IndiGrid Infrastructure Trust was established in 2016 as India’s first and largest power sector infrastructure investment trust.
With a pan-Indian presence, IndiGrid currently owns, operates and manages several power transmission and renewable generation assets that deliver reliable power throughout the country. It has also forayed into the battery energy storage system (BESS) space. It recently launched a $300 million platform focusing on developing greenfield transmission and stand-alonebattery energy storage system projects in India.
Combining operational excellence-centred asset management capabilities and world-class digital tools, IndiGrid has ensured a consistent portfolio performance over the years.
Overview of assets
Since its inception, IndiGrid has maintained a track record of superior and stable operations and returns to its unitholders. It operates under a low-risk business model, with over 90 per cent of its assets under management (AUM) invested in operational, revenue-generating infrastructure projects or
liquid assets.
IndiGrid’s transmission asset portfolio is diverse, comprising several interstate transmission system (ISTS) projects, one intra-state transmission system project, one regulated tariff project and one project dedicated to captive consumption.
Since its inception in 2017-18, IndiGrid has achieved significant growth, expanding from eight transmission lines (approximately 1,936 ckt km) and 10 revenue elements across four states to 49 transmission lines (approximately 8,692 ckt km) and 81 revenue elements spanning 20 states and two union territories.
In 2024-25, IndiGrid commissioned two augmentation projects under Patran Transmission Company Limited and Kallam Transmission Limited. These projects were awarded under the regulated tariff mechanism scheme and constructed on a cost-plus basis.
It has also ventured into the under-construction space. In 2023-24, it won three greenfield ISTS transmission projects – Ishanagar Power Transmission Limited, Dhule Power Transmission Limited and Kallam Transco Limited. These projects will be developed on a build-own-operate-transfer (BOOT) basis over a period of approximately 24 months and have a concession period of 35 years after commencing commercial operations.
Renewable energy portfolio
IndiGrid has built a significant renewable energy portfolio, including 1.1 GWp (DC) of solar projects.
Notably, in 2023-24, it acquired Virescent Renewable Energy Trust, adding 538 MWp (DC) of generation capacity to its portfolio. Also, in 2023-24, it acquired a 420 MWp (DC) solar project, ReNew Solar Urja Private Limited, located is in the high irradiation region of Jaisalmer, Rajasthan, from ReNew.
It forayed into the battery energy storage segment in 2023-24, winning a utility-scale stand-alone BESS project awarded by Delhi discom, BSES Rajdhani Power Limited for the design, supply, testing, installation, commissioning, operations and maintenance of a 20 MW/40 MWh BESS in Delhi.
IndiGrid also won a 180 MW/360 MWh BESS project, awarded by Gujarat Urja Vikas Nigam Limited, by emerging as the second lowest bidder in the reverse auction process.
More recently, in 2024-25, it was declared as the lowest bidder for a 250 MW/500 MWh capacity BESS project in the reverse auction process conducted by NTPC Vidyut Vyapar Nigam Limited. It has signed the battery energy storage service purchase agreement for this project. With an estimated capital expenditure of Rs 7,500 million, the project will be built over the next 18 months.
Key initiatives
IndiGrid has employed a multilayered, reliability-centred approach towards enhancing the reliability and efficiency of its grid; as well as assessing the impact, frequency and detectability of potential failures to prioritise maintenance activities.
Condition-based maintenance is being carried out using technologies such as thermovision and dissolved gas analysis to monitor equipment health and schedule maintenance accordingly. Predictive maintenance using advanced analytics and machine learning is used to forecast potential failures before they occur.
Further, IndiGrid has identified four key strategic focus areas: operational excellence, digital initiatives, tech initiatives, and cybersecurity. Operational excellence aims for zero harm and defects through a reliability-centred framework, incorporating root cause analysis, integrated management system certification and a self-perform model with condition-based maintenance.
IndiGrid has successfully implemented DigiGrid, an asset management platform to enhance operational efficiency, reliability and cost-effectiveness through data-driven insights and predictive maintenance. DigiGrid integrates data from field operations, SAP, and supervisory control and data acquisition (SCADA) to support planning, scheduling, alerts, inspections, maintenance, procurement, inventory, vendor management and data analytics. Currently operational across all projects, it is integrated with tools such as SAP and Power BI to drive data analysis and operational improvements. Future plans include the Phase II roll-out of the asset performance module, featuring an asset health index to assess asset health and performance, followed by Phase III for asset life cycle management.
