India’s accelerating energy transition and rising transmission investments are setting up a multi-year upcycle in the power equipment sector. This momentum is anchored in a strong clean energy pipeline, with the country targeting nearly 470 gigawatt (GW) of solar and wind capacity additions over the next decade.
JPMorgan Chase notes that large-scale transmission projects typically take 3-5 years to execute, creating clear medium-term revenue visibility for original equipment manufacturers (OEMs). The firm estimates annual transmission capex at $8-9 billion (around ₹84,000 crore), which is expected to sustain healthy order inflows across the value chain.
The export tailwind: Why global grids need Indian OEMs
The opportunity is not limited to India. Export tailwinds are strengthening, as global grids undergo upgrades to integrate renewables and support rising electricity demand, particularly from Artificial Intelligence-driven data centre expansion.
Against this backdrop, we examine a ₹2,100-crore small-cap company, a market leader in transformer oil, and a newly listed player expanding its capacity eightfold.
#1 Advait Energy Transitions: The 1 GW Green Hydrogen & BESS Infrastructure Play
Advait Energy Transitions (market cap: ₹2,139 crore) is an emerging company primarily focused on the Power Transmission Solutions and Renewable Energy sectors. In the power transmission space, Advait possesses a niche product portfolio and provides vital infrastructure solutions.
The company manufactures aluminum-clad steel wires, Optical Fiber Ground Wires, Emergency Restoration Systems, and over 140 specialized tools used for the erection and maintenance of transmission lines. Advait also executes highly specialized EPC projects for central and state utility companies.
Green Hydrogen: The Roadmap to 1 GW Capacity
A key driver of Advait’s growth is its foray into the green hydrogen ecosystem. The company is actively developing capabilities to manufacture indigenous electrolyzers in various phases. Plans were in place to commission an electrolyzer assembly and manufacturing unit with a capacity of 30 megawatts (MW) by Q4FY26.
The ultimate goal is to have a 300 MW capacity. The first 100 MW of this larger manufacturing plant is expected to be completed by the end of March 2027. Once the 100 MW facility is fully operational, Advait expects it to generate annual revenues of ₹200-300 crore starting in FY28.
Post that, it aims to scale this plant to 1 gigawatt (GW) to meet the high demand expected over the next three to five years.
Infrastructure Expansion: Beyond Electrolyzers to Glass Insulators
Beyond green hydrogen, Advait is constructing a multi-integrated manufacturing facility for new product lines and the expansion of existing capacities. This facility will include assembly operations for glass insulators and specialized composite post insulators (220 kV and above) to capitalize on the surge in India’s transmission line investments. The capacity is expected to commence operations in Q3FY27.
BESS and Solar EPC: Securing the Renewable Value Chain
Advait also provides Battery Energy Storage System services to improve grid stability and integrate renewable energy. It is setting up a 2.5 gigawatt-hour (GWh) BESS manufacturing facility. As an Independent Power Producer, it recently secured a major 100 MW BESS project from Gujarat Urja Vikas Nigam (GUVNL) on a Build-Own-Operate basis.
The company also delivers complete turnkey solutions for solar projects, managing everything from civil works and electrical installations to module mounting structures. For instance, it is actively executing a 100 MW ground-mounted solar EPC project for Adani Green Energy.
In addition, Advait is setting up an assembly line for advanced fuel cell technologies for mobility, railway power, marine, and stationary applications. The company has backed this initiative by securing a licensing agreement with AVL List GmbH, a leading European fuel cell player.
Why Advait’s ₹1,048-Cr Order Book Provides Visibility for 2.5 Years
As of 31 December 2025, Advait’s order book surpassed ₹1,048 crore, up 132% year-over-year. It provides 2.5 years of revenue visibility, as per FY25 revenue of ₹399 crore. Management expects to execute around 75% of this order book within the next 6-8 months. It also expects a steady flow of renewable energy orders.
#2 Savita Oil: Global Leader in Sustainable & Data Center Cooling Fluids
Savita Oil (market cap: ₹2,528 crore) is a leading manufacturer of petroleum specialty products and lubricants with a legacy spanning over 60 years. Savita manufactures oils used as insulating and cooling media in power, distribution, and instrumentation transformers.
The ‘TRANSOL’ Edge: A Unique Global Portfolio
Sold under the “TRANSOL” brand, Savita is the only global manufacturer that produces mineral, natural, and synthetic ester-based transformer oils. These products are tailor-made to meet the specifications of electricity boards, transformer manufacturers, and power plant operators.
Sustainable Transformers: The Shift to Bio-degradable Ester Fluids s
A major growth lever for Savita is the increasing market shift toward Natural and Synthetic Ester fluids. New and critical infrastructure projects such as Data Centers, Renewable grids, Defence installations, Airports, Railways, and mining operations demand advanced levels of fire safety, moisture tolerance, and sustainability that traditional mineral-based fluids cannot provide.
Savita is uniquely positioned to capitalize on this shift. This is because it is among the few companies globally to make the entire portfolio of mineral-, natural-, and synthetic-ester-based transformer oils.
The company is aggressively spearheading the transition in India by partnering with electricity utilities, agencies, and transformer manufacturers to secure product approvals and demonstrate the superior technical benefits of these futuristic fluids.
Beyond Energy: Dominating Personal Care and Telecom Markets
Beyond transformer oils, it produces mineral-oil-based products for the cosmetics, personal care, pharmaceutical, and plastics industries. Savita is amongst the top two suppliers of white and mineral oils in India. It also manufactures industrial-grade and personal care petroleum jellies under the Savogel brand.
