BUSINESS INFORMATION REPORT
1. Summary Information
|
|
|
Country |
|
|
Company Name |
POWER GRID CORPORATION OF INDIA LIMITED |
Principal Name 1 |
Mr. Anil K
Agarwal |
|
Status |
Good |
Principal Name 2 |
Mr. S. K. Chaturvedi |
|
|
|
Registration # |
55-38121 |
|
Street Address |
B-9, Qutab
Industrial Area, Katwaria Sarai, |
||
|
Established Date |
23.10.1989 |
SIC Code |
-- |
|
Telephone# |
91-11-26560112/ 26560115
/ 26560193/26564892 |
Business Style 1 |
Construction |
|
Fax # |
91-11-26560054/
26601081 |
Business Style 2 |
-- |
|
Homepage |
Product Name 1 |
HVDC Transmission Lines |
|
|
# of employees |
979 (Approximately) |
Product Name 2 |
EHV AC |
|
Paid up capital |
Rs.46,297,300,000/- |
Product Name 3 |
Substations |
|
Shareholders |
Promoter
and Promoter Group-69.42% Public
Shareholding-30.58% |
Banking |
Indian Overseas Bank |
|
Public Limited Corp. |
Yes |
Business Period |
23 years |
|
IPO |
Yes |
International Ins. |
- |
|
Public |
Yes |
Rating |
A (68) |
|
Related
Company |
|||
|
Relation
|
Country
|
Company
Name |
|
|
Joint
Venture |
-- |
PTC
India Limited (PTC) |
-- |
|
Note |
- |
||
2. Summary
Financial Statement
|
Balance Sheet as of |
31.03.2011 |
(Unit: Indian Rs.) |
|
|
Assets |
Liabilities |
||
|
Current Assets |
101,356,200,000 |
Current Liabilities |
71138,100,000 |
|
Inventories |
3,815,100,000 |
Long-term Liabilities |
408827,700,000 |
|
Fixed Assets |
372,239,800,000 |
Other Liabilities |
63695,800,000 |
|
Deferred Assets |
0,000 |
Total Liabilities |
543661,600,000 |
|
Invest& other Assets |
279,920,500,000 |
Retained Earnings |
167372,700,000 |
|
|
|
Net Worth |
213670,000,000 |
|
Total Assets |
757,331,600,000 |
Total Liab. & Equity |
757,331,600,000 |
|
Total Assets (Previous Year) |
635,675,400,000 |
|
|
|
P/L Statement as of |
31.03.2011 |
(Unit: Indian Rs.) |
|
|
Sales |
83,887,000,000 |
Net Profit |
26,968,900,000 |
|
Sales(Previous yr) |
71,274,500,000 |
Net Profit(Prev.yr) |
20,409,400 |
MIRA
INFORM REPORT
|
Report Date : |
21.04.2012 |
IDENTIFICATION DETAILS
|
Name : |
POWER GRID
CORPORATION OF INDIA LIMITED |
|
|
|
|
Registered
Office : |
B-9, Qutab
Institutional Area, Katwaria Sarai, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2011 |
|
|
|
|
Date of
Incorporation : |
23.10.1989 |
|
|
|
|
Com. Reg. No.: |
55-38121 |
|
|
|
|
Capital Investment / Paid-up Capital : |
Rs.46297.300
Millions |
|
|
|
|
CIN No.: [Company
Identification No.] |
L40101DL1989GOI038121 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
DELP06685A |
|
|
|
|
PAN No.: [Permanent
Account No.] |
AAACP0252G |
|
|
|
|
Legal Form : |
Public Limited Liability
Company. Company’s Shares are Listed on the Stock Exchange. |
|
|
|
|
Line of
Business : |
Construction of
EHV AC and HVDC Transmission Lines, Substations, |
|
|
|
|
No. of Employees : |
979 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (66) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
Maximum Credit Limit : |
USD 630000000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a
Government of India company. It is a well established and a reputed company
having fine track records. Business is active. Payments are reported to be
regular and as per commitments. The company can
be considered normal for business dealings at usual trade terms and
conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
LOCATIONS
|
Registered Office : |
B-9, Qutab
Institutional Area, Katwaria Sarai, New Delhi – 110016, Delhi, India |
|
Tel. No.: |
91-11-26560112 /
26560115 / 26560193 / 26564892 |
|
Fax No.: |
91-11-26560054 /
26601081 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate
Office 1 : |
89, |
|
Tel. No.: |
91-11-2642 8808 |
|
Fax No.: |
91-11-2642 8357 /
2647 6133 |
|
E-Mail : |
|
|
Telex |
31-66138 / 65949 |
|
|
|
|
Corporate
Office 2 : |
Saudamini, Plot No.2,
Sector 29, Gurgaon – 122001, |
|
Tel No.: |
91-124-2571700
through 2571719 |
|
Fax No.: |
91-124-2571760 /
2571761 |
|
|
|
|
Factory /
Regional Office : |
Located at :-
Regional Head Quarter, SCO 84-85, Sector-16 (near Sagar Cinema), Contact Person: Mr. U. C. Mishra, General Manager
Regional Head Quarter, Vikas Bhawan, Rail Head Commercial Complex, Contact
Person:
Mr. S. K. Dobe, General Manager Tel. No. 91-191-2430723 / 2430995 Fax No. 91-191-2435293 Telegram: NATGRID
Regional Head Quarter, Contact Person: Mr. Mr. B. K. Banerjee, Executive Director Tel. No. 91-612-2230440 (Office) Fax No. 91-612-2228984 Telegram: NATGRID
Regional Head Quarter, Contact Person: Mr. Mr. A. R. Agarwal, Executive Director Tel. No. 91-364-2228621 / 2220149 Fax No. 91-2364-223985 Telegram: NATGRID
Regional Head Quarter, M. C. H. Commercial Complex, Contact
Person:
Mr. S. G. Bire, General Manager Tel. No. 91-40-2780 1522 (Office) / 2775 1715 (Res.) Fax No. 91-40-2780 8481 Telegram: NATGRID
Regional Head Quarter, Sampriti Nagar, P. O. Uppalwadi, Contact Person: Mr. D. K. Nandi, Executive Director Tel. No. 91-712-2641470 (Office) / 2641471(Res.) Fax No. 91-712-2641366 Telex: 0715-7356 Telegram: NATGRID |
|
|
|
|
Branch Office
: |
Located at:-
Tel. No. 91-22-23739188 |
DIRECTORS
As on 31.03.2011
|
Name : |
Mr. S. K. Chaturvedi |
|
Designation : |
Chairman and Managing Director |
|
|
|
|
Name : |
Mr. V. M. Kaul |
|
Designation : |
Director (Personnel) |
|
|
|
|
Name : |
Mr. R. N. Nayak |
|
Designation : |
Director (Operations) |
|
|
|
|
Name : |
Mr. I. S. Jha |
|
Designation : |
Director (Projects) |
|
|
|
|
Name : |
Mr. Rakesh Jain |
|
Designation : |
Government Nominee |
|
|
|
|
Name : |
Mr. I.C.P Keshari |
|
Designation : |
Director (from 6th March,2009 to 21st May,2009) |
|
|
|
|
Name : |
Mr. M. Ravi Kant |
|
Designation : |
Government Nominee |
|
|
|
|
Name : |
Mr. R. T. Agarwal |
|
Designation : |
Director (Finance) |
|
|
|
|
Name : |
Mr. Parvez Hyatt |
|
Designation : |
Chief Vigilance Officer |
KEY EXECUTIVES
|
Name : |
Ms. Divya Tandon |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.12.2011
|
Names of Shareholders |
Total No. of
Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
3214024212 |
69.42 |
|
|
3214024212 |
69.42 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
3214024212 |
69.42 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
132193430 |
2.86 |
|
|
51499069 |
1.11 |
|
|
199008280 |
4.30 |
|
|
605128403 |
13.07 |
|
|
987829182 |
21.34 |
|
|
|
|
|
|
180860802 |
3.91 |
|
|
|
|
|
|
218365605 |
4.72 |
|
|
13961802 |
0.30 |
|
|
14683750 |
0.32 |
|
|
1017662 |
0.02 |
|
|
6349463 |
0.14 |
|
Clearing Members |
1332164 |
0.03 |
|
|
5984461 |
0.13 |
|
|
427871959 |
9.24 |
|
Total Public shareholding (B) |
1415701141 |
30.58 |
|
Total (A)+(B) |
4629725353 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
-- |
-- |
|
|
-- |
-- |
|
|
-- |
-- |
|
|
-- |
-- |
|
Total (A)+(B)+(C) |
4629725353 |
-- |
(1) Indian
Central Government / State Government(s)
Individual shareholders holding nominal share
capital up to Rs. 0.100 millionsBUSINESS DETAILS
|
Line of Business : |
Construction of
EHV AC and HVDC Transmission Lines, Substations, |
|
|
|
|
Products : |
|
GENERAL INFORMATION
|
No. of Employees : |
979 (Approximately) |
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Bankers : |
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Facilities : |
|
|
|
|
|
Banking
Relations : |
- |
|
|
|
|
Statutory Auditors : |
|
|
Name : |
A. R. and Company
Chartered
Accountants |
|
Address : |
A-403,
Gayatri Apartment, Airlines Group Housing Society, Plot No. 27, Sector 10,
Dwarka, New Delhi – 110075, Delhi, India |
|
|
|
|
Name : |
Umamaheswara Rao
and Co. Chartered
Accountants |
|
Address : |
Flat
No. 5-H, ‘D’ Block, 8-3-324, Krishna Apartments, |
|
|
|
|
Name : |
S R I Associates Chartered
Accountants |
|
Address : |
3-B, |
|
|
|
|
Cost Auditor : |
|
|
Name : |
Jugal Kishore Puri Cost Accountant |
