Torrent brands its power business

AEC and SEC to be given new corporate identities

The Ahmedabad-based Torrent Group, which is setting up a 1100 MW mega power plant in Surat, on Sunday announced the launch of a new brand, 'Torrent Power,' in an attempt to bring its entire power business under one umbrella.

The Ahmedabad Electricity Company Ltd (AEC) and Surat Electricity Company Ltd (SEC) would now be given new corporate identities.

The AEC, responsible for distribution of power in Ahmedabad and Gandhinagar, would now be known as Torrent Power AEC Ltd (TPAL) and SEC, Torrent Group's power distribution entity for Surat city, would be known as Torrent Power SEC Ltd (TPSL). Even while operating under a common brand, these companies would remain separate legal entities.

The Rs 2900 crore group has already created another entity for its upcoming 1100 MW power project. Torrent Power Generation Ltd (TPGL), which is an unlisted company.

Announcing the launch of new brand, Torrent Power, Sudhit Mehta, chairman of the group said, here, "Torrent has proven competence across the value-chain, right from generation to transmission and distribution. Our companies have set new benchmarks in operating efficiencies in both generation and distribution. While we would leverage our strengths for fueling further growth in the power sector, Torrent Power reinforces our commitment to deliver consistently high service standards to our customers."

Both TPAL and TPSL have one of the lowest transmission and distribution losses in the country. The T&D losses of these companies are within the range of 12-13 per cent against national average of 16-18 per cent. The group has also initiated a series of measures to improve operational efficiencies and quality of service and the companies have invested about Rs 1,100 crore for this.

At presently, Torrent Power has a generation capacity of 500 MW and distributes power to over 1.8 million consumers in Ahmedabad, Gandhinagar and Surat.

According to a company release, "With a combined generation capacity of 1600 MW, a base of 1.8 million customers and transmission and distribution of power to the three biggest cities of Gujarat, these companies represent the group's strong presence and expertise in power sector. The launch of 'Torrent Power' will help the group to leverage the current equity of each of its individual companies."

AEC posted net sales of Rs 312 crore in the third quarter of the current financial year with a net profit of Rs 17 crore, while SEC has posted net sales of Rs 232 crore with a net sales of Rs 9.3 crore.