SAFIR Launched South Asia Power Transmission Study
Utilities and energy investors should track plans for new cross-border transmission links in South Asia.
Updated on Sept. 19, 2026 in Utilities
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The South Asia Forum for Infrastructure Regulation has initiated a comprehensive study of existing and planned cross-border electricity transmission links. The move aims to improve regional energy trade and security across India, Bangladesh, Bhutan, Nepal, and Sri Lanka.
Why it matters
By evaluating the feasibility of new infrastructure, including a potential subsea link between India and Sri Lanka, the forum aims to resolve regional energy supply gaps. This study will define the future roadmap for private and state power investment across the region.
The study will be conducted over a 120-day period, building on the regional cooperation framework established by SAFIR in 1999. The project includes participation from five nations and focuses on creating a unified roadmap for grid integration.
The players
South Asia Forum for Infrastructure Regulation
A New Delhi-based intergovernmental body that provides regulatory guidance to energy and infrastructure utilities across five South Asian nations.
The details
The consultant selected for the project will analyze the technical, economic, and regulatory barriers currently hindering cross-border power flow. The study will assess the viability of existing transmission assets while proposing new interconnectors to enable efficient electricity trading between the member nations. These findings are expected to influence how utilities coordinate load-sharing and infrastructure development to ensure energy sufficiency.
Timeline
SAFIR was established in 1999.
The application deadline for the study consultant was September 18, 2026.
The forum announced the initiation of the study on September 19, 2026.
The study is slated for completion within 120 days of the agreement signing.
Market Landscape
This study marks an early effort to replicate the cross-border integration seen in regional models like the ENTSO-E, aiming to move South Asian markets toward a more unified grid structure. It follows a decade-long trend of bilateral power agreements that have struggled to scale into a truly interconnected regional market.
Operators in the power generation and transmission sectors should monitor the study outcomes for new cross-border procurement opportunities. Firms should prepare for shifts in regional regulatory standards as SAFIR identifies and addresses current barriers to electricity trade.
The takeaway
The move toward a regional electricity grid could significantly optimize capital allocation for utility operators. Executives should watch for the publication of the final study to identify which transmission corridors are prioritized for future investment.
Further reading
For broader trends in regional infrastructure and power grid development, visit the Utilities section.
Source note: This article includes information reported by NewKerala.
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