OPERATIONAL HIGHLIGHTS:
During the quarter under review, the Company continued its robust operations. Sales volume for the quarter stood at 4227 MUs as compared to 3932 MUs in Q1 FY12. The overall generation was 4259 MUs up 10% as compared to 3889 MUs reported in corresponding quarter last year. Trombay Thermal Power Station generated 2542 MUs as compared to 2445 MUs in the corresponding quarter last year. Hydro Power Stations generated 389 MUs as compared to 362 MUs. Jojobera Thermal Power Station generated 814MUs as compared to 663 MUs and Haldia reported generation of 227 MUs as compared to 219 MUs in the corresponding quarter last year. Industrial Energy Limited reported generation of 457 MUs as compared to 399 MUs. Wind Farms performed well and generated 256 MUs as compared to 154 MUs in the corresponding quarter last year. Solar plant recorded generation of 1 MU as compared to 1 MU in Q1FY12.
BUSINESS HIGHLIGHTS: KEY SUBSIDIARIES
Coastal Gujarat Power Limited (CGPL)
CGPL, an SPV formed for setting up and operating the 4000 MW Mundra UMPP announced synchronization of its 800 MW sized Unit 2 on 19th July and commercial operations on 30th July 2012. Unit 1 is in operation. Work on Units 3, 4 and 5 of the project is on track and progressing well. Blending of 70% low grade coal has been achieved successfully. CGPL posted Revenues of INR 285.07 crore in Q1FY13. PAT stood at INR (164.78) crore and is mainly due to first unit being operational. The unexpected rise in coal price has not only affected our Mundra project but all imported coal based projects. Senior leaders from the industry met Hon'ble PM and requested PMO to resolve this issue.
Further, TATA Power had contracted coal from Indonesia on terms, which were mirror of bid tariff for coal for CGPL. However, since Indonesian Government has changed the export norms for coal from their country, Tata Power can't get imported coal based on contracted terms. CGPL has also filed a petition with CERC for revision of tariff.
Maithon Power Limited (MPL)
The 74:26 Joint Venture between Tata Power and Damodar Valley Corporation (DVC) commissioned second Unit of 525 MW (Unit 2) in Dhanbad, Jharkhand under the requisite standard requirements. The first Unit of 525 MW (Unit 1) was commissioned in September 2011. Revenues for Q1FY13 stood at INR 192.53 crore and PAT stood at INR (17.81) crore.
Industrial Energy Limited
The Company reported Revenues of INR 145.22 crore, increase of 33% and PAT of INR 21.29 crore, up 7% over last year.
Tata Power Renewable Energy Limited (TPREL)
25 MW Solar plant in Mithapur crossed 11000 MWh generation units milestone in record time. Q1FY13 Revenues stood at INR 16.66 crore and PAT was at INR 1.23 crore.
Tata Power Delhi Distribution Limited
The Company's distribution subsidiary and Joint-Venture with Delhi Government, posted revenues of INR 1431 crore up 16% as compared to corresponding quarter last year. PAT stood at INR73.90 crore and is not comparable mainly because in the previous year the Appellate Tribunal of Electricity had upheld certain claims of the company. Consequently, an amount of Rs 122.57 Crores had been accounted for as revenue during the quarter ended 30th June 2011.
Powerlinks Transmission Limited (Powerlinks)
Powerlinks, the first public-private Joint-Venture in power transmission in India reported Revenues of INR 67.94 crore in Q1 FY13 as compared to INR69.61 crore in Q1 FY12. PAT stood at INR 26.24 crore, up 3% as compared to Q1 FY12.
Tata Power Trading Company Limited (TPTCL)
TPTCL traded a total of 1615 MUs during the quarter, resulting in revenues of INR 644.16 crore, as compared to INR 662.14 in Q1 FY11. PAT stood at INR 5.38 crore, as compared to INR 5.85 crore in Q1FY12.