|
Address : |
K-19, NDSE Part II, New Delhi – 110 049, India |
|
|
|
|
Name : |
Chandra Wadhwa and Company Cost Accountant |
|
Address : |
204, Krishna House, 4805/24, Bharat Ram Road, Darya Ganj, New Delhi –
110 002, India |
|
|
|
|
Name : |
Mani and Company Cost Accountants |
|
Address : |
Ashoka, 111, Southern Avenue, Kolkata-700 029, West India, India |
|
|
|
|
Joint Ventures: |
|
|
|
|
|
Subsidiaries : |
The name of
another subsidiary, namely Byrnihat Transmission Company Limited has been
struck off from the Register and the Company has been dissolved during the
year. |
CAPITAL STRUCTURE
AS ON 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
10,00,00,00,000 |
Equity Share |
Rs.10/- Each |
Rs.100000.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
4,62,97,25,353 |
Equity Share |
Rs.10/- Each |
Rs.46297.300
Millions |
Note:
Of the above 1,81,25,29,500
(Previous Year 1,81,25,29,500 ) equity Shares have been allotted as fully paid
up pursuant to Government of India notification without payment being received
in cash.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
46297.300 |
42088.400 |
42088.400 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
167372.700 |
117330.600 |
104147.500 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
213670.000 |
159419.000 |
146235.900 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
363250.700 |
313457.800 |
252882.500 |
|
|
2] Unsecured Loans |
45577.000 |
30710.100 |
31771.800 |
|
|
TOTAL BORROWING |
408827.700 |
344167.900 |
284654.300 |
|
|
DEFERRED TAX LIABILITIES |
11467.400 |
7035.100 |
5385.400 |
|
|
DEFERRED REVENUE |
23473.800 |
24124.500 |
23849.400 |
|
|
|
|
|
|
|
|
TOTAL |
657438.900 |
534746.500 |
460125.000 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
372239.800 |
320612.600 |
311284.400 |
|
|
Capital work-in-progress |
129636.800 |
102423.700 |
65334.300 |
|
|
Construction Stores and Advance |
136609.100 |
101798.100 |
67525.700 |
|
|
|
|
|
|
|
|
INVESTMENT |
13650.500 |
14532.200 |
15928.300 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
3815.100
|
3449.000
|
2975.700
|
|
|
Sundry Debtors |
31620.900
|
22148.600
|
13735.600
|
|
|
Cash & Bank Balances |
36800.600
|
32776.400
|
24288.800
|
|
|
Other Current Assets |
4994.900
|
4875.200
|
14462.800
|
|
|
Loans & Advances |
27939.800
|
33024.000
|
27666.300
|
|
Total
Current Assets |
105171.300
|
96273.200
|
83129.200
|
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
18367.800
|
10606.200
|
10728.800
|
|
|
Other Current Liabilities |
52770.300
|
65739.800
|
50504.900
|
|
|
Provisions |
28754.600
|
24582.900
|
21898.200
|
|
Total
Current Liabilities |
99892.700
|
100928.900
|
83131.900
|
|
|
Net Current Assets |
5278.600
|
(4655.700)
|
(2.700)
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
24.100 |
35.600 |
55.000 |
|
|
|
|
|
|
|
|
TOTAL |
657438.900 |
534746.500 |
460125.000 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from Operations |
83887.000 |
71274.500 |
65798.100 |
|
|
|
Provision Written Back |
402.200 |
2.100 |
0.400 |
|
|
|
Other Income |
6708.800 |
3759.200 |
4486.900 |
|
|
|
TOTAL (A) |
90998.000 |
75035.800 |
70285.400 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Employee Remuneration and Benefit |
7458.900 |
7267.000 |
6438.800 |
|
|
|
Transmission Administrative and Other Expenses |
5856.500 |
5074.300 |
4116.100 |
|
|
|
Provisions |
39.800 |
221.500 |
462.300 |
|
|
|
Deferred Revenue Expenditure written off |
18.600 |
17.800 |
18.300 |
|
|
|
Prior Period Adjustment |
43.700 |
962.700 |
703.600 |
|
|
|
TOTAL (B) |
13417.500 |
13543.300 |
11739.100 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
77580.500 |
61492.500 |
58546.300 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
17339.300 |
15432.400 |
25320.900 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
60241.200 |
46060.100 |
33225.400 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
21993.900 |
19796.900 |
10939.700 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
38247.300 |
26263.200 |
22285.700 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
11278.400 |
5853.800 |
5379.600 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
26968.900 |
20409.400 |
16906.100 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
243.300 |
469.200 |
339.700 |
|
|
|
|
|
|
|
|
|
Add |
Bond Redemption Reserve Written Back |
2558.100 |
1661.900 |
1394.200 |
|
|
|
|
|
|
|
|
|
Add |
Withdrawal from STOA Reserve |
1412.500 |
819.700 |
226.500 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Interim Dividend Paid |
2315.100 |
2104.600 |
2104.600 |
|
|
|
Corporate Dividend Tax Paid |
384.500 |
357.700 |
357.700 |
|
|
|
Proposed Final Dividend |
5787.200 |
4208.800 |
2946.200 |
|
|
|
Provision for Corporate Dividend Tax |
938.800 |
699.000 |
500.700 |
|
|
|
Transfer to Self Insurance Reserve |
425.300 |
377.500 |
349.300 |
|
|
|
Transfer to Bonds Redemption Reserve |
7807.700 |
6301.300 |
4912.300 |
|
|
|
Transfer to STOA Reserve |
1412.500 |
819.700 |
226.500 |
|
|
|
Transfer to LDC Development Reserve |
151.600 |
164.400 |
0.000 |
|
|
|
Transfer to CSR Activities Reserve |
48.300 |
83.900 |
0.000 |
|
|
|
Transfer to General Reserve |
11500.000 |
8000.000 |
7000.000 |
|
|
BALANCE CARRIED
TO THE B/S |
411.800 |
243.300 |
469.200 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Interest |
0.100 |
0.000 |
2.900 |
|
|
|
Consultancy Fee |
193.700 |
23.700 |
7.200 |
|
|
TOTAL EARNINGS |
193.800 |
23.700 |
10.100 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Stores & Spares |
29.500 |
17.600 |
10.200 |
|
|
|
Capital Goods |
18203.600 |
4705.000 |
11261.600 |
|
|
TOTAL IMPORTS |
18233.100 |
4722.600 |
11271.800 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
6.19 |
4.85 |
4.01 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2011 |
30.09.2011 |
31.12.2011 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
|
Net Sales |
22024.900 |
22643.500 |
24666.200 |
|
Total Expenditure |
3825.700 |
4628.200 |
3778.600 |
|
PBIDT (Excl OI) |
18199.200 |
18015.300 |
20887.600 |
|
Other Income |
1432.400 |
1942.000 |
1206.100 |
|
Operating Profit |
19631.600 |
19957.300 |
22093.700 |
|
Interest |
4190.400 |
4593.300 |
4705.700 |
|
Exceptional Items |
(12.500) |
21.000 |
(31.100) |
|
PBDT |
15428.700 |
15385.100 |
17356.900 |
|
Depreciation |
5790.300 |
5966.300 |
6792.300 |
|
Profit Before Tax |
9638.400 |
9418.800 |
10564.600 |
|
Tax |
2585.500 |
2331.400 |
2472.300 |
|
Provisions and
contingencies |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
7052.900 |
7087.400 |
8092.300 |
|
Extraordinary
Items |
0.000 |
0.000 |
0.000 |
|
Prior Period
Expenses |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
|
Net Profit |
7052.900 |
7087.400 |
8092.300 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
29.64
|
27.20
|
24.05
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
45.59
|
36.85
|
33.87
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
8.01
|
6.30
|
5.65
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.18
|
0.16
|
0.15
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
2.38
|
2.76
|
2.52
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.05
|
0.95
|
1.00
|
LOCAL AGENCY FURTHER INFORMATION
|
Check List by Info Agents |
Available in Report (Yes / No) |
|
1) Year of Establishment |
Yes |
|
2) Locality of the firm |
Yes |
|
3) Constitutions of the firm |
Yes |
|
4) Premises details |
No |
|
5) Type of Business |
Yes |
|
6) Line of Business• |
Yes |
|
7) Promoter’s background |
No |
|
8) No. of employees |
Yes |
|
9) Name of person contacted |
No |
|
10) Designation of contact person |
No |
|
11) Turnover of firm for last three years |
Yes |
|
12) Profitability for last three years |
Yes |
|
13) Reasons for variation <> 20% |
