India's Leading Infrastructure Companies

India's Leading Infrastructure Companies 2015

Q. Kindly give us a brief profile of the company and the businesses it is engaged in.
A. Greenko is a mainstream participant in the growing Indian energy industry and a market leading owner and operator of clean energy projects in India utilising a de-risked portfolio of wind, run-of-river hydropower, natural gas/ liquid fuel, and biomass assets. The Group is now focused on building new utility scale wind farms and hydropower projects across India. The Company currently operates 650 MW, and is on its way to reaching 1,000 MW of operational capacity by 2015 and 2,000 MW by 2018.

Q. What segments of renewable energy is the company focusing on?
A. Currently the group is focused on building utility scale wind farms and hydropower projects across India

Q. What reforms would you like to see in the renewable energy segment in India?
A. Day ahead scheduling of wind energy: a mid-way solution needs to be evolved which protects the technical and commercial interests of the wind energy generators on one hand, and enables large scale integration of wind energy into India’s power-mix, on the other.
Financial health of the utilities needs to be addressed on urgent basis. Political will, closer Centre-State relations, and strong Regulatory Commissions can enable this. We are also looking forward to the modified Electricity Act, currently under discussion.
To enable a vibrant open access market, independent functioning of the State Load Dispatch Centres needs to be ensured. Currently, they function almost as extended arm of the utilities, thereby hampering open access where they believe it may hurt their utilities.

Q. What opportunities do you see for the energy sector in the next five years? How is your company planning to tap those opportunities?
A. The prospects of tangible improvements in coal and gas production look distant. This, with healthy economic and industrial recovery on the cards, and the new Government’s emphasis on the power sector, particularly on renewables, this sector is poised for a quantum leap over the next few years.
We are also keenly watching the developments taking place in the offshore wind segment, globally and in India. This is a high MW, high PLF segment, and could help India’s renewable capacity scale up quickly.
Currently, renewables, despite the growth in the past 6-7 years, contribute only 4-5% in terms of energy generated in India. The stated goal under the NAPCC, and more importantly, the above ground realities indicate that this may reach to 8-10% over the next 5-10 years.
This translates into an ~80,000 - 100,000 MW opportunity for the sector, worth $ 80-100 Bn investments. Greenko, already one of the sector leaders, is well poised to benefit from this opportunity.