Standard & Poor's Rating Services (S&P) affirmed its 'BB-' long term corporate credit rating on Tata Power and BB- issue rating on the Company's senior unsecured notes. At the same time it revised its outlook on Tata Power to negative from stable.
GROWTH PLANS:
Tata Power crossed 6000 MW capacity mark. Some of the projects in pipeline are:
Kalinganagar, Orissa 3x67.5 MW (Gas based) +3x150 MW (Coal + gas based): The project is being executed through Industrial Energy Limited, a JV of the Company with Tata Steel Limited. Tata Steel has obtained Environment Clearance (EC) for gas based plant along with their steel plant. Civil construction work has commenced and order for major equipments have been placed.
236 MW Dugar Hydro Power Project: Tata Power
SN Power Consortium JV won the bid for 236 MW Dugar Hydro Power Project in Himachal Pradesh. Pre-feasibility studies are under progress by the joint project team. The project will primarily feed the Northern grid.
1600 MW Coastal Maharashtra Project
All statutory clearances required to start the project implementation are in place. The Rehabilitation and Resettlement (R & R) Authority of the Government of Maharashtra has approved the R & R proposal made by Tata Power. Land acquisition is in progress. Economic options for coal sourcing and logistics are under evaluation.
1980 MW Tiruldih Power Project, Jharkhand
The process of land acquisition for the project is in progress. In- principle clearance has been received from Railways for transportation of coal from Tubed Coal Block. The Company has successfully extended MoU with Government of Jharkhand which is valid for 3 years.
660 MW Naraj Marthapur Project, Orissa
The major clearances for the project have been obtained. The environment clearance has been granted by MoEF, subject to clearance from National Board of wild Life for which the process is on. Proposal for using clean technology is also under discussion for this project.
International Projects:
1. Cennergi
Department of Energy, Government of South Africa announced Cennergi (our South African Joint Venture with Exxaro) as preferred bidder for two wind projects of 234 MW - Amakhala 139 MW and Tsitsikamma 95 MW projects.
Tata Power has signed a long term coal supply agreement with PT Antang Gunung Meratus, Indonesia, a 100% subsidiary of the Indonesian company PT Baramulti Sukses Sarana. In order to secure the coal supplies, the Company, through its 100% subsidiary Khopoli Investments Limited has also entered into an agreement which gives Khopoli an option, subject to necessary approvals, to take up to a 26% stake in BSSR. AGM and BSSR own approximately 1 billion tonnes of coal resources in South and East Kalimantan in Indonesia.
114 MW Dagachhu Project is being developed in partnership with The Royal Government of Bhutan. Major ordering for the project has been completed and PPA for the entire quantum of power has been signed for the project. The excavation of emergency tunnel and tail race tunnel completed. Invert lining of connection tunnel is in progress. For Head race tunnel, more than 55% of tunnel excavation completed. Cumulatively around 7 kms of tunnelling has been completed. More than 99% of engineering and 95% of manufacturing activities are completed. Currently assembly of Generator Transformers and erection of EOT crane in Power House is in progress. All efforts are being made to commission the unit by 2013.
Geothermal Power
TATA Power along with consortium partners Origin Energy and PT Supraco, won 240 MW Sorik Marapi Project in Indonesia. The Environmental Permits were received in May, 2012. Application of Forestry Permit is in the final stage of approval. The vendor for Engineering Design & Quantity Survey contract has mobilized at site and work started. Evaluation of vendors for General Civil Works is under finalization. On receipt of the Letter of Assignment, kickoff meeting for PPA with State Power Off taker was held in May, 2012.
AWARDS AND RECOGNITIONS:
1. Trombay Thermal Power Station bagged the Gold Award in the power sector category awarded by Greentech foundation for maintaining high standard of workplace safety.
2. Transmission Division bagged the silver award in the power sector category awarded by Greentech foundation for maintaining high standard of workplace safety.
3. Jojobera thermal power station was conferred the Golden Peacock Environment Award for 2012
4. Haldia plant bagged 5 INSAAN Awards.
Source - Tata Power
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