-- |
|
14) Estimation for coming financial year |
No |
|
15) Capital in the business |
Yes |
|
16) Details of sister concerns |
Yes |
|
17) Major suppliers |
No |
|
18) Major customers |
No |
|
19) Payments terms |
No |
|
20) Export / Import details (if applicable) |
No |
|
21) Market information |
-- |
|
22) Litigations that the firm / promoter |
-- |
|
23) Banking Details |
Yes |
|
24) Banking facility details |
Yes |
|
25) Conduct of the banking account |
-- |
|
26) Buyer visit details |
-- |
|
27) Financials, if provided |
Yes |
|
28) Incorporation details, if applicable |
Yes |
|
29) Last accounts filed at ROC |
Yes |
|
30) Major Shareholders, if available |
Yes |
Performance
highlights of the Company during FY 2010-11 are briefly mentioned here to give
an overview of accomplishments in all fronts:
·
Made
an investment of Rs.120050.000 Millions during the year, an increase of about 13%
over the investment made in last year (Rs.106170.000 Millions).
·
On the
project implementation front, added about 6,760 ckm of transmission lines, 11
new sub-stations and transformation capacity of about 9,500 MVA.
·
Assets
worth Rs.73130.000 Millions are declared under commercial operation.
·
Investment
approval for 25 new transmission projects worth about Rs.211500.000 Millions
was accorded by the Board. This includes the project of international
importance, “Cross country grid Interconnection between India and Bangladesh”.
·
Transmission
system availability of 99.80% was achieved, highest so far in the history of
the Company. There was no major grid disturbance in any part of the country
during the year and grids were operated smoothly.
·
Inter-Regional
power transfer capacity addition of 1,600 MW was achieved during the year with
the commissioning of Barh – Balia 400 kV Double circuit (Quad) line, enhancing
inter-regional capacity of National Grid to 22,400 MW.
·
Under
consultancy business, a total of 45 new orders with estimated project cost of
about Rs.6000.000 Millions received, and in this financial year, revenue of
Rs.2993.500 Millions is earned from Consultancy business as compared to
Rs.2690.000 Millions earned during previous year.
OPERATIONA L EXCELLENCE
The Company, with
its strong in-house expertise in all specialised areas of power transmission
business, has carved a niche for itself amongst the largest transmission
utilities in the world. Today, the Company wheels about 50% of total power
generated in the country through its transmission network. As on 31st March,
2011, the Company owns and operates a transmission network of 82,355 ckm of
transmission lines, 135 nos. of EHV and HVDC substations and transformation
capacity of about 93,050 MVA.
During FY 2010-11,
transmission system availability of 99.80% was achieved for their transmission
network. Besides, number of trippings per line was also contained at 1.27
against MoU target of 2.5 under “Excellent” category. Maintaining such high
availability was possible through deployment of state-of-the-art Operation and
Maintenance techniques at par with international standards.
The Company follows
state-of-the-art preventive maintenance. Equipment health is assessed
periodically using “Condition Assessment Techniques”. Maintenance activities
are planned well in-advance and an “Annual Maintenance Plan” is chalked out for
every asset through live line or shut down as per technical feasibility. The
Company also employs state-of-the-art “Emergency Restoration System” for
restoration of collapsed transmission lines, due to natural calamities or
otherwise, in shortest possible time. Replacement of aged assets has also been
taken up as per prevalent CERC tariff regulations.
O and M activities
of the Company are ISO certified. Systems and procedures are in place and being
upgraded periodically to keep abreast with the latest technology. Formats for
documentation on schedule and procedures have been standardized for all assets.
All substations and line offices can access these documents through Company’s
web-portal. Periodic reviews are also conducted at regional level as well as at
Substations and Line offices to evaluate implementation of the systems and
procedures.
Presently, about 30
sub-stations of POWERGRID are operated remotely and many new sub-stations are
being designed for remote operation. For further improvement in operational
efficiency, “National Transmission Asset Management Centre” is being
established to control and operate most of the sub-stations remotely and
establishment of “Maintenance Service Hub” facility has commenced, which caters
to the maintenance need of a group of sub-stations rather than placing staff in
each sub-station. This will not only help in optimal utilisation of manpower and
resources but also reduce the response time in case of faults and breakdowns.
Options are also
being explored for use of Robots in transmission lines’ inspection besides
aerial patrolling of transmission lines using helicopters, to optimise manpower
requirement/ time management for line patrolling and improve efficiency in
maintaining them.
PROJECT IMPLEMENTATION
Transmission
projects are planned, implemented, monitored and controlled through Integrated
Project Management and Control System, which has been developed matching with
the organization structure, effective working, flow of information and
feedback. Project implementation activities involves total project review and
monitoring including Standardisation of Designs, Project Review Meetings at regular
intervals through video conferencing, pre-emptive measures and advance actions
on various project linked activities such as land acquisition, state-of-the-art
survey techniques and soil investigations, tender activities, funding tie-up,
etc. in parallel with project investment approval process.
During FY 2010-11,
transmission projects worth Rs.73130.000 Millions were commissioned as compared
to Rs.36100.000 Millions for the previous year. The Company has commissioned
about 6,760 ckm of transmission lines, 11 new sub-stations and transformation
capacity of about 9,500 MVA. These additions to the Company’s network have
helped in improving power supply situation in various regional grids leading to
improved system reliability and better grid stability to meet the total all
time high peak demand of 111GW and 811BU of energy in 2010-11.
Presently,
transmission projects of about Rs.930000.000 Millions are under various stages
of implementation and are progressing well matching with commissioning schedule
of generation projects in the country. This includes 25 new transmission
projects approved by the Board of Directors in FY 2010-11 at an estimated cost
of about Rs.211500.000 Millions comprising of about 8,000 ckm of transmission
lines and 5200 Km of fibre optic network, 23 nos. sub-stations and
transformation capacity of about 32,000 MVA. Major ongoing projects are,
Transmission System associated with generation projects like Subansiri and
Kameng HEPs (which includes 2000 km, ±800 kV HVDC bipole link), DVC and Maithon
Right Bank project, Sasan, Mundra and Krishnapatnam Ultra Mega Power Projects,
Pallatana GBPP, Bongaigaon TPS, Transmission system for transfer of power from
Bhutan to NR/WR, Interconnection between Indian and Bangladesh power grids,
Development of High Capacity Transmission corridor for phase-I IPPs in the
State of Odisha, Transmission system for IPP Generation Projects in the State
of Sikkim and Chhattisgarh, etc. and System Strengthening schemes in Northern,
Eastern, Western and Southern Regions etc. The Company has an impeccable track
record of not bottling up of even a single Mega Watt of power from central
sector generation projects for want of inter-State transmission system.
