ENGINEERING PROCUREMENT CONSTRUCTION
GREEN POWER
TRANSMISSION
Niche DRIVES VALUE
Techno Electric & Engineering Company Limited Techno Electric & Engineering Company Limited (Techno) is focusing on helping accelerate India’s march towards being a power-surplus economy.
At Techno, our emphasis on niche wide spectrum of the country’s power business opportunities and fostering sector (generation, transmission and relationships with industry bellwethers distribution) is poised to participate in will pave the way for our level-next the nation’s new-age optimism. growth. India’s socio-economic optimism depends to a very large We are electrified and empowered extent on how effectively and to help make a difference to India’s efficiently its power sector performs. rapidly evolving power sector. Techno with its presence across a Engineered to Perform Established in 1963, Techno is one of the most attractive proxies of India’s power sector. We are one of the leading players in the country’s power-infrastructure space. We are engaged in three business types --- EPC, Asset Ownership and Operations and Maintenance. As a leading engineering, procurement Engineering and construction (EPC) company, we Procurement Green Power Transmission have grown our business to include Construction Green Power and Build Own Operate and Transfer (BOOT) and Build Own Operate and Maintain (BOOM) Project segments as well.
35+ years 340+ 500+
Rich experience in the power Projects completed since Team of professionals driving the sector EPC inception Company’s progress
25+ years AA- A1+
Average experience of core Long-Term Credit Rating by Short-Term Credit Rating by engineering team CRISIL & ICRA for the preceding CRISIL & ICRA for the preceding two years two years Our OUR BUSINESS DIVISIONS EPC Generation Vision Providing engineering, We are an independent renewable procurement and construction energy producer with 129.9 MW wind services to all three sectors of energy capacity. and India’s power sector. In addition, we also serve the metallurgical Transmission Linkages and petrochemical sectors, among We are associated with building Mission many others. transmission linkages. Techno was established with a mission We offer solutions for a wide The business includes: A 25-year to provide comprehensive EPC services range of projects - right from concession in consortium with to core sector industries in India. complete power generation plants Kalpataru Power for a transmission The Company has assumed a to plant packages customised link at Jhajjar, Haryana. leadership position on the back of and complement larger systems association with state-of-the-art A 35-year concession for supplied by others. technology manufacturers and high transmission network at standards of quality management, We also provide complete Patran, Punjab. competent human resources, and solutions for EHV Substations and A 35-year concession for resourceful financing. Distribution System. transmission network at New Kohima, Nagaland.
Our Operating Architecture
1 Simran Wind Green Power Projects Limited 100%
Jhajjar KT Transco 2a Private Limited 49% Industrial EPC
Transmission Design, Build, Finance, Operate and Transfer & Distribution a 400kV/1500 MVA Transmission Network in Haryana capable of transferring 2,430 MW
Generation 2b Patran Transmission 49% Company Limited Techno Electric & Engineering Company Limited Build a transmission network at Patran, 2c Punjab on Build, Own Operate And Maintain 1 2 (BOOM) basis for 35 years 129.9 MW Wind Energy Generation 2c Kohima-Mariani 2b Transmission 24% Limited
2a Build a transmission network at New Kohima, Nagaland on Build, Own Operate And Maintain (BOOM) basis for 35 years
2 Our Growth Story
1963 1980 1990 2006
Started operations as Public listing of the Forayed into the Ventured into captive an EPC player Company Power Transmission power plant segment & Distribution (T&D) Investment by Citigroup segment Venture Capital
2012 2011 2010 2009
Entered the 765 kV Completed installation Began Transmission Joined the wind power substation segment of a 111.9 MW wind BOOT projects generation space through power farm (Tamil Nadu) 95 MW acquisition
2013 2015 2017
Bagged a transmission Acquired a STATCOM Unloaded 33 MW of wind network at Patran, Punjab order in collaboration power capacity with Rongxin Secured a transmission Sold 44.45 MW of wind project at New Kohima, power capacity Nagaland
Our Achievements
