Transmission and distribution losses in the north-east India is one of the highest in the world. While in Arunachal Pradesh, T&D losses are as high as 50%, in Assam and Tripura it is 29% and 28% respectively. One of the reasons for high T&D losses is the long 11kV/ 33kV transmission lines and insufficient investment sub-stations. North eastern states claim that they are in urgent need of funds for upgradation of the transmission lines and substation. Also there is demand for early completion of Silchar-Aizwal transmission line by Power Grid Corporation of India.
Upgradation of distribution lines is also needed because there are many power projects which are on the verge of completion in this region. Approximately 4,350 MW of generation capacity across seven power projects is on the anvil in the north eastern region. For example, the four 250 MW units of the Kameng hydro electric project (HEP) are scheduled for commissioning by June 2016 while the three units of NTPC`s Bongaigaon thermal power station will be operational by September, 2015. In addition to this, the two 30 MW units of NEEPCO`s Tuirial HEP are expected to come up by August, 2015. NHPC`s lower Subansiri, OTPC`s Pallatana GBPP, NEEPCO`s Pareh HEP and Monarchak project are the other projects which are likely to be completed during the current Five Year Plan.