MoP - Ministry of Power

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Rs 24,888 Crore at the end of last financial year. The Return
on Net Worth for the company was at 11.50% in 2006-07,
creating significant value for the shareholders.
The company undertook capital investment of Rs. 6,383
Crore during the financial year 2006-07 and the required
funds were tied up from internal resources, bonds/term loan
from the domestic sources, grant from Government of India
and ECB/Supplier’s Credit. POWERGRID continued to
implement its projects with economy and within stipulated
time frame to derive maximum economic benefits. Its
advanced and cost effective Integrated Project Management
and Control System (IPMCS) for total project review and
perpetual monitoring, has contributed significantly.
Recently, Company entered the capital market with an IPO
of 573.9 million equity shares of Rs. 10 each. The issue
closed with responses from both domestic and global
investors that surpassed the most optimistic expectations.
Overall, the issue was subscribed 64 times; the institutional
investors segment - 116 times and the high-net worth
individuals - 41 times. The global enthusiasm for the issue
($30 billion in bids) has particularly been historic. This
tremendous response shows the growth potential of the
Corporation and the faith of people/investors in the Indian
Power Sector in general and Corporation in particular.
In the year 2007 upto November 2007, POWERGRID has
commissioned about 3691 Ckm. of transmission lines,
06 new sub-stations and has added transformation
capacity of about 5980 MVA. Major projects commissioned
include: Kahalgaon–II (Phase-I) Transmission System,
Northern Region System Strengthening Scheme-I,
Unchahar–III Transmission System, Vindhyachal-Korba
Transmission Line, Bina – Nagda Transmission Line,
Vindhyachal–III Transmission System & System
Strengthening–III of Southern Region.
BUSINESS DEVELOPMENT
POWERGRID, an ISO 9001 certified company, has acquired
in-house expertise at par with global standards in the field
of Planning, Engineering, Load Despatch and
Communication, Telecommunication, Contracting, Financial
and Project Management. POWERGRID is executing
various consultancy assignments in these areas as a part
of its Business Development Activity. During the year 2007-
08, POWERGRID has secured 20 nos. of new consultancy
assignments with a project cost (including POWERGRID
consultancy fee) of about Rs. 2,000 Crore (upto Nov., 07).
The Company has realised consultancy fee of Rs. 111 Crore
(upto Nov., 07) from its ongoing consultancy projects.
POWERGRID’s first International Consultancy Contract with
Bhutan Telecom for establishment of OPGW system on
turnkey basis in the Royal Kingdom of Bhutan was
successfully completed on schedule. All other ongoing
consultancy assignments are progressing ahead of
schedule.
As a result of on-going initiatives being undertaken in
POWERGRID to make its presence felt internationally in
dealing with all facets of power system, POWERGRID in
association with M/s Sigma Enterprises-a Dubai based Co.
has recently secured the prestigious international
Consultancy assignment against stiff competition from Dubai
Electricity & Water Authority (DEWA) for providing
Engineering Consultancy Services for 2 nos. 400kV GIS
Sub-stations and associated Overhead Transmission
Lines. Scope of consultancy includes all activities viz. design,
planning, engineering, EIA studies, preparation of tender
documents, evaluation, assistance in pre-award discussions
& negotiations, preparation of award letters, inspection and
witnessing of type testing, site supervision, project
management, payment certification and resolution of corridor
and outage requirement and co ordinate for approval from
various concerned authorities in Dubai.
Consolidating its position in Afghanistan, POWERGRID has
recently bagged following two consultancy assignments in
Afghanistan against stiff competition from other international
consultants:
a. (a) Consultancy to AEAI (Advance Engineering
Associates International, inc) for Engineering design
and environmental assessment services for
Sheberghan – Mazhar – Naibabad Transmission
Line funded by USAID with POWERGRID’s
consultancy fee of USD 3,00,000. Scope of Services
include walk over survey and finalize alignment;
Identification of suitable sites for 500/220 kV substation
and general layout and location of substation to be
provided; Assessment of Demining/ROW needs;
Engineering and Environmental Assessment
b. (b) Consultancy to MEW for 220/20 kV Aybak
Substation and Bay Expansion work of Mazhar-e-
Sharif Substation funded by World Bank for a
consultancy fee of USD 98,000. Scope of Services
include Complete Design, Engineering, preparation of
Bidding documents, assistance to MEW during Bid
Clarifications, and Complete Bid Evaluation of Aybak
220/20kv Substation and Bay Expansion work of
Mazhar-e-Sharif Substation
These projects have strengthened Indian presence and
involvement in the reconstruction process in Afghanistan
and have also enhanced international profile of
POWERGRID.
On Domestic Front also, some of the major assignments
secured (up to November 2007) by POWERGRID are as
detailed below :
Quadripartite agreement signed amongst Ministry of
Power, Govt. of Bihar, Bihar State Electricity Board
and POWERGRID for Consultancy work of
strengthening of sub-transmission scheme under
Phase II, Part II. The estimated project cost is
Rs. 1240.86 Crore.