National award for meritorious IEI Industry Excellence Award from Excellence Award from North performance from Ministry of The Institution of Engineers (India) Bihar Power Distribution Company Power, 2014 for demonstrating Highest Order of Limited, 2014 Business Excellence, 2016 Best Performance and Safety Excellence award for Safety from Award from Power Grid Mr. P.P. Gupta recognised as top Power Grid Corporation Limited, Corporation Limited, 2013, 2014, 100 Indian CEO’s by Business Today 2014 2016 and 2017 – PWC, 2016-17 Excellence award for Sub-station Certificate of Appreciation for Timely Performance Award construction from Power Grid Safety Award from NTPC Kudgi, from Bihar State Power Holding Corporation Limited, 2013 2016-17 Company Limited, 2016 Named ‘Best Vendor in Eastern Best Performance - Safety Award Honored as ‘Best Under a Billion’ India’ by Bharat Heavy Electricals from NTPC Kudgi, 2015 and 2016 among 200 small and mid-cap Limited, 2010-11 companies, by Forbes, 2008 Conferred with Best Sub-station Performance Award from Power Certificate of appreciation from Grid Corporation Limited, 2017 North Bihar Power Distribution Company Limited 3 What Differentiates Us?
Relevant Experience quality commitment, environmental Moreover, we tend to take projects in We possess a rich experience of management and employee safety. hard-to-operate regions like Bihar to more than three decades in India’s protect our margins. Our exemplary challenging EPC space, strengthening Competent Team track record in terms of working capital competencies across regions, markets Our 175-member engineering team and margins demonstrates this reality. and customers. possesses an average industry experience of over 25 years. Our Best-in-class Technology Timeline Driven areas of competence comprise design, Our business model gives us the We have demonstrated capabilities construction, project management, flexibility to partner with the best by delivering projects across shrinking procurement, quality assurance, vendors from around the world and timelines that have now become business development and marketing source state-of-the-art technology not industry benchmarks in terms of and financial management. available in India. We enjoy enduring project delivery. This has helped relationships with 1,500+ vendors, commission more projects on schedule Asset-light Model facilitating timely execution of projects. and generate quicker investment Our asset light, lean organisation returns for the customers. structure has helped us control our Bidding Expertise overheads. We do not subcontract Our strategic bidding enables us to Robust Portfolio our projects unlike peers. Our fixed compete in relatively high-margin, We have successfully executed over overhead structure has enabled us to low-competition segments. Our 340 pan-India projects; associated in have a margin advantage over our peers. strong growth over the last 20 years some capacity or other in more than with limited balance sheet risk and 50% of India’s National Power Grid and Prudent working capital consistent profitability indicate high over 50% of National Thermal Power management bidding discipline. We are selective in Corporation’s projects. We typically don’t have more than our pursuit of projects and focus on 20 open sites and are unlikely to our core area of expertise, bidding Committed to Compliance undertake more than one distribution aggressively only if we are familiar Our quality commitment is contract. This enables strong with the package or region. We are accredited with ISO 9001:2008, managerial and supervisory control constantly looking for new technology ISO 14001:2004 and BS OHSAS over the execution pace, working (like STATCOM, HVDC) and avenues 18001:2007. This ensures unmatched capital management and cost control. that would enable us to participate in less-crowded projects. 4 Our Value Paradigm
Shareholders Employees Clients 1 Shareholders are updated about 2 Organise training programmes 3 Timely execution of high-quality our financial performance, annual for employee skills upgradation, projects for our clients. performance and new projects which help them improve their Effective management of through various platforms. performance. contractual obligations. Annual general meeting, annual Training programmes are also Follow ‘once a customer, always a report, shareholder meetings conducted on occupational health customer’ policy. and sustainability report make and safety. them aware of the changes in the Increased direct contact with Focus on prevention of accidents, Company’s governance and triple customers. health-hazards and overall bottom line performance. employee safety. Creating value through efficient Developed a high-performing working capital management. culture that celebrates excellence. Reported consistent profitability for the last twenty years.