FINANCIAL MANAGEMENT
The Company
exhibited an impressive financial performance during FY 2010-11, earning a net
profit of Rs.26970.000 Millions, thereby registering a highest ever rise of 32%
as compared to previous year’s profit of Rs.20410.000 Millions. Turnover of the
Company stands at Rs.91000.000 Millions from Rs.75040.000 Millions during FY
2009-10, i.e. up by 21%. Gross Asset Base has been enhanced to Rs.503520.000
Millions from Rs.432020.000 Millions in FY 2009-10.
COMMERCIAL PERFORMANCE
The Company’s performance
on commercial front is highly satisfactory, especially in terms of realisation
of transmission charges. During the year 2010-11, current realisation stood at
about Rs.71920.000 Millions, the highest so far, against Rs.65700.000 Millions
realized last year. Post-securitisation, outstanding dues (beyond 90 days of
billing) stands at ‘nil’ as on March 31, 2011. The present LC coverage is about
Rs.5670.000 Millions which is equivalent to 115% of average monthly billing.
During the year, a total of 222 petitions of transmission projects involving
transmission charges of Rs.29570.000 Millions were filed with CERC for Tariff
period 2009-14. It includes filing of advance petitions, for the assets whose
DOCO are anticipated till June, 2011.
As per CERC Regulation
on Sharing of Inter-State Transmission charges and losses, 2010, the Company,
as CTU, has been mandated to perform Billing, Collection and Disbursement (BCD)
on behalf of all the inter-State Transmission Service licensees. In view of
this, new Transmission Service Agreement, Revenue Sharing Agreement and BCD
procedures after incorporating comments from designated inter-State Customers
and inter-State Transmission System licensees were drafted and submitted to
CERC for approval. Several workshops have been conducted across all the regions
with the State Transmission Utilities and DISCOMs for their institutional
building for new billing, collection and disbursement mechanism.
DEVELOPMENT OF NATIONAL GRID
The Company is
taking adequate measures for strengthening/ establishing the inter-State and
inter-regional links for enhancing the capacity of National Grid in a time
bound manner so as to ensure optimal utilization of uneven distribution of
energy resources. Inter-Regional capacity addition of 1,600 MW was achieved
during the year with the commissioning of Barh–Balia 400 kV Double circuit
(Quad) line in June, 2010. By 31st March 2011, National Grid with
inter-regional power transfer capacity of about 22,400 MW has been established,
placing it among one of the largest synchronous grid in the world with
installed generation capacity of about 1,17,000 MW. Currently, substantial
power is being exchanged across the regional grids and the capacity of this
National Grid is planned to be enhanced to about 28,000 MW by the end of XI
Plan with the expectation of generation capacity addition as programmed.
GRID MANAGEMENT
Development of
National Grid through reliable and stable operation of regional power grids has
been a priority area for the Company. The Company is facilitating power
evacuation from Central Sector Generating Stations through its strong and
robust transmission network and it is a matter of great pride that evacuation
constraint has not been generally faced by any Central Sector Generating Station
during the year.
Grid Management is
carried out through a hierarchial control philosophy using Supervisory Control
and Data Acquisition, SCADA. Considering the increased complexity of grid
operation of such a large network of the country, the facilities at all the
five Regional Load Despatch Centers and National Load Despatch Centre are being
upgraded continuously through deployment of latest technology. The Company’s
effective grid management measures and techniques are not only paying rich
dividends but also restricted minimal grid disturbances besides improvement in
vital grid parameters, improved data availability, visibility and transparency.
This is very well demonstrated since Indian Power Grids have not experienced
any major grid disturbance during more than last eight years. Even minor grid
disturbances in regional grids have come down significantly.
All these measures
have also led to increase in inter-regional power exchanges on real-time basis
and helped in meeting more demand of energy deficit regions, thereby improving
overall economy of the country. During FY 2010-11, about 56,700 Million Units
(MUs) of inter-regional energy transfer was facilitated across the country as
compared to about 52,000 MUs during FY 2009-10. The frequency remained within
the prescribed IEGC band (49.5 – 50.2 Hz) for most of the period.
On behalf of
various State Power utilities and other players in the regional pool,
POWERGRID, through its RLDCs, facilitated settlement of UI charges to the tune
of Rs.103570.000 Millions in FY 2010-11.
Power System
Operation Corporation Limited (POSOCO), a 100% subsidiary of the Company which
was set up to look after Grid Management function in line with GoI directive,
has started commercial operation from 1st October, 2010.
Open Access in
Inter-State transmission:
In order to promote
development of competitive electricity market, Short Term Open Access (STOA) in
inter-State transmission was successfully implemented since 2004.
Under STOA, about
19,900 transactions were approved during the year involving more than 55,000
MUs of energy. Since introduction of STOA in May, 2004, cumulatively more than
73,600 bilateral transactions have taken place and about 218 Billion Units
(BUs) have been exchanged. Around hundred captive power plants across the
country have also availed the benefit of STOA.
Being the nodal
agency for grant of Long Term Access (LTA) to private producers, the Company
has undertaken development of high capacity transmission corridors for
evacuation of large quantum of power from various IPP generation projects. LTA
has been granted for about 90,000 MW to 135 nos. of IPP projects. Development
of transmission system for IPPs generation projects was a major concern
especially due to non-finalisation of beneficiaries and firm commissioning
schedule of generation projects by the generating companies. Taking the lead
role, the Company organized various meetings with power generation developers,
CEA, Ministry of Power and took up the case with CERC actively thereby
achieving timely development of transmission systems for IPPs. Nine High
Capacity Power Transmission Corridors have been finalized for meeting
evacuation requirement of IPPs coming up in the State of Jharkhand, Odisha,
Chattisgarh, Madhya Pradesh, Andhra Pradesh and Tamil Nadu at an estimated cost
of about Rs.580000.000 Millions, for which regulatory approval was accorded by
CERC in May, 2010. Implementation of these corridors has been taken up by the
Company in a phased manner matching with progress of generation projects. This
shall go a long way in integrated development of transmission system in the
country.
TECHNOLOGY DEVELOPMENT
Conserving
Right-of-Way (RoW), minimizing impact on natural resources, coordinated development
of cost effective transmission corridor, flexibility in upgradation of transfer
capacity of lines matching with power transfer requirement are major areas of
concerns in development of transmission network in the country. In order to
address these issues effectively and to ensure development of efficient,
coordinated and economical inter-State transmission system, the Company has
undertaken several technological innovations.
For efficient
utilisation of precious RoW, the Company is deploying state-of-the-art
technologies such as high temperature low sag Conductors, series compensation
including Thyristor Control, Multi Circuits, Compact and Tall Towers, High
Surge Impedance Loading Lines, etc. For effective grid operation, high-tech
OandM practices such as hotline maintenance, live line washing of insulators,
use of emergency restoration system, large scale automation of sub-stations,
etc. are being adopted.
The Company gives
priority to research activities with potential for societal, environmental and
national benefits by application of advance technologies and finding solutions
to gear up for future challenges. After commissioning and operating 765 kV UHV
AC and ±500kV HVDC transmission system, POWERGRID is now working on next higher
transmission voltages of 1200 kV UHVAC and ±800kV HVDC Systems to achieve
efficient utilization of RoW and increased power transfer capability for
transfer of bulk power over long distances.
The 1200kV UHV AC
technology is being developed by the Company for the first time in the world.
This is one of the unique R and D projects in public-private partnership model.