It also makes cable filling and flooding compounds for copper and optical fiber cables under the brand names Savofil, Savoflod, and Vitagel. They provide critical moisture tolerance, stability, and softness for telecommunications infrastructure.
Future Frontiers: Immersion Cooling and EV Battery Fluids
Savita is also actively testing and piloting new-age applications for its high-performance fluids, including immersion cooling technology for data centers and Electric-Vehicle battery cooling for 2- and 3-wheeler electric vehicles. The company estimates a $2 billion global immersive cooling market by 2031, a strong growth runway.
Management notes that with the growth in renewable energy capacity in India, there will be “huge demand” for these biodegradable ester-based products. Savita also has a robust pipeline of value-added products currently under research, with many launches expected in the coming years.
#3 Quality Power: High-Voltage Specialist Scaling for 8X Production Growth
Quality Power Electrical Equipment (market cap: ₹9,796 crore) makes high-voltage power equipment, advanced power-quality solutions, and critical energy-transition technologies. Its products support grid connectivity, decarbonization, and global green energy initiatives.
The company possesses a diverse product portfolio, specifically tailored for high-voltage and medium-voltage applications. This includes reactors and transformers, instrument transformers, and coil products and components.
Quality Power also provides advanced systems that stabilize the electrical grid and enhance network reliability, which is particularly crucial for integrating renewable energy. It is also a key player in HVDC solutions, which transmit electricity over long distances with minimal power loss.
The company has over 210 clients across more than 100 countries, including several Fortune 500 companies. Major global and domestic corporations, including Siemens, Hitachi Energy, Power Grid, and Tata, are among its key clients. Its products are used across industries, including cement, renewables, oil and gas, automobiles, chemicals, and metal.
The Sangli Mega Plant: Unlocking 8X Production Capacity
The company is heavily investing in upgrading its manufacturing capabilities across multiple geographies. The Sangli mega plant is targeted for completion in June 2026. This plant will manufacture all product lines, effectively supporting up to 8X the company’s current capacity.
The expansion of the Cochin facility, aimed at doubling its manufacturing capacity, became fully operational in Q3FY26. This included the addition of a new Medium Voltage test lab to strengthen product validation, particularly for HVDC and FACTS projects.
Strategic Acquisitions: Scaling via Sukrut and Mehru
To meet soaring demand, the subsidiary, Mehru, is undergoing a phased expansion, expected to be completed by Q4FY26. This includes installing four new autoclaves and relocating noncritical storage, increasing the plant’s overall capacity by approximately 45%. The company is also exploring a new greenfield facility in Turkey for instrument transformer manufacturing.
Technological Frontiers: GIS Co-Development with Hyosung
The company is also growing inorganically to capture a larger share of the manufacturing value chain. Recently, it acquired a 50% stake in Sukrut Electric (a 50:50 JV with Yash Highvoltage). This addition will provide a robust manufacturing base in Pune. It will enhance its capabilities in the transformer components sector and provide immediate operational scale.
The company is also working with international system integrators like Hyosung (a South Korean giant) to co-develop Gas Insulated Switchgear products. The first GIS trial product is targeted for market readiness by June/July 2026.
Financial Visibility: Mapping the Path to ₹1,500 Crore Revenue
With current expansions underway, management estimates that operating these facilities at 75% capacity utilization could yield approximately ₹1,500 crore in revenue, more than 4X FY25 revenue of ₹337 crore. Its order book stood at ₹895 crore, providing 12-15 months of execution visibility.
Valuation View: Assessing the ‘Quality Premium’ in a High-Growth Sector
Advait and Quality Power stand out with strong Return on Capital Employed (ROCE) and Return on Equity (ROE). In terms of valuation, Savita Oil is trading very close to its industry median and its 5-year historical median. Advait is trading close to its historical multiple but is approximately double the industry valuation. Quality is trading at more than double its industry median.
| Peer Comparison (X) | |||||
| Company | Price-to-Earnings | Return Ratios | |||
| Company | 5-Yr Median | Industry Median | ROCE (%) | ROE (%) | |
| Advait Energy | 44.1 | 50.4 | 21.1 | 26.9 | 22.5 |
| Savita Oil | 14.1 | 12.4 | 13.1 | 9.8 | 6.1 |
| Quality Power | 92.4 | NA | 36.2 | 26.6 | 22.1 |
India’s power equipment cycle is entering a sustained uptrend, backed by a 470 GW renewable pipeline and annual transmission capex of $8-9 billion. With projects spanning 3-5 years, OEMs enjoy strong revenue visibility.
As global grids modernize alongside AI-driven demand, both domestic execution and export opportunities position the sector for a prolonged, multi-year growth runway. However, the company that executes well will emerge as the winner. Meanwhile, keep them in your watchlist.
Disclaimer
Note: Throughout this article, we have relied on data from http://www.Screener.in and the company’s investor presentation. Only in cases where the data were unavailable have we used an alternative, widely accepted, and widely used source of information.
The purpose of this article is only to share interesting charts, data points, and thought-provoking opinions. It is NOT a recommendation. If you wish to consider an investment, you are strongly advised to consult your advisor. This article is strictly for educational purposes only.
About the Author: Madhvendra has been deeply immersed in the equity markets for over seven years, combining his passion for investing with his expertise in financial writing. With a knack for simplifying complex concepts, he enjoys sharing his honest perspectives on startups, listed Indian companies, and macroeconomic trends.
A dedicated reader and storyteller, Madhvendra thrives on uncovering insights that inspire his audience to deepen their understanding of the financial world.
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