Vendor Partners Regulators and Society 4Treated channel partners as a part 5Statutory Bodies 6We take the society along in our of the Techno family. Comply with the standards set progress. We are committed by regulatory bodies and the to operate in an efficient and Helped improve their processes, government. sustainable manner. efficiencies and quality through regular inputs and training. In line with compliance Corporate Social Responsibility management, we publish regular Committee is responsible for Maintained transparent pricing compliance reports. monitoring, formulating and policies. recommending CSR policies from Conduct statutory and internal Minimised their inventory costs time to time. audits to ensure compliance. through on-time supplies. Our realm of social intervention Our health and safety management encompasses education, healthcare system in place is well equipped to and livelihood projects. manage hazards and mitigate risks for better performance. 5 Business Segments We have widespread presence across three business segments – the contracting business, wind power-generation assets and transmission BOOT assets. Business Segment 1: EPC
OUR EPC COMPETITIVENESS
Partnership with large Pioneered power distribution international manufacturers solutions for aluminium smelters (360 kA busbar systems, 2013) Our EPC business provides solutions Good management of customer to a large number of India’s expectations and contractual Quicker project completion than installed thermal and inter-regional obligations industry standard transmission capacity. Continuous graduation to Owns 60% share of 765 kV EhV EPC services for Transmission and industry-next technology and substation segment ability to embrace challenges Distribution sector represents our key Efficient working capital strength and is the primary source of Robust vendor eco-system management revenue generation.
Power Sector Techno provides complete solutions 1for captive power plants, balance of plant (BOP) for thermal and hydro power projects and utilities for power projects. Our services are primarily related to basic engineering, design, detailed engineering, civil and structural works, commissioning, and stabilisation, among others. As an extension of our presence in the power segment, we provide construction services for both air-insulated and gas-insulated substations. Besides, we install overhead lines for transmission KEY PROJECTS projects for captive power plant projects. Client Jharkhand Bijli Vitran Nigam Limited
Rural Electrification Work at Dhanbad and Chatra under Deendayal Project Upadhyay Gram Jyoti Yojana Scope Rural Electrification Work of Dhanbad and Package comprising Dhanbad, Bokaro and Ramgarh districts in Jharkhand under Capabilities Deendayal Upadhyay Gram Jyoti Yojana Building captive power plants upto Project Value ` 485 Crores 100MW on a turnkey basis. Date of Completion Under execution Serves both Government/PSU and private customers. 7 Parts of the Balance of Plant (BoP) KEY PROJECTS contracts such as fuel oil handling system, comprehensive electrical systems, piping, power evacuation Client North Bihar Power Distribution Co. Ltd., Patna, Bihar systems and others. Project Rajiv Gandhi Grameen Vidyutikaran Yojana
Executed over 280 T&D projects. Scope Execution of Rural Electricity Infrastructure and Household Electrification including associated Civil Works in Gopalgunj Dist. of Bihar including 2 Nos. 33/11 KV S/S, 37 KM of 33 KV Line, Building sub-stations and switch 2,000 KM of 11 KV Line, 4,462 Nos. of DTR, 2,14,000 consumers yards, specialised in building on EPC basis substations ranging between Project Value ` 387.26 Crores 132 kV and 765 kV. Date of Completion December, 2017 STATCOM installation up to 250 MVaR. Client Power Grid Corporation of India Ltd., Gurgaon Services largely PGCIL and multi- laterally funded state projects. Project STATCOM installation at Solapur, Satna & Aurangabad substations Scope Substation Package for STATCOM Installations of 400 kV at Rural electrification and Solapur, Satna and Aurangabad substations under Global distribution management Competitive Bidding systems under Central Project Value ` 345.75 Crores Government programmes. Date of Completion December, 2017 Primarily works with state distribution companies. Client Power Grid Corporation Of India Ltd., Gurgaon
Project Green Energy Corridor: Inter State Transmission Scheme (ISTS) – Part D
Scope Construction of 765/400 kV Substation at Bikaner and extension of 765 kV substation at Ajmer and Moga substation associated with ADB funded Green Energy Corridor: Inter State Transmission Scheme (ISTS) – Part A under KFW, Germany funded International Competitive Bidding
Project Value ` 227.2 Crores
Date of Completion Under execution
Client Power Grid Corporation Of India Ltd., Gurgaon
Project NER Power System Improvement Project
Scope 400 kV GIS Substation Package at Assam under World Bank funded NER Power System Improvement Project
Project Value ` 169.65 Crores
Date of Completion Under execution
Client NTPC Limited
Project Tanda Thermal Power Project, Stage-II (2x660MW)
Scope Supply of Switchyard Package for Tanda Thermal Power Project, Stage-II (2x660MW)
Project Value ` 180 Crores
Date of Completion Under execution
8 Industrial Sector We forayed into the industrial sector 2with various EPC-based projects. This strategic move helped us reap the benefits of attractive opportunities available in this segment.
