REL unit eyes Rs 15,000 cr business

Reliance Energy's EPC division is targeting a turnover of Rs 15,000 crore in three years.

Besides focusing on internal assignments, the division is now looking at opportunities outside.

The company now intends to concentrate on growth opportunities arising from the huge investments drawn in by various companies in the power sector.

The power industry is expected to witness investment worth $200 billion in generation, transmission and distribution over next 10 years to bridge the yawning gap between demand and supply.

According to industry sources, over 1,07,000 mw of capacity has to be added by 2012 and over tens of thousands of transmission and distribution lines have to be laid across the country.

Besides, REL's growth initiatives in all segments of the power sector are expected to generate significant amount of in-house work for its EPC division.

The ambitious target has been boosted with the division recently securing the turnkey contract worth Rs 2,100 crore from the Haryana Power Generation Corporation Ltd (HPGCL) for setting up a 600 MW coal based power station at Yamunanagar in Haryana.

A REL spokesperson said, "We are focusing on EPC business in a big way. Past experience in EPC projects and Reliance Group's project management skills will enable the division to emerge stronger and capture new opportunities that may arise in the future".