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Tata Power's Net Profit up by 6.0% at Rs 922.20 Crores

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Announcement Corporate
Last Updated : Jan 19 2013 | 11:47 PM IST

Revenues up by 22.32% at Rs. 7236.23 Crores; Dividend increases to Rs. 11.50 per share

  • Annual Generation highest at 14807 MUs compared for 14717 MUs last year
  • Commissioned 250 MW ‘Unit 8’ at the Trombay Thermal Power Station
  • Commissioned 90 MW Units in Haldia
  • Commissioned  additional 80.6 MW wind power capacity in Gujarat, Karnataka and Maharashtra

The Tata Power Company Limited, India’s largest integrated private power company, today announced its Annual Results for the financial year ended 31st March 2009.

FINANCIAL HIGHLIGHTS- FY09:
For the Financial Year Ended 31st March 2009, Tata Power reported revenues at Rs. 7236.23 Crores as compared to Rs. 5915.91 Crores in the previous year. Profit After Tax (PAT) witnessed a growth of 6% at Rs. 922.20 Crores as against Rs. 869.90 Crores for the previous year. Dividend increases to Rs 11.50 per share as compared to Rs 10.50 per share last year.

The Company’s consolidated revenue rose by 61.48% at Rs. 17587.53 Crores as compared to Rs Rs.10,890.86 Crores in the previous year. The Consolidated PAT after Statutory Appropriations for the year at Rs. 1264.04 Crores rose by 26.85% as against Rs.996.48 Crores for the previous year.

The Company generated 14,807 Million Units (MUs) of power from all its power plants during the year as compared to 14,717 MUs in the previous year. The Jojobera Thermal Power Station recorded a generation of 3,009 MUs during the year as compared to 2,862 MUs in the previous year, an increase of 5.12%. The power station achieved the highest ever generation, crossing the 3,000 MU mark for the first time while surpassing the previous record of 2,862 MUs in FY08. The Belgaum Independent Power Plant (IPP) generated 447 MUs during the year as compared to 237 MUs in the previous year, an increase of 88.61% due to increased demand from Karnataka Power Transmission Corporation Ltd. (KPTCL).

Commenting on the Company’s performance, Mr. Prasad Menon, Managing Director, Tata Power said: “We continue to consolidate our growth plans through capacity expansion and have achieved significant milestones this fiscal with the commissioning of 250 MW Unit 8 in Trombay in Mumbai, 90 MW in Haldia and additional 80.6 MW wind power capacity respectively. Our strategic stake in the Hydro Electric Power Project with the Royal Government of Bhutan and Geothermal with Geodynamics Limited, Australia further reiterates our commitments in exploring eco-friendly technologies. Our generating facilities continue to demonstrate high operational efficiency. It is our endeavour to continue to perform on a sustained basis through robust performance, cost-focus and enhanced efficiencies.”

GROWTH PLANS: The progress on Company’s new projects is as follows:

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  • 250 MW expansion Project at Trombay, Unit 8:
    The 250 MW Unit 8 imported coal based plant at Trombay was commissioned during the year and started commercial operations from end March 2009. The capacity of this unit is being sold to BEST, Tata Power Distribution in Mumbai Licence Area and Tata Power Trading Company Limited. The commissioning of the Unit will help in bridging the ever increasing demand and supply of power for the city of Mumbai.
  • 120 MW Power Project at Haldia:
    During the year, the Company commissioned Units 1 and 2 of 45 MW each. The 30 MW Unit 3 is scheduled to be commissioned in Q1 of FY10.
  • Captive Power Projects for Tata Steel:
    Industrial Energy Limited (IEL), a joint venture between Tata Power (74%) and Tata Steel (26%) is implementing the following projects:
    120 MW Power House # 6 for Tata Steel Works, Jamshedpur:
    The 120 MW power plant being constructed at Tata Steel works, Jamshedpur for use by Tata Steel was inaugurated in May 2009. Built at a total cost of Rs. 490 Crore, the Gas based 1X120 MW Power project Power House # 6, will be supplying the entire generated capacity to Tata Steel Limited thereby meeting the increasing demand for power for the company’s Jamshedpur works.
    Unit 5 at Jojobera:
    A 120 MW power plant is being constructed at the Company’s existing site at Jojobera. IEL has placed orders for major equipment. The project is expected to be commissioned in the third quarter of FY 10.
  • 4000 MW, Mundra Ultra Mega Power Project on Fast Track:
    4000 MW Mundra Project implementation is progressing as per schedule with Engineering, Procurement and Construction activities in full swing. Overall project progress achieved is 23%.Ordering of all critical items/major packages has been completed. Out of a total of approximately 100 packages, 91 have been issued to bidders and 71 packages have been awarded. Receipt of vendors’ data and incorporation of the same in engineering documents is in full swing. The Project site has over 6,000 direct and indirect workmen. Services of DuPont have been contracted to bring safety systems/procedures at Site to “best-in-class” international levels. Work on boilers, cooling water system, TG building, main control room (MCR), chimney shell casting, cable & pipe racks, 220KV switchyard, 400 KV switchyard, ash handling and internal coal handling is in progress.
    The Company has completed all pre-disbursement conditions in the financing agreements and has been receiving loan disbursements as per the funding plan from its lenders. Financing of the Mundra UMPP won two international awards namely the “Power Deal of the Year- Asia Pacific” by Power Finance International (PFI) and Euromoney magazine. Fitch Ratings has assigned a 'BBB(ind)' rating to Coastal Gujarat Power Ltd’s (CGPL) long-term rupee denominated project bank loans aggregating INR58,500m which denotes a “Stable” outlook on the project.
  • 1050 MW Maithon Joint Venture Project:
    Maithon Power Limited (MPL), a joint venture between the Company (74%) and Damodar Valley Corporation (DVC) (26%), is constructing a 1,050 MW (2 x 525 MW) power plant at Maithon in Jharkhand.The project has received all the statutory clearances including environmental clearance from MOEF. All the PPAs have been signed and power evacuation arrangement is in place. The Project is in advanced stage of execution. Vendors finalized and contracts have been signed for supply and services of all the packages, including Boiler, Turbine Generator package, which has been awarded to BHEL. Major dispatches have been completed for Boiler & ESP structural for both units. Major Civil foundations have been completed for Unit #1, whereas civil works of Railway System, Coal handling System, Ash Handling System, IDCT, Chimney, Raw water intake channel works etc. are in progress at full swing. Boiler drum lifted & pressure parts erection commenced for Unit # 1, whereas structural erection in progress for Unit # 2. The first unit is scheduled to be in operation by October’10 and second unit by April’11.
  • Wind Farm Projects:
    During the year, the Company commissioned additional 80.6 MW wind power capacity. This included 36 MW at Gadag (Karnataka), 29.6 MW at Samana (Gujarat) and 15 MW at Sadawaghapur (Maharashtra). The collective generation by these wind farms was 177 MUs during the year as against 127 MUs generated in the previous year.
  • 26% Equity stake in Dagachhu Hydro Electric Power Project, Bhutan
    The company announced its partnership with The Royal Government of Bhutan (RGoB) and acquired a 26% equity stake to develop the 114 MW run-of-the-river Hydro Electric Power Project over river Dagachhu through Druk Green Power Corporation Limited (DGPC). The project is being executed through a Special Purpose Vehicle- Dagachhu Hydro Power Corporation Limited (DHPC).
  • 10% Equity stake in Geodynamics Limited, Australia
    The Company acquired 29.4 million Ordinary Shares of Geodynamics Ltd., a listed Australia-based organization specializing in Geothermal Energy and Enhanced Geothermal Systems (EGS), representing 10% of the current issued Share Capital.
  • MoU with Gujarat Government to set up Geothermal and Solar Power Plants:
    During the last quarter of the fiscal, the Company signed a Memorandum of Understanding (MoU) with Government of Gujarat to explore the possibility of setting up a 5 MW Geothermal Power plant in phase-I, at a suitable location in Gujarat. The Company also signed a MoU for developing a 5 MW solar power plant in Gujarat.
  • Indonesian Coal Companies :
    During the year, the operations of the two Indonesian thermal coal companies, viz., PT Kaltim Prima Coal (KPC) and PT Arutmin Indonesia (AI), in which the Company holds 30% stake continued to be robust aided by healthy coal price most of the year. The operations are profitable even at current low coal prices. 