Capabilities We have executed numerous successful EPC projects in the KEY PROJECTS industrial sector for power intensive industries, aluminium smelters Client Mitsubishi Chemicals Corporation PTA India Corp. (P) ltd. and refineries. Haldia, West Bengal
Power distribution systems to Project Coal fired Hot Oil Heater Project at Sutahata, Haldia, WB power intensive industries Scope Design, Engineering, Supply, Erection, Testing and Commissioning of Balance of Plant comprising Cooling Water System, Offsite piping systems Compressed Air System, Fire Fighting, Coal /Bed Material/ Limestome Handling, Ash Handling, Chimney, Silos, Air Conditioning and Ventilation System, PA System, 6.6 kV/415V Naphtha and diesel system for Power Distribution System, Illumination, Cabling, Earthing, turbine-based power plant Instrumentation with PLC among others, Civil Works including piling along with Erection & Commissioning of Coal fired Hot Thermic Fluid Heaters for Chemical Process Plant Oil handling plant for power station and process industries Project Value ` 106 Crores
Date of Completion June, 2017 Water and allied systems
Fire protection systems Client Hindalco Industries Ltd., Singrauli
Plant electrical and illumination Project Mahan Smelter Project, Bargawan, Dist. Singrauli systems Scope 360 kA DC Power Distribution System with Technology from M/s. Rio Tinto Alcan (Aluminium Pechiney, France) for pot lines. The job calls for high precision fabrication and machining that involves 16,000 MT of EC Grade Aluminium Busbar work, and 30,000 Nos. Bi-metalic Clad welding at Mahan, for 360 Pots
Project Value ` 57.03 Crores
Date of Completion April, 2014
Client Indian Oil Corporation Limited
Project Paradip Oil Refinery Project
Scope Development and construction of Power Distribution Infrastructure at Paradip Refinery
Project Value ` 49 Crores
Date of Completion May, 2011
9 ROAD AHEAD
Capitalise on emerging Execute around 3-5% of solar Re-build the EPC business by opportunities in the segment and power installations by central launching new types of projects. acquire more orders under the PSUs through EPC services over Develop a robust vendor eco- Green Energy Corridor project the next 5 years. system. and STATCOM. Increase value of the Company by Build and leverage long-term Manage customer expectations focusing on intellectual property partnerships. and contractual obligations and bringing in technological effectively. advancements. Business Segment 2: Green Power
KEY DEVELOPMENTS
Bought back 3.38% stake held by We sold another 33 MW of wind IFC in Simran in 2015. energy assets at an effective We are an independent renewable valuation of ` 165 Crores in During FY 2014-15, we sold 44.45 energy producer with 129.9 MW wind FY 2016-17. energy capacity. MW of wind power assets at an effective valuation of ` 215 Crores. We entered the renewable energy generation space through the acquisition of two wind power generating companies in 2009 – Simran Wind Project Private Limited (Simran) and Super Wind Project ROAD AHEAD Limited (Techno Electric). We had set up a 111.9 MW wind farm in We intend to divest the balance portfolio of 129.9 MW wind assets. This will serve Tamil Nadu through our IFC-funded to improve strength for bidding in more PPP projects in transmission sector and subsidiary – Simran Wind Project Ltd. focus on core EPC vertical.
