State-run Power Grid Corporation of India Limited (PGCIL) is planning to enter the power transmission markets in neighbouring Bangladesh and Sri Lanka by setting up joint ventures (JVs) with local partners.

PGCIL is already building a 250 MW grid interconnection between India and Bangladesh and is in talks to execute a project for a 1000 MW power link with Sri Lanka. It now wants to enter their domestic markets to boost growth through the public-private partnership route, said an unnamed PGCIL executive.

“In the JVs, PGCIL will take a stake and will put in some equity. Since, PGCIL will be the executing agency for the projects it will be easier for the JV to raise loans,” this executive said.

Such transmission links will help create an electricity grid of the South Asian Association for Regional Cooperation (SAARC), a bloc that also includes Afghanistan, Bhutan, the Maldives, Nepal and Pakistan, making it easier for the region to meet electricity demand and boost regional economic and political co-operation.

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