SUSTAINABILITY INITIATIVES:

  • Partnership with Exergen for Clean Coal Technology demo plants
  • Engineering of 250 KW Biomass Gasification Project completed at Bhivpuri 
  • Tata Power Energy Club:
    In the First year of its initiation, the “Tata Power Energy Club” initiative sensitized over 10,000 students in 28 schools and 300 students have started measuring power at home. These 300 energy champions have in turn sensitized 38,000 Mumbai citizens as part of their secondary sensitization of ‘friends and neighbourhood’.

OTHER BUSINESSES:

  • North Delhi Power Limited (NDPL):
    The Company’s distribution joint venture NDPL posted a revenue of Rs. 2467.87 Crores during the year, a growth of 7.90 % as compared to the previous year of Rs. 2287.23 Crores and a net profit of Rs. 171.47 Crores during the year as compared to Rs.281.58 Crores in the previous year. The previous year had revenue of about Rs 225 Crores due to regulatory order pertaining to depreciation of previous years.
    The Aggregated Technical and Commercial Losses (AT&C) have been brought down from 18.4% to 15.07%. This is 5.28% lower than the DERC approved level resulting in an incentive of Rs. 78.92 Crores for the company.
  • Powerlinks Transmission Limited (Powerlinks):
    Powerlinks, the first public-private joint venture in power transmission in India has earned revenues of Rs. 254.49 Crores as against Rs. 245.52 Crores in the previous year. The Profit after Tax also increased to Rs. 65.34 Crores from Rs. Rs.58.41 Crores in the previous year.
  • Tata Power Trading Company Limited (TPTCL):
    TPTCL traded 2996 MUs during the year as compared to 1,711 MUs in the previous year, thereby resulting in an increase in its revenues by 146.2% to Rs 2171.93 Crores from Rs. 882.12 Crores in the previous year. The Profit after Tax also increased to Rs 7.63 Crores as against Rs. 4.30 Crores in the previous year.

About Tata Power:
Tata Power is India's largest private sector power utility with an installed generation capacity of over 2700 MW and a presence in all the segments of the power sector viz Generation (thermal, hydro, solar and wind), Transmission, Distribution and Trading. The Company has successful public-private partnerships in Generation, Transmission and Distribution - “North Delhi Power Limited” with Delhi Vidyut Board for distribution in North Delhi, ‘Powerlinks Transmission Ltd.’ with Power Grid Corporation of India Ltd. for evacuation of Power from Tala hydro plant in Bhutan to Delhi and ‘Maithon Power Ltd.’ with Damodar Valley Corporation for a 1050 MW Mega Power Project at Jharkhand. It has acquired 30% stake in Coal Companies at Indonesia and is developing the first 4000 MW Ultra Mega Power Project at Mundra (Gujarat) based on super-critical technology. With its track record of technology leadership, customer care and redefining contours of the Indian power sector, Tata Power is poised for a five-fold growth and committed to ‘lighting up lives’ for generations to come.

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First Published: May 28 2009 | 8:01 PM IST

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