EPC Projects

A shift from the high-debt hybrid annuity scheme for infra projects to a low-debt, performance-linked model is encouraging government and private majors to pivot to this business in a bigger way

Move comes following approval by RIL board in October to restructure the business; company also seeking shareholder nod for appointment of KV Kamath as RIL independent director

The demerged undertaking, together with the existing EPC team of RIL, will create a focused EPC undertaking to cater to the needs of the group

The firm produces solar photo-voltaic modules and is an integrated solar energy solutions provider offering EPC services, and operations and maintenance services

Energy conglomerate National Thermal Power Corporation (NTPC) has set up the 100 megawatt (MW) plant through Bharat Heavy Electricals (BHEL) under Engineering, Procurement and Construction contract

The decision assumes significance as MoR has been lagging behind in achieving its targets under the National Monetisation Pipeline (NMP) of the Centre, during the last fiscal year

As on March 31, 2022, the company has an order book position of Rs 9,001 crore. With this, KNR has targeted further order book inflow of Rs 4,000 to Rs 5,000 crore for the year FY23.

Slower project awarding and delayed receipt of 'appointment date' (on which projects are kicked off) from the NHAI are the main contributors to this decline

Central road implementation agencies seek 1% of contract value as bid bond guarantees

According to SBI Caps, the proportion of debt funding has risen sharply in the recent NHAI projects

Immediate monetisation would allow the govt to save on operation and maintenance cost