Development of 1200kV UHVAC technology has already been initiated by
establishment of a Test Station (at Bina in the State of Madhya Pradesh), which
is under progress as a collaborative effort with 34 indigenous equipment
manufacturers who are partners in this development process. The objective of
the project is development and establishment of 1200kV voltage level in the
country with concerted co-ordination among technical experts for finalization
of technical parameters, field testing, and trial operation etc. and extend
support to equipment manufacturers for indigenous development of 1200kV system
equipment. This endeavour shall not only benefit Indian Power sector but also
Indian manufacturers who would emerge as world leader for 1200kV class
equipment. With the introduction of Ultra High Voltage in the transmission
system, in addition to enhanced power transfer capability of the line, it will
help in reduction of transmission losses and minimise Right of Way requirement.
Implementation of
+/- 800 kV, 6000 MW HVDC Bi-pole of length around 2000 Km from North Eastern
region (Biswanath Chariali in the State of Assam) to Northern Region (Agra in
the State of Uttar Pradesh) is under construction. This shall facilitate high
quantum of power transfer. Once implemented, this shall be the longest +/-
800kV HVDC line.
The Company is
taking leadership initiative for implementation of Smart Grid Technology in the
country. In this direction, the Company has implemented Smart Grid Pilot
Project using WAMS in Northern Region Grid, for the first time in India. “India
Smart Grid Task Force”, being headed by Mr. Sam Pitroda, Adviser to Hon’ble
Prime Minister on Public Information Infrastructure and Innovations, is a nodal
point for Government’s activities related to Smart Grid. Secretariat of this
prestigious forum is now being operated by the Company.
High Temperature
Superconducting cable provides unique solution of large amount of power
transmission at lower voltage. In order to study the preliminary feasibility of
developing the use of superconducting technology in transmission, an
experimental superconducting AC line parallel to existing transmission line of
220kV at Gurgaon Gas Insulated Substation (GIS) is being explored.
Lightning mapping
of the system is very useful in optimizing lightning protection design and real
time operation and maintenance of transmission lines. Pollution mapping helps
in optimal insulation design and maintenance of transmission lines. Considering
huge transmission expansion plan, POWERGRID has initiated pollution mapping of
Northern Region in association with CPRI, Bangalore and lightning mapping in
North-Eastern Region.
National High Power
Test Laboratory Private Limited (NHPTL), a Joint Venture Company of POWERGRID,
NTPC, NHPC and DVC has been created in May, 2009 for establishment of a fully
independent, professionally managed, international class, “On Line High Power
Short Circuit Test Facility” in India which shall provide a full range of short
circuit test facilities for electrical equipment manufacturing industry and
power utilities.
Green initiatives
Major reason for
continuous degradation of earth’s climate and environment may be attributed to
emission of billions of tons of greenhouse and other potent gases in atmosphere
due to mankind’s heavy dependence on fossil fuel for many of its daily needs.
As Indian population is increasing and economy is growing at large pace, demand
for power will increase manifold. It is well established fact that growth
brings with it the risk of environmental problems, and unless significant
energy conservation measures and large scale use of eco-friendly measures are
undertaken, necessitating huge investments to protect the environment.
Transmission
projects can play a significant role in harnessing clean/green power through
innovative and challenging initiatives. Accordingly, POWERGRID, being a
responsive organisation, is constructing ±800kV HVDC high capacity transmission
system for transfer of about 6,000 MW of power from hydro projects in
North-Eastern Region to far away beneficiaries in Northern and Western Regions.
The expected environmental benefits are:
·
Will
reduce CO2 emissions by replacing thermal generation at load centres of
Northern and Western Regions by transmitting about 6,000 MW of clean/green
hydro power generated in phases in the remote and under developed North-Eastern
Region of the country with negligible environment impact.
·
Otherwise,
the Northern and Western Regions of the country, which are deficit in energy,
would set up equivalent coal fired thermal power plants. It is envisaged that
about 257 million tons of CO2 emission would be reduced during the 30 year
lifecycle of the HVDC transmission system.
It is heartening to
note that their sincere efforts towards environment protection has started
bearing fruits in terms of the appreciation and awards POWERGRID had received
during the last three years.
BUSINESS DEVELOPMENT AND CONSULTANCY
The Company has
acquired in-house expertise at par with global standards in the field of
Planning, Design, Engineering, Load Despatch and Communication,
Telecommunication, Contracts, Finance and Project Management. Utilising this
expertise, consultancy is being offered at national and international level.
The Company has
emerged as a strong player in transmission sector in South Asia, Middle-east
Asia and African countries and is providing consultancy services in United Arab
Emirates (UAE), Nigeria and Bangladesh. The Company has been keenly
participating in projects funded by ADB, The World Bank, and other foreign
organizations in various countries like Vietnam, China, Kenya, Ethiopia,
Uzbekistan, Afghanistan and Bangladesh.
Throughout the
year, business development opportunities continued to receive focussed
attention and thrust across the entire value chain of the power sector. During
the year 2010-11, the Company has bagged 45 new assignments having project cost
of about Rs.6000.000 Millions. The Company has earned revenue of about
Rs.2993.500 Millions during FY 2010-11 as consultancy fee from its various
ongoing assignments against Rs.2690.000 Millions earned last year.
Further, the
Company is playing an active role in preparing a roadmap for developing SAARC
market for electricity on a regional basis to develop a cross country
power-grid, harnessing each other's capacities and resources in order to
address the growing energy need in the region. Presently, various
interconnections exist between India and Nepal and between India and Bhutan.
For evacuation of power from various upcoming HEPs in Bhutan, Punatsangchhu-I
HEP (in Bhutan) – Alipurduar (in India) 400 kV D/c line between Bhutan and
India is under implementation and expected to be completed by 2015. Further, an
asynchronous interconnection between India and Bangladesh through 500 MW HVDC
back-to-back terminal along with Bheramara (Bangladesh) – Baharampur (India)
400kV D/C line is under implementation and expected to be completed by 2013. In
addition, an interconnection between
India and Sri Lanka
through HVDC bipole link including submarine cable for sea portion is being
finalised. Further, for bulk transfer of power, interconnection between India
and Nepal through 400 kV Dhalkebar (in Nepal) - Muzaffarpur (in India) D/C
transmission line is under finalisation.
TELECOM BUSINESS
In order to shore
up its revenue base, POWERGRID spotted the opportunity of convergence between transmission
and telecom, and entered into telecom business to leverage its country wide
transmission infrastructure. The Company is currently managing about 25,000 km
of telecom network connecting all metros, major cities and towns, which has
been maintained at an availability of 99.98%.
It is their
constant endeavour to provide a robust highway of telecommunication at
affordable cost with ultra modern and ecofriendly implementation techniques.
The Company is one of the few telecom players with marked presence in remote
areas and has acquired Infrastructure Provider Category-I (IP-I), Internet
Service Provider (ISP) Category ‘A’ and National Long Distance (NLD) licenses
to provide a variety of services.
During 2010-11,
telecom business earned revenue of about Rs.1872.000 Millions for the Company.
Revenue realization to the tune of 99% of total sales was achieved during the
year. The telecom business registered a Profit before Tax of Rs.297.300
Millions for the financial year ended 31st March 2011; and Order Book rose to
about Rs.6500.000 Millions in FY 2010-11 from Rs.4100.000 Millions in previous
year (i.e. up by 58%) despite a general slowdown experienced by Telecom
industry due to intense price wars.
The Company is one
of the implementing agencies for the prestigious National Knowledge Network
project at a project cost of Rs.60000.000 Millions. The project envisages a
gigantic 3 layer Telecom network of all knowledge centres across the country
such as IITs, IISc, etc. on high speed connectivity. In this, the Company has
bagged a contract of Rs.9000.000 Millions to be realised over a period of 10
years, out of which advance of Rs.3840.000 Millions was received during FY
2010-11.
