PGCIL board nod to new merger plan for 28 subsidiaries

New Delhi: The board of Power Grid Corporation of India Ltd has approved a revised plan to consolidate its subsidiary structure, paving the way for the merger of 28 wholly owned subsidiaries into two other group entities, according to a regulatory filing.

The decision, taken at the government-owned company's board meeting on March 19, revised an earlier proposal approved in December 2025, which had envisaged the merger of a smaller set of subsidiaries. It expanded the scope of consolidation, indicating a broader restructuring within the company's transmission portfolio.

The proposed merger is subject to approvals from relevant authorities. The company said further developments will be communicated in due course.


The earlier plan entailed merging 11 subsidiaries into two entities, aimed at consolidating operations and simplifying the organisational structure. The updated proposal significantly increases the number of entities to be merged, suggesting an accelerated push towards streamlining.

Such restructuring exercises are typically undertaken to reduce the number of legal entities, improve operational efficiency and simplify administrative processes. For a company like Power Grid Corporation of India Ltd, which operates a large network of transmission assets through multiple special purpose vehicles, consolidation can also help optimise management oversight and financial structuring.

The move comes amid continued expansion of India's transmission network to support increasing electricity demand and renewable energy integration, which has led to the creation of multiple project-specific subsidiaries over time.