IndiGrid has also adopted drones to enhance safety, improve detection capabilities and reduce manual intervention in transmission line inspections. In Phase I, drones inspected approximately 2,200 km of lines across Bhopal Dhule Transmission Company Limited, Jabalpur Transmission Company Limited, Khargone Transmission Limited and East-North Interconnection Company Limited over two years. External agencies operate the drones, while image analysis is conducted in-house. Captured images are stored in the cloud and analysed by a team to generate work orders for identified defects. Drone inspections have detected approximately 6,000 defects, primarily low-risk issues such as displaced line spacers, missing split pins and loose G-rings, which are often difficult to identify through manual inspections. In the future, an artificial intelligence-powered image analytics platform is proposed to automate work order creation and further enhance the efficiency of drone inspections.
Furthermore, cybersecurity remains a critical priority, with initiatives such as strengthening of security measures. IndiGrid has completed all mitigation measures as guided by the Indian Computer Emergency Response Team and best prudent practices. SCADA upgradation has been completed at all the substations. It has also achieved ISO 27001 and ISO 27019 certifications.
IndiGrid has deployed emergency restoration systems (ERS) to minimise downtime and operational disruptions caused by severe weather events, such as tower collapses. It has procured two ERS kits, with a third under procurement, and trained a 20-member in-house quick reaction team for efficient deployment. The system’s effectiveness was demonstrated during the 2022 Assam floods when the ERS was used to restore the 400 kV NERSS SM Line Circuit 1 within a week, despite severe damage and challenging terrain.
Another technology intervention is the use of avalanche protection structures, which have been installed at strategic points. IndiGrid’s critical 400 kV double-circuit Sambha-Amargarh transmission line, an alternative power supply route to the Kashmir Valley, spans 280 km in length through hilly terrain. Of its 780 towers, 180 are located in snow-prone, forested, wildlife or security-sensitive areas. Approximately 60 towers become inaccessible during heavy snowfall.
IndiGrid has partnered with Tomorrow.io, a weather forecasting expert, to enhance its preparedness for severe weather events. This collaboration provides advanced forecasting tools, including cyclone alerts, lightning alerts, precipitation intensity, flood alerts, historical data analysis and re-forecasting. These capabilities enabled proactive preparation for Cyclone Amphan in May 2020, minimising damages and ensuring faster power restoration in affected areas.
Further, robotic water-free technology has been implemented to provide autonomous cleaning solutions, minimising losses due to soiling on solar modules and maximising power generation.
Operational and financial performance
Financially, IndiGrid has maintained robust growth. Its revenue and earnings before interest, taxes, depreciation, and amortisation (EBITDA) achieved a CAGR of about 35 per cent from FY2018 to FY2024, while its net distributable cash flow grew at a CAGR of about 28 per cent. AUM increased significantly from Rs 52 billion in FY2018 to Rs 283 billion in FY2024, reflecting a CAGR of about 33 per cent.
On a year-on-year basis, the consolidated revenue for the quarter ended December 2024 was up 2.4 per cent to Rs 7,722 million and the consolidated EBITDA was up 2 per cent to Rs 6,944 million. The net distributable cash flow saw a year-on-year growth of 6.8 per cent, reaching Rs 3,331 million for the quarter.
Its operational performance remains healthy, with the average quarterly transmission availability reported at 98.55 per cent and solar capacity utilisation factor at 20.2 per cent in the third quarter of FY2025. Increased reliability on account of various improvement initiatives resulted in the lowest trips recorded in FY2025.
Further, the unitholder base at IndiGrid has evolved. Initially sponsored by Sterlite Power with a significant retail investor presence, by 2019-20, seven insurance companies held a 5.31 per cent stake, and foreign portfolio investors (FPIs) increased their holdings to 55.07 per cent. Between 2021 and 2024, KKR became a sponsor. Currently, insurance companies and pension funds hold approximately 8 per cent of IndiGrid’s units, and FPIs, including KKR and GIC, account for about 40 per cent.
Outlook
IndiGrid has signed definitive agreements with British International Investment, a development finance body backed by the UK government and the Norwegian Climate Investment Fund, managed by Norfund, to form a new platform called EnerGrid. EnerGrid will receive an aggregate investment of $300 million, which will be contributed equally by the three partners. EnerGrid is expected to start bidding for greenfield transmission and BESS projects by the end of the ongoing fiscal.
Overall, IndigGrid boasts a stable revenue profile, driven by the healthy operating performance of its transmission and solar power assets. As the new platform starts bidding for more projects, IndiGrid is well prepared to solidify its position in the Indian power sector, which is set for massive growth in the next few years, driven by energy transition goals.