With the focus now
shifting more towards rural connectivity, POWERGRID’s role in telecom becomes
even more significant as it has presence in rural and remote areas of the
country by way of its Power Transmission network. Considering an ever
increasing base of transmission towers across the country with a present base
of about 1,50,000 towers including remote/ rural areas, a business model of
leasing transmission towers for placing telecom antennas has been formulated to
generate additional business. In the first phase, tower space has been leased
out in 3 States of J and K, HP and Punjab for installation of Telecom Antennas
and for other States, it is under process. The Company has made synergic
tie-ups with multiple service providers for spreading out of its Point of
Presence to more than 2200 nodes on Pan-India basis. Company is also venturing
into Multi-protocol Label Switching services as a value addition to its Dense
Wavelength Division Multiplexing / Synchronous Digital Hierarchy based Point to
Point Telecom Network and has ventured into Data Center business for in-house
requirement. This indeed is a major leap in achieving strategic network
expansion by which the Company has strengthened its capabilities to reach and
cater even remotely placed segments particularly small towns and villages.
In recognition of
its sturdy and reliable Telecom Infrastructure and its Telecom services, the
Company has been conferred with “Emerging Telecom Infrastructure Provider
Award” by INFOCOM CMAI National Telecom Awards, 2010.
Management Discussion and Analysis
Economic outlook
The Growth rate of
the Country’s Gross Domestic Product1 posted a further recovery of 8.5 per cent
in 2010-11 representing an increase from the revised growth of 8.0 per cent
during 2009-10 and from 6.7 per cent during 2008-09. The growth shows that the
Country emerged rapidly from the economic slowdown caused by the global
financial crisis of 2007-09. To ensure the envisaged GDP growth, Power Sector
needs to grow at a rate higher than that of GDP. Therefore, continued focus on
investments on Power sector is essential.
Sectoral outlook
The 11th Plan had
originally envisaged a capacity addition of 78,700 MW. The revised mid term
appraisal target for total capacity addition is now 62,374 MW, which is about
three times the capacity addition that took place in the 10th Plan.
POWERGRID - the company
POWERGRID is a
“Navratna” Company for more than three years now. The Navratna status provides
us with powers to undertake new transmission projects of any amount without
Government approval.
POWERGRID is also
entrusted with role of Central Transmission Utility (“CTU”) by GoI. In this
role, the Company operates as one of the chief agencies responsible for the
planning and development of the country’s nationwide power transmission
network, including interstate networks. As CTU we are required to:
(a) undertake
transmission of electricity through the inter-state transmission system;
(b) discharge all
functions of planning and co-ordination relating to inter-state transmission
systems, with certain specified authorities and stakeholders;
(c) ensure
development of an efficient, coordinated and economical system of inter-state
transmission lines for smooth flow of electricity from generating stations to
load centres; and
(d) provide
non-discriminatory open access to its transmission system for use by any
licensee or generating company on payment of transmission charges and to any
consumer on payment of transmission charges and a surcharge thereon in
accordance with the Electricity Act.
In line with above,
POWERGRID, the CTU is playing a pivotal role in Inter-State Transmission
network planning and development at regional and national level. The network is
developed based on the National Electricity Plan in coordination with all
concerned agencies. Nine nos. high capacity transmission corridors mainly
comprising of 765kV D/c and ±800kV 6000MW HVDC lines are being developed across
the country to enhance the transmission capacity of the National grid and
facilitate transfer of power from various generation complex to bulk load
centres in particular and development of competitive electricity market in
general. Regulatory approval for implementation of above corridors also
obtained by CTU. In addition, a number of grid strengthening schemes including
inter-regional strengthening have been identified by CTU for implementation.
Above schemes shall facilitate enhancement of ISTS as well as inter-regional
capacity. Further, to encourage the capacity addition programme, CTU has been a
catalyst in introduction of connectivity, Short / Medium-term Open Access
(STOA/MTOA) and Long-term Access (LTA) mechanisms. CTU in its role towards
providing connectivity and Medium-term Open Access(MTOA), Long-term Access
(LTA), has already granted LTA to 135 applicants and connectivity to 39 IPP
applicants with total capacity of about 155,000MW including MTOA.
Considering the
need for sustainable development, CTU has imparted focus towards integration of
emerging technologies like
1200kV UHVAC,
±800kV 6000MW HVDC, FACTS, Smart Grid etc. into transmission development, which
are first of its kind in the country.
Towards development
of transmission infrastructure through tariff based competitive bidding
process, CTU is also playing key role. CTU has already identified transmission
schemes worth Rs.10,000 Cr. which are being implemented through tariff based
competitive bidding process. CTU is providing technical inputs in Standard
Bidding Document (SBD), finalisation of implementation schedule of transmission
system to be implemented through tariff based bidding in coordination with CEA.
CTU during
operation stage is also carrying out Billing, Collection and Disbursement of
ISTS transmission charges besides signing of TSA (Transmission Service
Agreement) and RSA (Revenue Sharing Agreement) with the ISTS users.
A major development
in the transmission sector is that tariff based competitive bidding has been
effective for transmission projects w.e.f. 06th January, 2011. Competitive
bidding, however, is not applicable for transmission projects requiring
upgradation/strengthening of existing transmission lines and associated
sub-stations and also not for projects for which Bulk Power Transmission
Agreement/Transmission Service Agreement (BPTA/TSA) have been signed upto
05.01.2011. POWERGRID had already signed BPTAs for nine nos. of High Capacity
Power Transmission Corridors which have a tentative cost estimate of about
Rs.580000.000 Millions, to be executed progressively through XII Plan and for a
no. of other projects.
Exemptions have
also been extended by Ministry of Power in July, 2011 from competitive bidding
route for first two experimental works for 1200 kV UHVAC line; works to cater
an situation or any requirement in compressed time schedule by CTU/State
transmission Utility (STU), as decided by Central Govt. on a case to case
basis; for intra-state transmission projects by STUs for further 2 years beyond
6th Jan, 2011.
Growth in Transmission:
Keeping in view the
large incremental capacity addition requirements of the current Plan and to fulfill
the macro objective of Power sector, POWERGRID is oriented towards
implementation of generation evacuation schemes, strengthening of regional
grids, development of an integrated National Grid with flexibility for power
transfer from one region to another. POWERGRID has, till 31st March, 2011:
Established Transmission
·
Network
of 82,355 Circuit kms. of Extra High Voltage Transmission Lines, 135 nos. of
EHVAC and HVDC sub-stations with a total transformation capacity of 93,050 MVA.
·
Inter-regional
power transfer capacity of about 22,400 MW1,
·
Maintained
the transmission system availability at 99.80% at par with the International
utilities.
·
Wheeled
about 50% of the total power generated in the Country through its transmission
network.
Financial Discussion and Analysis
Comparison of Fiscal 2011 to Fiscal 2010
The Company’s total
income in Fiscal 2011 was Rs.90998.000 Millions, which represented an increase
of 21.27% over the total income of Rs.75035.800 Millions in Fiscal 2010. In
Fiscal 2011, transmission and transmission-related activities constituted
86.84% of their total income, with the balance coming from their consultancy,
telecommunication business and other incomes.
Income
Revenue from Operations
|
Revenue from Operations |
Fiscal 2011 |
Fiscal 2010 |
|
Revenue from transmission
charges |
76906.400 |
65763.800 |
|
Transmission income from
short term open access |
2115.100 |
1241.800 |
|
Consultancy fees |
2993.500 |
2691.700 |
|
Revenue from telecom |
1872.000 |
1577.200 |
|
Total |
83887.000 |
71274.500 |
The revenue was
higher in Fiscal 2011 as compared to Fiscal 2010 mainly on account of full year
impact of transmission assets worth Rs.36098.200 Millions commissioned during fiscal
2010 and the commissioning of new transmission assets worth Rs.73130.000
Millions during fiscal 2011 including the major projects Barh Transmission
System, Kudankullam Transmission System, Western Region System Strengthening –
II. The projects commissioned in Fiscal 2011 have generated revenue from the
date of commercial operation during the year.
BUSINESS AND FINANCIAL REVIEW OF JOINT
VENTURE COMPANIES and SUBSIDIARY:
Powerlinks Transmission Limited (POWERLINKS)
Main Objective and Capital Structure
POWERGRID and TATA
POWER are the Joint Venture Partners in this Joint Venture Company and hold 49%
and 51% equity, respectively. This was POWERGRID’s first public - private
partnership in Power Transmission. The Company was incorporated to undertake the
implementation of Transmission Lines associated with Tala HEP, East-North
interconnector and Northern Region Transmission System from Siliguri in West
Bengal via Bihar to Uttar Pradesh. The project is under commercial operation
since 1st September, 2006. As on 31.03.2011, POWERLINKS has Authorized share
capital of `4,83,60,00,000/- and paid-up capital of `4,68,00,00,000/- out of
which POWERGRID holds Shares of `229.32crore and TATA POWER hold shares of
`238.68crore. POWERLINKS successfully commissioned the project in August, 2006.
