Power Grid Corporation of India NSE 2.51 % added 3 percent in early trade on Thursday after the state-owned transmission player inked a pact with pan-African infrastructure investment platform Africa50 to continue the development of the Kenya Transmission Project on a public-private partnership basis.
Power Grid’s share price rose to a high of Rs 211 against Rs 204.95 at the previous close on the National Stock Exchange.
The project entails the development, financing, construction, and operation of the 400kV Lessos – Loosuk and 220kV Kisumu – Musaga transmission lines under a PPP framework, reports said.
Once completed, the project will be the first independent power transmission (IPT) in Kenya and will set a reference point in Africa as the first financing of transmission lines on a PPP basis, a report quoting a statement by the Power Ministry said.
According to reports, Power Grid will provide technical and operational know-how to the project, while Africa50 will bring its project development and finance expertise and will act as a bridge between the Kenyan government and private investors.
Chairman and Managing Director of Power Grid, K. Sreekant was quoted as saying in reports that transmission plays an important role in bringing efficiency in the entire electricity supply chain and that a robust transmission network not only imparts reliability and security to the electricity grid but also allows non-discriminatory access to buyers and sellers.
“Power Grid hopes that the present transmission project in Kenya shall serve as a Model for undertaking more such projects in Kenya as well as other African countries,” reports quoted Sreekant as saying.