Punj Lloyd's power division to focus on nuclear and renewable projects for now.

Punj Lloyd's Power EPC (engineering, procurement, and construction) division is concentrating on nuclear and renewable power projects as it expects orders from thermal sector to revive only after a year.

'The nuclear and renewable space is looking very encouraging. We are already working on two nuclear projects in Gujarat and Rajasthan. If we get the contract for the Hisar, Haryana plant of Nuclear Power Corporation of India Ltd., the order book from nuclear could reach Rs. 3,000 crore,' said C L Thakur, President and Chief Executive Officer – Power, Punj Lloyd.

The company's current order book from nuclear projects stands at Rs. 866.94 crore. It has been carrying out EPC work of nuclear equipment, piping, and ventilation systems inside reactor buildings at the Gujarat and Rajasthan plants of NPCIL.

At Gujarat, Punj Lloyd is working on the 2x700 MW Kakarpara plant while at Rajasthan it is the Rajasthan Atomic Power Project 3 & 4.

Thakur added that the cost of setting up nuclear plants currently stands at Rs. 12 crore for each megawatt.

In the renewable sector, the company has started with setting up a rooftop solar power project in Chandigarh as well as carrying out EPC works for its sister company Punj Lloyd Solar Ltd.

'We don’t want to get into the solar power developer side at all. The solar EPC side looks very positive with NTPC expected to add a lot of capacity,' Thakur said.

Stating that fuel supply constraints will mean orders from thermal power producers will take more time, he said the company is gaining experience in the other two categories.

Asked whether he sees BHEL monopoly in supplying power generation equipment wane, Thakur said, 'Definitely BHEL's monopoly has started to go away. BHEL has around 15,000 MW of annual production capacity. Private players including Alstom and L&T’s capacity put together is around 15,000 MW, so it’s a much more level playing field now.'


HBL