tiwari, Managing Director of MPPTCL. He emphasized the importance of the capacity-building workshop and highlighted its role in enhancing understanding of asset monetization, its challenges, and asset selection criteria.
The sessions emphasised capital recycling by monetizing existing assets, which will help overcome investment constraints in intra-state transmission. Participants discussed the guiding principles of the various asset monetization models, including AOMT notified by the Ministry of Power for monetisation of transmission assets, different countries’ approach, their respective business models and associated risks and challenges. The broader impacts on consumers and financial implications of asset sales were also covered.
The competitive nature of the bidding process for transmission sector projects was another focal point. The day’s second session covered TBCB’s evolution, policy and regulatory framework, components of tariff, risk assessment and options for financing.
The workshop was attended by over 35 MPPTCL officials. It facilitated a deep dive into the modernization of the power sector, the potential of asset monetization, and the intricacies of the TBCB process, setting the stage for future collaborations and innovative solutions.
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Presentations: