Mumbai, Oct. 21 -- Rajesh Power Services has secured two electricity distribution orders worth a combined Rs. 5.41 bn from government-owned utilities in Gujarat, taking its order book beyond Rs. 40 bn. The company disclosed the awards in an exchange filing on October 15.
Madhya Gujarat Vij Company awarded the larger contract, valued at Rs. 4.72 bn, for strengthening electricity distribution infrastructure at various locations across the state. The project accounts for approximately 87 per cent of the combined value and must be completed within 18 months.
Uttar Gujarat Vij Company placed the second order, worth Rs. 690 mn, for shifting existing electrical networks at multiple locations. The turnkey contract has a completion period of 12 months, shorter than the schedule for the MGVCL project.
The UGVCL assignment covers the project cycle from site surveys and design to engineering, procurement, supply, testing and commissioning. The disclosed scope requires the company to manage both preparatory activities and the final commissioning of the shifted networks.
Chairman and Managing Director Kurang Panchal said the two awards secured during the week demonstrated the confidence Gujarat's distribution utilities had in the company's execution capabilities. He added that the contracts had lifted the order book above Rs. 40 bn.
Rajesh Power Services operates as an engineering, procurement and construction company serving the power transmission and distribution industry. The order book represents contracted work awaiting execution rather than revenue already earned, with delivery of the new projects scheduled over their respective 12-month and 18-month implementation periods.
Published by HT Digital Content Services with permission from Construction World.