10 Business Segment 3: BOOT and BOOM Projects
OUR TRANSMISSION COMPETENCIES
Higher strike rate in bagging negotiation ability and projects. quality control.
Active solutions orientation in the Low gearing, high credit rating With rich knowhow of the EPC space, 400 kVA to 765 kVA substations and low-cost debt. we made inroads into the BOOT range. Delivered most EPC and BOOT/ and BOOM segment to provide BOOM projects on or before transmission network solutions. Extensive vendor ecosystem with schedule. This has helped us create timely project delivery, excellent transmission assets in our books. Besides, we aimed to generate one-off EPC revenues during project We are India’s first company to enter a commissioning, while delivering PPP agreement with Haryana for setting annuity income from project maintenance. up a transmission network.
THE BUSINESS INCLUDES ROAD AHEAD
Jhajjar Kalpataru, Haryana Patran, Punjab Execute 1-2 project/s annually. JJhajjar KT Transco was commissioned In 2013, we received a concession Generate increasing insourcing of in 2012 and is a joint venture between from PFC Consulting Limited to build EPC contracts. Techno (49%) and Kalpataru Power a transmission network at Patran, Transmission Limited (51%). It is a Punjab. The ` 2 billion project under Increasing expertise and focus in 400 kV intrastate power transmission the BOOM transmission network is setting up substations. project in Haryana. It was the first estimated to have a total revenue of Projected portfolio of 4-5 projects transmission project to receive a ` 10 billion over the entire concession by 2020. viability gap funding support from the period of 35 years. Government of India. From 20% of EPC orders from PPP 400 kV transmission system projects in 2012 to 10% in 2015 to Includes two substations of 400/200 commissioned in June 2016 20% (est.) by 2020. kV of 24 bays each at Rohtak and Com prises LILO of both circuits Sonepat. Increased competitiveness is 1,000 MVA evacuation capacity Comprises double circuit quad translating into project selectivity 400/220kV substation with 14 bays moose line that extends from Jharli (high IRR). in Patran to Rohtak and extends to Sonepat. Building efficient evacuation Patiala-Kaithal 400 kV double circuit Designed to evacuate 2,400 MW. facilities for the nation. triple snow bird line at Patran DBFOT arrangement spanning 25 years (extendable by 10 years). New Kohima, Nagaland If the contract is not extended, In 2017, we bagged a concession the terminal value derived from with Kalpataru Power Transmission this project will be 60 months of Ltd (26 :74) for 35 years to build a revenue (following 25 years of transmission network at New Kohima concession period). in Nagaland under Transmission System for North-eastern Region Strengthening Scheme (NRESS -VI). Project will have an Annual Levellised Tariff of ` 2 billion and will give us O&M revenue over the concession period. 11 Opportunity Landscape
India’s power sector is undergoing The government targets capacity Techno is a significant change. Sustained addition of 88.5 GW under the 12th economic growth and the growing Five-Year Plan (2012–17) and around attractively urbanisation continue to drive 100 GW under the 13th Five-Year electricity demand in India. The Plan (2017–22). The Government of poised and Central Government has a multi- India in the Union Budget 2016-17 geared to address pronged approach to resolve the has set the target of achieving 100% power sector problems in the rural electrification by May 2018. the sizeable country. Initiatives have been taken This coupled with higher funding right from improving coal production under Deen Dayal Upadhyaya Gram opportunity in the and linkages, reviving the T&D Jyoti Yojana (DDUGJY) and Integrated forthcoming segment, and pushing renewable Power Development Scheme (IPDS) is energy in recent years. likely to expand the energy demand. 13th Plan.