POWERLINKS has given a dividend of 21 % for Fiscal 2011.
JAYPEE POWERGRID Limited (JPL)
Main Objective and Capital Structure
The main objective
of the Company is to implement a transmission system to evacuate power to be generated
by 1000 MW Karcham Wangtoo Hydro Electric Power Project in Kinnaur District in
Himachal Pradesh. The power under the system is to be evacuated from Wangtoo to
Abdullapur. As on 31.03.2011, JPL has Authorized share capital of Rs.3000.000
Millions and paid-up capital of Rs.2500.000 Millions divided into 25,00,00,000
equity shares of `10 each, POWERGRID equity being Rs.65.00 crore. Jaiprakash
Power Ventures Limited and POWERGRID individually hold 74% and 26%,
respectively as on 31.03.2011. The Company has got the Transmission Licence in
October, 2007. Since the project is under implementation, there is no operating
profit.
Torrent Powergrid Limited (TPL)
Main Objective and Capital Structure
The main objective
of the Company was to establish transmission system associated with 1100MW Gas
Based project (Sugen) Generation Station of Torrent Power Limited (TPL) at
Akhakhol in Surat District of Gujarat. POWERGRID and Torrent Power Limited are
the Joint Venture Partners in this Company and hold 26% and 74% equity,
respectively, POWERGRID equity being Rs.234.000 Millions. As on 31.03.2011, TPL
has Authorized share capital of Rs.1250.000 Millions and paid-up capital of
Rs.900.000 Millions. The Company got the Transmission License in May 2007. The
final phase of the project has been completed in March, 2011.
Parbati Koldam Transmission Company Limited
(PKTCL)
POWERGRID entered
into a Joint Venture Agreement on 23rd November, 2007 with Reliance Energy
Limited (REL) now Reliance Infra, for implementation of transmission lines
associated with Parbati-II (800 MW) HEP and Koldam (800 MW) HEP. The Company
named ‘Parbati Koldam Transmission Company Limited’ existing with POWERGRID to
take up implementation of Parbati and Koldam Transmission systems through Joint
venture route was converted to JVC. As on 31.03.2011, PKTL has Authorized share
capital of Rs.3310.000 Millions and paid-up capital of Rs.826.300 Millions. The
Company has got the Transmission License in September, 2008. During the year
2010-11, Loan Agreements for the project were signed with PFC and REC. As the
project is under implementation, there is no operating profit.
Teestavalley Power Transmission Limited
(TPTL)
POWERGRID entered
into a Joint Venture Agreement with Teesta Urja Limited on 23rd November, 2007
on 26% equity -POWERGRID and 74% equity Teesta Urja Limited (TUL) for
implementation of transmission lines of Teesta- III to Kishanganj sub-station
(Karandighi) 400k/V D/C line associated with 1200 MW Teesta-III Hydro Electric
Power Project. As on 31.03.2011, TPTL has Authorized share capital of
Rs.1200.000 Millions and paid-up capital of Rs.782.100 Millions. The Company
has got the Transmission Licence in Fiscal 2009. As the project is under
implementation, there is no operating profit.
North East Transmission Company Limited
(NETC)
POWERGRID entered
into a Joint Venture Agreement in February, 2009 with ONGC Tripura Power
Project Company Limited (OPTC), Government of Tripura, Manipur, Mizoram, Assam
Electricity Grid Corporation Limited and Meghalaya for establishment of
Transmission Line of 400kV D/C Palatana Bongaigoan Transmission Project
associated with 726 MW Palatana Gas base Power Project in the state of Tripura.
The Joint Venture Company is named ‘North East Transmission Company Limited’. OTPC,
the generating Company is a joint venture of ONGC Limited, Government of
Tripura and Infrastructure Leasing and Finance Services Limited, (IL and FS
Limited). The Company has got the Transmission Licence in Fiscal 2009. As on
31.03.2011, NETC has Authorized capital of Rs.6000.000 Millions and paid-up
share capital of Rs.1209.700 Millions. Construction work of the project is
under progress. Upto 31.03.2011 Rs.7935.200 Millions has been incurred towards
capital expenditure. Since the project is under implementation, there is no
operating profit.
National High Power Test Laboratory Private
Limited (NHPTLPL)
POWERGRID entered
into a Joint Venture Agreement in April, 2009 with equal participation with
NTPC Limited, NHPC Limited and Damodar Valley Corporation for setting up an
On-line High Power Test Laboratory for short circuit test facility in the
country. The Joint Venture Company is named ‘National High Power Test
Laboratory Private Limited’. As on 31.03.2011, the company has Authorized share
capital of Rs.300.000 Millions and paid-up capital of Rs.105.000 Millions.
Since the project is under implementation, there is no operating profit.
Energy Efficiency Services Limited (EESL)
POWERGRID entered
into a Joint Venture Agreement in November, 2009 with equal participation with
NTPC Limited, Power Finance Corporation Limited and Rural Electrification
Corporation Limited The JV Company will promote measures of Energy efficiency,
Energy Conservation and Climate Change. The Joint Venture Company is named ‘Energy
Efficiency Services Limited’. As on 31.03.2011, the Company has Authorized
Share Capital of Rs.1900.000 Millions and paid up capital of Rs.25.000
Millions.
Power System Operation Corporation Limited
(POSOCO)
Power System Operation
Corporation Limited (POSOCO) was incorporated as a wholly owned subsidiary of
POWERGRID on 20.03.2009. POSOCO, is responsible for Independent System
Operation. The Certificate of Commencement of Business of the Company has been
obtained on 23rd March, 2010. The agreements for transfer of movable assets and
liabilities to POSOCO were executed on 16.03.2011, and POWERGRID has
transferred movable assets and liabilities to POSOCO w.e.f. 1st October, 2010.
As on 31.03.2011, POSOCO has Authorized Share Capital of Rs.2000.000 Millions
and paid-up capital of Rs.306.400 Millions.
