Hitachi Energy to deliver 950-km HVDC link for Adani’s Bhadla-Fatehpur renewable transmission project

In a transformative step for India’s power transmission infrastructure, Hitachi Energy India Limited and Bharat Heavy Electricals Limited have been awarded a high-profile contract by Rajasthan Part I Power Transmission Limited, a subsidiary of Adani Energy Solutions Ltd. This project entails the design and delivery of a 950-kilometre high-voltage direct current (HVDC) transmission corridor linking the solar-rich Bhadla region in Rajasthan to Fatehpur in Uttar Pradesh. With the capacity to transmit 6,000 megawatts (MW) of renewable power—enough to supply electricity to around 60 million households—this project directly supports India’s ambition of building a 500 GW renewable energy backbone by 2030.

Signed on April 3, 2025, the contract builds upon a Letter of Intent issued in February and will be accounted for in the first quarter of the 2025–26 fiscal year. It marks one of the most significant developments in India’s renewable energy transmission framework, enhancing long-distance power delivery while improving overall grid stability.

Why is the Bhadla-Fatehpur HVDC project a turning point for renewable energy transmission?

Bhadla has emerged as a linchpin in India’s solar strategy, designated as a high-potential renewable energy zone due to its year-round solar irradiance. The new HVDC corridor falls under Phase-III Part I of the national transmission programme, awarded to Adani Energy Solutions Ltd via tariff-based competitive bidding. Designed as a bi-directional ±800 kilovolt (kV) link, the HVDC terminals will allow controlled two-way power flow between regions, strengthening grid responsiveness and facilitating peak-load balancing.

India’s ambitious green transition, while expanding capacity, faces persistent issues of congestion and efficiency across alternating current (AC) networks. HVDC transmission mitigates these challenges by significantly reducing energy losses over vast distances. N Venu, Managing Director & CEO of Hitachi Energy India Ltd, noted that this win, alongside another major HVDC order, reflects the company’s leadership in delivering next-generation power systems.

What makes HVDC transmission essential for India’s future power grid?

As India moves towards becoming the world’s third-largest economy by 2030, energy demand is forecasted to surge. HVDC transmission systems have become vital for integrating decentralized and intermittent renewable sources into the national grid. The ability to transmit power over 950 km from Rajasthan’s solar farms to the industrial and transport hubs in Uttar Pradesh without degradation or frequency fluctuation is a key advantage HVDC holds over traditional AC systems.

The new project, executed by the Hitachi Energy–BHEL consortium, includes converter transformers, thyristor valves, advanced AC/DC protection systems, and integration into both 765 kV and 400 kV substations. These components will ensure secure, reliable transmission while enabling efficient grid-wide load distribution. Bharat Heavy Electricals Limited’s inclusion also ensures local manufacturing and project execution align with the ‘Make in India‘ framework.

How does this strengthen India’s clean energy roadmap and economic growth?

India’s decarbonization trajectory is closely tied to the efficient evacuation of renewable energy from generation zones to demand centres. The HVDC link supports this goal while reinforcing energy security and enabling the shift away from fossil fuels. It also aligns with the National Electricity Plan’s emphasis on transmission system strengthening and cross-regional power flows.

Hitachi Energy’s investments into local manufacturing capabilities have further accelerated its role in nation-building projects. The company recently raised ₹2,520.82 crore through a Qualified Institutional Placement (QIP) to fund capacity expansion, working capital, and large-scale projects like HVDC infrastructure. These capital infusions underscore investor confidence in Hitachi’s execution capacity and market leadership.

Adani Energy Solutions Ltd (AESL), the transmission subsidiary of the Adani Group, continues to consolidate its position as India’s largest private transmission player, with a network spanning nearly 26,000 circuit kilometres. Its investments in smart metering, green power distribution, and cooling solutions point to an integrated infrastructure strategy supporting India’s net-zero ambitions.

How are investors reacting to Hitachi Energy and Adani Energy Solutions?

Both Hitachi Energy India Limited and Adani Energy Solutions Ltd are publicly traded and have seen increasing investor confidence following recent project announcements.

Hitachi Energy India Limited (trading under POWERINDIA on NSE and BSE) has shown a positive upward trend since the start of FY25-26. The successful QIP fundraise and high-value HVDC orders have positioned the company for sustained growth. Market analysts view its core strengths in transformers, grid automation, and HVDC as integral to India’s future grid. With visibility on major projects and localisation initiatives, the stock is considered attractive for medium to long-term investors. Brokerages have issued “Buy” or “Accumulate” recommendations, citing a favourable order book and strong parentage under the Hitachi global group. Potential risks include execution delays and raw material inflation, but these are largely mitigated by the diversified pipeline and strategic investments.

Meanwhile, Adani Energy Solutions Ltd, still trading under the ADANITRANS symbol despite the corporate rebranding, has rebounded from its 2023–24 volatility linked to broader group-level controversies. With strong quarterly performance, operational resilience, and continued infrastructure wins—including this HVDC project—investor sentiment has recovered to cautiously optimistic. Analysts suggest “Hold” or selective “Buy” ratings, pointing to the company’s increasing role in green transmission and metering. While macroeconomic and regulatory pressures remain watchpoints, AESL’s business fundamentals and cash flow stability offer longer-term upside.

The market reaction to the HVDC announcement underscores investor recognition of transmission infrastructure as a strategic enabler of economic and energy security. For both companies, the execution of this project will be closely watched as a performance benchmark over the next 24–36 months.

Why is this HVDC project seen as a national strategic asset?

The Bhadla-Fatehpur HVDC corridor is not just an engineering project—it represents a strategic asset in India’s evolving power architecture. It supports the Green Energy Corridor initiative, enhances cross-regional power exchange, and provides grid stability during demand surges. This will also prove crucial in integrating green hydrogen production, industrial electrification, and clean transport infrastructure in northern and central India.

Moreover, 2024 marked 70 years of HVDC technology since its global debut—an area where Hitachi Energy has been a global pioneer. With over 150 GW of HVDC capacity integrated worldwide, the company brings unmatched technical and operational experience to the Indian market.

As renewable energy zones like Bhadla continue to expand, and consumption centres like Fatehpur industrialize, such projects will be pivotal to achieving energy equity and sustainability. For investors, policymakers, and utilities, this HVDC link exemplifies how private-public partnerships and advanced technologies can converge to meet the dual goals of economic development and climate responsibility.