GOVERNMENT INITIATIVES IN THE ENERGY LANDSCAPE DRIVE TECHNO’S BUSINESS OPTIMISM
Government Initiatives Opportunity for Techno
Green Energy Corridor
Government plans to roll out green energy corridor project Techno was among the first few companies to win order worth at an estimated cost of ` 430 billion to facilitate the flow of ` 600 Crores for substation package at Chittorgarh, Tuticorin, renewable energy into the National Grid. Ajmer and Bikaner associated with Green Energy Corridors: Inter-State Transmission Scheme (ISTS) – Part A. Germany has committed developmental and technical assistance of €1 billion for the project through the country’s Techno is hopeful of getting more orders under Green Energy financial body, KFW. Corridor project. ADB to provide USD 1 billion loan for Green Energy Corridors for transmission lines, dedicated to carry electricity from renewable energy projects.
STATCOM Installation Government plans to install 50 STATCOM substations Techno won the first STATCOM installation at 400 kV substation involving a total investment of ` 80 billion over a period at Solapur, Satna and Aurangabad in joint biding with Chinese of 3-5 years. Company RONGXIN. Techno’s scope of work is worth ` 268 Crores. Techno, being the pioneer in installation of STATCOM, will have the first mover advantage.
Sub transmission system in North Eastern states Power Grid Corporation of India (PGCIL) has been given Techno has bagged order for ` 350 Crores to build GIS sub-station mandate to build sub-transmission systems of 220/132 kV at Assam and Meghalaya under World Bank funded NER Power in six North East States at an estimated investment of ` 150 System Improvement Project. billion over a period of 3 years.
Solar Power Installation Total installed capacity in India as on 31st March 2016 – 6 GW. Techno expects to execute around 3-5% of installations by central Targeted Solar Capacity in India by 2022 – 100 GW. It would PSUs in EPC route over the next 5 years. require a capital investment of about ` 6,000 billion. At least 25 GW installations out of said 100 GW to come through EPC route translating to an opportunity of ` 1,500 billion. NTPC alone to execute 10 GW installation in next 5 years.
12 Our Esteemed Clients
ABB Limited Hindalco Industries Limited Alstom T&D Limited Indian Oil Corporation Limited Transmission Corporation of Andhra Indian Petrochemicals Limited Pradesh Limited (APTRANSCO) Madhya Pradesh Power Transmission Company Limited Transmission Corporation of Telangana Limited Maharashtra State Electricity Board (TSTRANSCO) National Aluminium Company Limited Assam State Electricity Board National Hydro Electric Power Corporation Limited Bengal Energy Limited National Thermal Power Corporation Limited Bharat Aluminium Company Limited NTPC Tamilnadu Energy Limited Bharat Heavy Electricals Limited North Eastern Electric Power Corporation Limited Bihar State Electricity Board Orissa Power Generation Corporation Bihar State Power Transmission Company Limited Power Grid Corporation of India Limited North Bihar Power Distribution Company Limited Rajasthan Rajya Vidyut Prasaran Nigam Limited Calcutta Electricity Supply Corporation Reliance Infrastructures Limited Damodar Valley Corporation TBEA Shenyang Transformers Group Company Limited Delhi Vidyut Board Tamil Nadu Electricity Board Eastern Central Railway Tata Chemicals Limited Electrosteel Castings Limited Thermax Limited General Electric Technical Services, USA Uganda Electricity Transmission Company Limited Haldia Petrochemicals Limited Uttar Pradesh State Electricity Board Himachal Pradesh State Electricity Board Limited Vedanta Aluminium Limited and West Haryana Vidyut Power Nigam Limited Bengal State Electricity Transmission Company Limited ([email protected])
Techno Electric & Engineering Company Limited Corporate Office 1B Park Plaza, 71 Park Street, Kolkata 700 016
CIN: L40108UP2005PLC094304 concept, content and design at