UNAUDITED FINANCIAL RESULTS
FOR THE QUARTER AND NINE MONTHS ENDED 31ST DECEMBER, 2011
|
PARTICULARS |
Quarter
Ended 31st Dec 2011 |
Quarter
Ended 30th Sep 2011 |
Nine
Months Ended 31st Dec 2011 |
|
Un-Audited |
Un-Audited |
Un-Audited |
|
|
Revenue
from Operations |
|
|
|
|
-
Transmission Income |
22542.000 |
20416.100 |
63399.500 |
|
-
Consultancy Income |
734.000 |
695.500 |
1990.100 |
|
-
Telecom Income |
536.100 |
500.500 |
1490.700 |
|
-
Short Term open Access |
854.100 |
1031.400 |
2454.300 |
|
Total
Revenue from Operations |
24666.200 |
22643.500 |
69334.600 |
|
Expenditure |
|
|
|
|
-
Staff Cost |
1997.600 |
1922.000 |
6029.200 |
|
-
Other O and M Expenditure |
1641.900 |
1743.300 |
4845.800 |
|
Total
Expenditure other than Depreciation |
3639.500 |
3665.3000 |
10875.000 |
|
-
Depreciation |
6792.300 |
59966.300 |
18548.900 |
|
Total
Expenditure |
10431.800 |
9631.600 |
29423.900 |
|
Profits
from operations before other income, Interest & Exceptional items |
14234.400 |
13011.900 |
39910.700 |
|
-
Other Income |
1095.800 |
1942.000 |
4427.700 |
|
Profits
before Interest & Exceptional items |
155330.200 |
14953.900 |
|
|
Interest
& Finance Expenses -
Interest and other Charges -
Rebate to Customers -
Foreign Exchange Rate Variation
(including adjustment to Borrowing Cost and net of amount recoverable from
beneficiaries : Loss/(Gain) |
4705.700 139.100 (110.300) |
4593.300 279.500 683.400 |
13489.400 674.100 530.600 |
|
Total
Interest & Finance Expenses |
4734.500 |
5556.200 |
14694.100 |
|
Profit
Before Tax, Prior Period Adjustment and Exceptional Items |
10595.700 |
9397.700 |
29644.300 |
|
-
Prior Period Adjustment : Expenses/ (Income) -
Exceptional Items |
31.100 0.000 |
(21.100) 0.000 |
22.500 0.000 |
|
Profit
Before Tax |
10564.600 |
9418.800 |
29621.800 |
|
Provision
for Taxation -
Current Tax (Minimum Alternate Tax) -
Differed Tax |
2066.500 405.800 |
1783.000 548.400 |
5709.000 1680.200 |
|
Total
Provision for Taxation |
2472.300 |
2331.400 |
7389.200 |
|
Net
Profit after Tax |
8092.300 |
7087.400 |
22232.600 |
|
Extraordinary
item |
-- |
-- |
-- |
|
Net
Profit for the period |
8092.300 |
7087.400 |
22232.600 |
|
-
Paid up equity share Capital -
Reserves -
Basic and Diluted Earning Per Share |
46297.300 1.75 |
46297.300 1.53 |
46297.300 4.80 |
|
Public Shareholding -
Number of shares -
Percentage of shareholding |
1415701141 30.58% |
1415701141 30.58% |
1415701141 30.58% |
|
Promoters and promoter group Shareholding a)
Pledged/Encumbered - Number of shares - Percentage of shares (as a % of the total shareholding
of promoter and promoter group) - Percentage of shares (as a% of the total share capital
of the Company) b) Non-encumbered - Number
of shares - Percentage of shares (as a % of the total
shareholding of promoter and promoter group) - Percentage of shares (as a% of the total share capital
of the Company) |
-- -- -- 3214024212 100% 69.42% |
-- -- -- 3214024212 100% 69.42% |
-- -- -- 3214024212 100% 69.42% |
Notes:
1. Pending determination of final tariff by
the Central Electricity Regulatory Commission (CERC) for certain transmission
systems, Transmission income of Rs.4283.100 Millions for the quarter and Rs.18407.100 Millions for the nine months
ended on 31.12.2011 (corresponding previous quarter Rs.17499.600 Millions and
nine months Rs.52108.600 Millions) has been provisionally recognized based on
the CERC tariff norms for the block period 2009-14 as per accounting policy of
the company.
Out of the above
provisional recognition of income of Rs.18407.100 Millions, the Company has
received provisional tariff orders for the income of Rs.17244.500 Millions for
billing to the beneficiaries.
2. During the quarter, the Company has
reassessed the amount of FERV loss recoverable from the Beneficiaries in terms
of CERC Tariff Regulations, 2009 pursuant to the clarification given by the
CERC vide order dated 21.12.2011 to one of the Generating Company regarding the
FERV loss recoverable from the Beneficiaries.
3. in view of option allowed by Ministry
of Corporate Affairs vide its notification dated 29.12.2011 on Accounting
Standard-11, the Company, during the quarter, has capitalized the Foreign
Exchange Rate Variation (FERV) loss arising on account of settlement
/restatement of long term monetary liabilities relating to depreciable capital
assets. Consequently, FERV loss which was hitherto charged to profit & loss
account has been adjusted in cost of related Fixed Assets/ Capital Work in
Progress. As a result, profit before tax for the quarter and nine months ended 31.12.2011
after considering the amount of FERV loss recoverable from beneficiaries as per
CERC Tariff Regulations, 2009 is higher by Rs.313.700 Millions.
4. Out of the issue proceeds of Follow on
Public Offer (FPO) of Rs.37128.900 Millions (net of Issue Expenses., the
Company has utilized Rs.18000.000 Millions till 31.12.2011, as per objects of
the issue, for part financing of capital expenditure on the projects specified
for utilization and the balance amount has been invested in Term Deposits with
Bank.
5. Interim dividend of Rs.0.80 per share
(face value Rs.10/- each) for the financial year 2011-12 has been recommended
by the Board of Directors in its meeting held on 08.02.2012.
6. (i)
Status of investor complaints
received and attended, regarding equity shares, during the quarter-
ended 31.12.2011 is given as under :
|
|
Opening Balance |
Additions* |
Attended* |
Closing Balance |
|
No. Complaints |
5 |
475 |
439 |
41 |
* includes
references and communications
(ii) As at 31.12.2011,
no investor's complaint / grievance is lying un-resolved in respect of Bonds
issued by the Company. Clarifications, as and when sought by investors, have
been furnished.
7. The above results have been reviewed by
the Audit Committee and have been approved by the Board of Directors at its
meeting held on 08.02.2012.
8. The above results have been reviewed by
the Statutory Auditors as required under clause 41 of the listing agreements.
9. Previous period figures have been
regrouped / rearranged wherever necessary.
SEGMENT WISE REVENUE, RESULTS
AND CAPITAL EMPLOYED
|
PARTICULARS |
Quarter
Ended 31st Dec 2011 |
Quarter
Ended 30th Sep 2011 |
Nine
Months Ended 31st Dec 2011 |
|
Un-Audited |
Un-Audited |
Un-Audited |
|
|
A.
Segment Revenue including
Other Income |
|
|
|
|
Transmission |
23419.000 |
22957.800 |
68424.000 |
|
Consultancy |
705.600 |
725.000 |
1976.400 |
|
RLDCs POSOCO Assets |
0.000 |
0.000 |
0.000 |
|
ULDCs Other Assets |
1101.200 |
400.000 |
1868.100 |
|
Telecom |
545.900 |
510.100 |
1517.800 |
|
Total |
25771.700 |
24592.900 |
73786.300 |
|
Less Inter Segment Revenue |
9.700 |
7.400 |
24.000 |
|
Total
Revenue including other Income |
25762.000 |
24585.500 |
73762.300 |
|
|
|
|
|
|
B.
Segment Results Profit
Before Tax |
|
|
|
|
Transmission |
9732.500 |
9087.000 |
27997.400 |
|
Consultancy |
479.700 |
358.200 |
1050.300 |
|
RLDCs POSOCO Assets |
0.000 |
0.000 |
0.000 |
|
ULDCs Other Assets |
198.700 |
(46.100) |
287.600 |
|
Telecom |
153.700 |
19.700 |
286.500 |
|
Total
Profit Before Tax |
10564.600 |
9418.800 |
29621.800 |
|
|
|
|
|
|
C.
Segment Capital
Employed |
|
|
|
|
Transmission |
740494.700 |
700819.700 |
740494.700 |
|
Consultancy |
(16381.300) |
(16926.700) |
(16381.300) |
|
RLDCs POSOCO Assets |
0.000 |
0.000 |
0.000 |
|
ULDCs Other Assets |
8304.800 |
8825.700 |
8304.800 |
|
Telecom |
2906.100 |
3164.200 |
2906.100 |
|
Total
Segment Capital Employed |
735324.300 |
695882.900 |
735324.300 |
Note:
1.
Assets pertaining to 'RLDCs
POSOCO Assets' segment have been taken over by Power System Operation
Corporation Limited, a 100% subsidiary of the company, w.e.f. 01.10.2010. Hence
current quarter and nine months figures are nil for 'RLDCs-POSOCO Assets'
segment.
2.
Profit of Telecom segment has been
increased by amount of inter segment revenue with a corresponding decrease in
profit of Transmission segment.
3.
While calculating segment wise capital
employed, entire deferred tax liability has been considered and included in
transmission segment.
4.
Investment assets and income thereon
are included in Transmission Segment.
5.
The operation of the company are mainly
carried out within the country and therefore, geographical segments are not
applicable.
FIXED ASSETS:
·
Land
·
Buildings
·
Plant and
Machinery
·
Construction
and Workshop equipment
·
Electrical
Installation
·
Vehicles
·
Furniture
Fixtures
·
Office
equipment
·
EDP/WP
Machines
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction registered
against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority for
any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.52.00 |
|
|
1 |
Rs.83.54 |
|
Euro |
1 |
Rs.68.40 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
7 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
66 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
- |
NB |
New Business |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.