Cabinet Clears Rs 1.86 Lakh Crore Green Energy Corridor Phase-III

The Union Cabinet on Wednesday approved PM-DHARA, a Rs 1,86,405-crore scheme to expand state transmission networks so they can evacuate up to 135 gigawatts of renewable energy. The decision was announced by Union Minister Ashwini Vaishnaw on September 30, 2026.
PM-DHARA stands for Developing Harmonised and Accelerated Renewable Energy Access. It has two parts: the third phase of the Green Energy Corridor (Rs 1,36,378 crore for intra-state transmission) and 50 gigawatt-hours of battery energy storage systems (Rs 50,000 crore). Central financial assistance of Rs 54,082 crore will help keep power tariffs down.
The scheme will add 51,126 circuit kilometres of transmission lines and 2,28,903 MVA of transformation capacity, and is targeted for completion by 2032-33. State transmission utilities will implement the works, with greenfield lines awarded through competitive bidding.
The push supports India’s target of 500 GW of non-fossil capacity by 2030. Developers in Rajasthan, Gujarat, Tamil Nadu and Karnataka have faced delays where solar and wind projects finish faster than the transmission lines needed to carry their power.
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