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POWERGRID is moving beyond conventional transmission expansion to deploy advanced grid-strengthening technologies

ICICIdirect Research 21 Aug 2026 DISCLAIMER

News: POWERGRID is moving beyond conventional transmission expansion to deploy advanced grid-strengthening technologies as India’s renewable capacity rises. The company will install two synchronous condensers at the Fatehgarh-II substation in Rajasthan, aimed at improving voltage stability, reactive-power support and overall grid strength. POWERGRID has won the project through the Tariff-Based Competitive Bidding (TBCB) route, making it India’s first pure-play ISTS-TBCB synchronous condenser project. The project included  2 synchronous condensers at 765/400/220 kV Fatehgarh-II PS.

View:  Positive for the transmission equipment ecosystem. This indicates a structural shift from simply adding transmission lines to grid-strengthening capex. As India moves toward its 500 GW non-fossil capacity target, demand for synchronous condensers, STATCOMs, BESS and other grid-stability equipment should increase. The emerging SynCon and grid-strengthening opportunity is positive for Hitachi Energy India, Siemens energy and ABB India, which have capabilities across synchronous condensers, STATCOMs, FACTS and associated grid-stability equipment.

Impact: Positive

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