Goenka plans power plant in UP

Calcutta, Feb. 12: Buoyed by the prospect of Noida Power Company Ltd (NPCL) ' its distribution venture ' returning to profit, the RP-Sanjiv Goenka Group has approached the Uttar Pradesh government to set up a 600 mega watt power plant in the state.

The Rs 500-crore power distribution company is a joint venture between the RP-Sajiv Goenka Group and the Greater Noida Industrial Development Authority, an autonomous body of the UP government responsible for town planning and infrastructure development.

NPCL, which was allowed to raise electricity tariff in October last year, is likely to post a Rs-30-crore profit this fiscal after a decade.

The Rs 8,000-crore group, which earns 60 per cent of its revenues from its power business, including flagship CESC that supplies power to Calcutta, has suggested to the UP government a couple of locations.

"We want to put up a 400 mega watt plant in the first phase and expand thereafter," Sanjiv Goenka, chairman of the group, said.

NPCL distributes power in Greater Noida, which is being developed as an industrial hub, and for urban settlements. It reaches out to a population of about 7 lakh spanning an area of 335 sq. km.

The company started operations in December 1993 under a 30-year licence from the UP government. The RP-Sajiv Goenka Group holds a 73 per cent stake in it.

Goenka is looking at the possibility of building a hydel power plant in Uttarakhand and bringing the power to Greater Noida, which is fast developing now. The distribution area at present has a demand of 200 mega watt. In the absence of a captive power plant, it buys power from other producers.

Goenka said NPCL had entered into an "attractive" power purchase agreement with Essar to buy 135 mega watt from April 14.

If the group manages to build a power plant in UP, NPCL will get access to captive power and post better profitability. The group is also gearing up to take up distribution in Ranchi.

CESC has won distribution rights for 10 years, and the process of handover is likely to be completed in the next two months. Ranchi will initially require 500 mega watt of power.

Profit jump

CESC Ltd reported an over 36 per cent jump in net profit at Rs 101 crore for the third quarter ended December 2012 compared with Rs 74 crore in the same period last year.

"Sales were higher by 5 per cent. Operational efficiency, higher PLF and cost control resulted in a profit rise of 36 per cent," Goenka said.

Spencer's float move

The RP-Sanjiv Goenka Group has appointed KPMG and Ambit Capital to take hypermart Spencer's public. The consultant is likely to submit a report by March-end.

The development comes at a time FDI in multi brand retail has been allowed by the Centre.

Matches

MORE TOP STORIES TODAY

On Now: Chennai vs Punjab

On Now: Chennai vs Punjab

MS Dhoni won the toss and opted to bat at Abu Dhabi. More »

Evenly matched Rajasthan and Hyderabad face-off

Evenly matched Rajasthan and Hyderabad face-off

A quality that defines Rajasthan and Hyderabad is consistency. Rajasthan was one among two teams to enjoy complete dominance at home last season. Hyderabad… More »

Beleaguered Yuvraj tees off to Sharjah's delight

Beleaguered Yuvraj tees off to Sharjah's delight

Yuvraj Singh was hardly convincing to begin with against Delhi, but a big dose of crowd support and a helping of poor bowling meant he had the opportunity… More »

Trott to take 'immediate break' from cricket

Trott to take 'immediate break' from cricket

The England and Wales Cricket Board (ECB) on Friday confirmed that batsman Jonathan Trott is to take another break from all cricket with immediate eff… More »

Fiery star Stokes bids to curb his temper

Fiery star Stokes bids to curb his temper

England all-rounder Ben Stokes admits he must keep his anger under control if he is to end his international exile. More »

Bangalore's arsenal blazes to victory

Bangalore's arsenal blazes to victory

Yuvraj Singh was back to his best in his first match for Royal Challengers Bangalore. More »

Pakistan cricketers face probe

Pakistan cricketers face probe

Pakistani cricket authorities have launched an investigation after a number of current international stars played in exhibition matches in the United States… More »

BCCI to meet before next court hearing

BCCI to meet before next court hearing

The BCCI will hold an emergent working committee meeting on April 20 to discuss the future course of action with regard to the Supreme Court hearing concerning… More »

Gavaskar wants a clean IPL

Gavaskar wants a clean IPL

"Integrity is non-negotiable..." says the BCCI's interim chief ahead of Season 7 of the tainted league. More »

Kallis, Narine star in KKR win

Kallis, Narine star in KKR win

An all-round display saw Knight Riders thump Mumbai Indians by 41 runs in the IPL-7 opener. More »

'Yak' Kallis still on top of his game

'Yak' Kallis still on top of his game

The 38-year-old South African veteran turned it on for Kolkata Knight RIders in the opening match of IPL-7. More »

Time for Chennai to enter familiar cocoon

Time for Chennai to enter familiar cocoon

Chennai have an emphatic 8-3 lead in the head-to-head with Punjab, with one game tied More »

Srinivasan named in fixing report: SC

Srinivasan named in fixing report: SC

The court emphasised that the tainted administrator can no longer work for the BCCI. More »

Yuvraj happy to play for RCB: Kohli

Yuvraj happy to play for RCB: Kohli

New-look RCB will play their first game of IPL-7 on Thursday. More »

IPL: News Line

IPL: News Line

A round-up of all the news from this season of the IPL. More »

Shane Watson issues moral warning

Shane Watson issues moral warning

'Everyone knows what is right and what is wrong and if you do the wrong thing it will be found out' More »

Why I'm not looking forward to the IPL

Why I'm not looking forward to the IPL

Welcome to another season of a league that many watch but few trust. More »

Johnson may quit T20s for Tests

Johnson may quit T20s for Tests

Australia's Mitchell Johnson may quit limited-overs cricket to prolong his test career with an eye on the 2015 Ashes series in England, the fast bowler… More »

Nepal players call off boycott

Nepal players call off boycott

Thaw in relations after formation of an advisory committee that would work in tandem with the Cricket Association of Nepal. More »

There's a lot going on: Fleming

There's a lot going on: Fleming

He experienced anxious moments in the lead-up to the tournament as the courts decided on whether to suspend the franchise, he said, but stressed that the… More »

Latif couldn’t work with tainted players

Latif couldn’t work with tainted players

Former Pakistan cricket captain Rashid Latif said Tuesday he turned down the job of national chief selector because he could not work with ex-players tainted… More »

We are not over-confident: Bailey

We are not over-confident: Bailey

Indian Premier League — George Bailey-led Kings XI Punjab will face Chennai Super Kings on Friday. More »

Taxing issue — BCCI hits roadblock

Taxing issue — BCCI hits roadblock

MoU between BCCI & its units to avoid double taxation delayed after a few decline to share details. More »

Big runs expected, with bat and ball

Big runs expected, with bat and ball

Royal Challengers Bangalore: Their main concern, once again, is the fast bowling More »