State-run NHPC Ltd today posted a 94.43 per cent jump in net profit at Rs 2,090.50 crore for 2009-10 financial year, helped by a one-time payment of arrears from revised tariffs. Last year, NHPC had a net profit of Rs 1,075.22 crore.
Tariffs for three projects were finalised with retrospective effect only in the third quarter of 2009-10 and this contributed about Rs 816 crore to the company’s profits.
“Tariffs for Dulhasti (J&K), Chamera (Himachal) and Teesta-V (West Bengal) projects were finalised by the electricity regulator CERC (Central Electricity Regulatory Commission), which contributed nearly Rs 816 crore to our profit. However, this is just a one-time entry,” NHPC Finance Director ABL Srivastava told reporters here.
Sales increased by nearly 57.9 per cent to Rs 4,218.9 crore from 2,671.85 crore, NHPC Chairman and Managing Director SK Garg said. NHPC may also invest its surplus funds in mutual funds. NHPC has invested in long-term securities such as PSU bonds and fixed deposit receipts.
“We are exploring the possibility of investing surplus cash in mutual funds. We have to see whether it is worthy or not,” Garg said. The government has allowed profit-making central public sector enterprises (CPSEs) to invest 30 per cent of their money in public sector mutual funds.
