The Raigarh-Pugalr 800kV ultra-high-voltage direct current link will be able to carry 6GW of power to and from central India and the southern state of Tamil Nadu.
"The two-way link will integrate thermal and wind energy for transmission of power to high consumption centres located thousands of kilometres away, supporting electricity demands in the south when wind strength is low, and transmitting clean energy to the north when there is excess wind power," ABB said.
The project will be ABB's sixth high-voltage direct current link in India and second ultra-high-voltage, the Swiss firm explained. Completion is expected in 2019.
"Delivering reliable electricity to India's energy demand centres is a top priority for the Indian government to support the country's impressive growth momentum," said ABB chief executive Ulrich Spiesshofer.