CESC to infuse Rs 1000 crore in power business

RP Sanjiv Goenka flagship company CESC Ltd will invest Rs 1000 crore in the current fiscal in the power business.

"We are investing Rs 1000 crore in the current fiscal in the power business out of which Rs 600 crore is meant for CESC Kolkata distribution network and rest will be in other power companies," CESC chairman Sanjiv Goenka said on the sidelines of the company's 39th AGM.

The company has already stated that it will focus in power distribution instead in generation due to high regulatory interventions.

Goenka stating their achievement of Rajasthan, Kota distribution franchisee since takeover said, transmission and distribution loss has reduced by six per cent and it will achieve a revenue of Rs 1300 crore representing some 16 per cent of group consolidated power distribution revenue.

CESC has won distribution franchisee in cities of Kota and Bharatpur in Rajasthan.

Goenka said the company was keen to invest in Uttar Pradesh given the transparency and commitment shown by Chief Minister Yogi Adityanath's government.

Speaking about renewables Goenka said they will not further invest in hydel due to long delays on various counts.

He did not replied when asked whether CESC was looking at an exit from the 135MW hydel power project the company had taken over in 2012 in pre-construction stage.

The company owns Papu and Phanchung hydel power projects in Arunachal Pradesh.

CESC has total generation of 187 MW in renewables including wind and solar.

Meanwhile, on Spencer's Goenka said in the first quarter the retailer earned cash break even and was doing better in terms of margins.

(PTI)