Techo Electric & Engineering Company Ltd, in FY24, witnessed its highest-ever order inflow seen in any financial year.
P.P. Gupta, Chairman & Managing Director, Techno Electric & Engineering Company Ltd, while addressing an earnings call on the company’s FY24 results, said that the order intake in FY24 was around Rs.7,000 crore, making it the highest in any financial year so far.
The company’s current unexecuted order book is around Rs.9,200 crore, added to which is around Rs.10,050 crore worth of orders where Techno Electric has been placed L1.
Power transmission — TBCB
On the power transmission side, Gupta said that the company recently won two interstate transmission system concessions, under the TBCB route. While T&D India has already reported the winning of “NERES XVI Power Transmission Ltd” by Techo Electric on April 29, 2024, information on the second scheme is not officially available.
Nevertheless, the second ISTS-TBCB scheme that Techo Electric could have won appears to be “North Eastern Region Generation Scheme – I”, housed under project SPV “NERGS-I Power Transmission Ltd.” As already reported by T&D India recently, Techno Electric was in the final race for this project along with three other contenders, including Power Grid Corporation of India, Sterlite Power and India Grid Trust.
Gupta noted that the total revenue generation by these two projects, over the entire concession period, is estimated at around Rs.2,800 crore. The EPC contract value of these two ISTS schemes is in the region of Rs.675 crore.
On future TBCB projects, the CMD said that Techno Electric would definitely like to bid for more projects but medium-sized ones — in the capital outlay range of Rs.500 crore to Rs.600 crore. This would ensure better internal rate of return (IRR), he felt.
Power transmission — EPC
Meanwhile the company’s current outstanding order book in the power transmission EPC space is around Rs.5,000 crore that includes some Rs.3,000 crore on projects awarded by Power Grid Corporation of India Ltd (PGCIL).
Gupta also noted that the growth in envisaged capex of PGCIL for FY25 and FY26 augurs well for Techo Electric’s prospects in the power transmission sector. The Techno Electric CMD also observed that the company was keen on executing “high-end” technology-centric projects in the power transmission space, including 765kV AIS/GIS substations, HVDC-based transmission projects, STATCOM, battery energy storage systems (BESS), etc.
Smart metering
On the smart metering front, Techno Electric’s present order book is around Rs.3,500 crore, Gupta said. The company is currently deploying around 3 million smart meters spread across UT of Jammu & Kashmir, Tripura, Jharkhand and Madhya Pradesh (Indore city). Besides, Techo Electric has also been placed L1 in a metering project in Punjab, envisaging deployment of 1.86 lakh feeder meters with an aggregate outlay of around Rs.660 crore.
Apart from smart metering, Techo Electric also envisages good business opportunity in digitization of distribution networks. P.P. Gupta mentioned that one such ongoing project was a mandate placed by Damodar Valley Corporation for digitization of the utility’s distribution network in its command area covering Jharkhand and West Bengal.
Also read: Techno Electric Wins Power T&D Orders Worth Nearly Rs.1,700 Crore
Featured photograph (source: Techno Electric) is for representation only