Tata Power net up 6% at Rs 108 crore

Mumbai, January 24: | Updated: Jan 25 2002, 05:30am hrs
The Tata Power Company (TPC) has posted a 6 per cent increase in its net profit at Rs 108 crore for the third quarter ended December 2001 as against Rs 102 crore recorded during the corresponding period of the previous year. TPCs revenues have gone up by 5 per cent to Rs 930 crore from Rs 887 crore and its generation was up by 17 per cent to 2,895 million units (MUs) compared with 2,470 (MUs).

TPCs net profit for nine months (April-December 2001) has increased by 37 per cent to Rs 440 crore from Rs 32 crore and its revenues were higher by 10 per cent to Rs 2,951 crore from Rs 2,691 crore. "This was mainly due to tighter cost control, proper fuel mixing, operational improvements and continuous accretion from projects, which were initiated in the past and have now reached operational status," TPC managing director Adi Engineer told reporters on Thursday.

TPCs power generation has grown by 17 per cent to 2,895 MUs compared with 2,470 MUs thanks to its decision to spread its wings across the country and commission independent and captive power projects. Its Wadi, Belgaum and Jojobera projects (with a total capacity of over 200 MW) were commissioned on schedule. "We are optimistic of achieving 25 per cent of total power generation from states other than Maharashtra. In our licence area (Mumbai and Greater Mumbai), sales were higher by 6 per cent to 2,294 MUs from 2,165 MUs which were driven by increase in demand and due to enhanced direct customer based developed in this region," Mr Engineer said.

According to Mr Engineer, TPC was looking at the brownfield power projects either commissioned or likely to be commissioned with a total capacity of 2,000 MW. He declined to divulge details in this regard and also to clarify whether or not these projects include the distressed Dabhol project with a total capacity of 2,184 MW.

"We will be focusing on the reforming states such as Gujarat, Rajasthan, Jharkhand, Madhya Pradesh and Tamil Nadu. Our greenfield projects are not on fast track but we will take a call in due course of time," he said.

On TPCs bid for acquiring 85 per cent stakes held by Enron, GE and Bechtel in Dabhol project, Mr Engineer said that through the situation as a whole in the Indian power sector was complex, the solution has to be found out for the Dabhol tangle. "DPC is heading for a confidentiality agreement. DPC and lenders have been putting their earnest efforts to solve the problem. TPC will try to find a durable solution targeting a realistic cost of power," he added. Mr Engineer said that TPC, which has so far spent Rs 150 crore on laying optice fibre link between Mumbai and Pune, proposes to complete the Delhi-Mumbai-Chennai link with a total 2,600 kilometerage.

"The company has targeted high density region and not have any plans to go in for every nook and corner. We have signed a memorandum of understanding with Gas Authority of Indian Ltd for our national rollout on this busy route highway project. This will be done through multi dimensional approach involving a combination of leasing, swapping, buy out and establishment of own network," he added.