Jaipur-headquartered RMC Switchgears Ltd sees itself benefitting as a supplier to projects envisaged under the Revamped Distribution Sector Scheme (RDSS).
In a recent stock exchange filing, RMC Switchgear said that it sees itself as a beneficiary of RDSS, especially with activities like underground networks, smart metering and line strengthening works.
The company said that it offers feeder pillars and distribution boxes, which are the most essential components for implementing underground electricity distribution projects.
As far as smart metering goes, RMC Switchgear said it is the largest electrical enclosure manufacturing company having supplied smart metering enclosures in good numbers so far. The company has the “largest opportunity” with this product, RMC Switchgears said.
Estimating the business potential, the company statement said that the total business opportunity for all metering enclosure companies is around 5 per cent of the total outlay of RDSS. Given that the RDSS outlay is around Rs.3 trillion, the opportunity for metering enclosures works out to around Rs.15,000 crore. RMC Switchgear, being the largest shareholder of the market, has the highest business opportunity, the company said.
The company also observed that with over 24 lakh km of electricity distribution lines to be replaced in India, the opportunity for RMC lies in supplying junction boxes and overhead distribution boxes to meet the country’s huge demand.
Also read: RMC Switchgears Receives “Held-Up” Orders
RDSS
In July 2021, The Central Government approved the Revamped Distribution Sector Scheme (RDSS) to help discoms improve their operational efficiencies and financial sustainability by providing result-linked financial assistance to discoms to strengthen supply infrastructure based on meeting pre-qualifying criteria and achieving basic minimum benchmarks. The scheme has an outlay of Rs.3,03,758 crore over five years i.e. FY22 to FY26. The outlay includes an estimated Government Budgetary Support (GBS) of Rs.97,631 crore.
Featured photograph shows a switchgear plant of RMC Switchgears Ltd.
