Hyderabad-based infrastructure company, Gayatri Projects Ltd (GPL) is planning to enter into power sector through merchant power projects. The company has roped in Lahmeyer International to do feasibility study and Vimta Labs to conduct environmental study.
Speaking to FE, K G Naidu, vice president (finance) of the company said, ?our plan is to go in for merchant power generation and we are looking at big power plants. The company will generate power and sell to PTC and other state governments.
The projects may be coming up in Andhra Pradesh and Maharashtra. Plans are in preliminary stages. Post April, the company will crystalise on its projects.?
?Right now we are at the stage of applying for land and coal allocation. We are in touch with ministry of coal and power. Negotiations are on with state governments to enter into memorandum of understanding (MoUs). We are also in the process of bidding for some of the state governments to sell power,? he said. Initially the company would enter into the sector with its promoters.
Once the land and coal gets allocated and a good value is created for the projects it would dilute a portion of its holding to a third party investor who would come and participate with the company in power generation. The seriousness of the project can be seen only after the allocation of land and coal, he added.
?We have roped in the consultants to do the environmental and feasibility studies at the identified sites. The report should be available within the next 2-3 months and after April we will be able to firm up the plans,? he said.
In the coming months, focus would be on the water division, urban infrastructure, industrial infrastructure divisions of the company, besides airport works. Gayatri is going to get orders from these three divisions.
?We already have a team in place and have done some airport works. We are also bidding for Indore and Bhopal airport projects. On the other hand, the company is also bidding for some water treatment and desalination projects. We might get some irrigation projects as well if the Andhra Pradesh, Maharashtra, Madhya Pradesh and Karnataka governments make some announcements as expected,? Naidu said.