UPPTCL to lease out its transmission lines to telcos
Govt entity to monetise its assets, move to benefit power consumers
LUCKNOW : The Uttar Pradesh Power Transmission Corporation Ltd (UPPTCL), a state government entity, will lease out its hi-tech transmission lines with optical fibre ground wire (OPGW) to telecom companies to monetise its assets as an additional source of revenue, officials dealing with the issue said.
The move, according to them, will not only benefit end power consumers (with asset monetisation benefits to be passed on to them in the tariff) but also help in the fast spread and percolation of the 5G network in the state.
“We have decided to lease out spare pairs of 9,550 km of transmission lines of optical fibre ground wire to enterprises engaged in telecom business to monetise our own under-utilised assets,” UPPTCL managing director Guru Prasad said. “Telecom companies can use our rented network for fast data transmission and laying the 5G network in the state,” the official added.
This new activity, according to him, would fetch additional revenue of at least ₹20 crore annually to the UPPTCL.
“This will fulfill the objective of asset monetisation by utilising the hitherto underutilizsed assets as a fresh revenue generating source, which will finally lead to reduction in the transmission charges,” Prasad pointed out.
A typical transmission line has an optical fibre ground wire along with power conducting wires. The UPPTCL uses these fibres to transmit internal data.
“Due the fact that creation of transmission assets in terms of sub-stations, lines etc requires huge capital investment, return on income (RoI) is a very significant index for ensuring sound financial health of the transmission utility,” said another official.
The UPPTCL, with a network 50,000 km of transmission lines across the state, is responsible for transmission/transfer of bulk power from generating stations and ensuring its adequate availability at transmission-distribution interface for distribution of energy for public consumption.