Group’s hydro-electric foray still in preparatory stage
Kolkata-based RP-Sanjiv Goenka group flagship CESC Ltd plans to complete commissioning of 50 MW wind power at Jaisalmer in Rajasthan in the next six months.
According to group Chairman Sanjiv Goenka, the project is estimated to cost Rs 200-300 crore. The group’s proposed 146 MW hydro-electric foray is still in the preparatory stage.
Chandrapur on schedule
On the thermal power sector, he said that commissioning of the two thermal power stations of 600 MW each at Chandrapur in Maharashtra and Haldia in West Bengal were progressing on schedule.
While the first 300 MW unit at Chandrapur is expected to be commissioned by next year-end, the group is yet to enter power supply/purchase agreements for the same, as the State utilities country wide are delaying case-I tariff bidding.
Steady retail biz
Goenka reiterated that the retail business was making steady improvement on month-to-month basis. The company has already closed down most of the loss-making stores.
The group has closed all stores in Pune and kept its operations at a minimum in Mumbai. “It doesn’t make sense to expand in Mumbai,” Goenka said.
According to him, while Mumbai attracts highest property rent, staff cost and high electricity tariff (Rs 11 a unit); the city does not offer highest sales revenue (per square ft).
Spencer’s Gurgaon (Delhi) outlet, for example, generates Rs 80 more business every square ft, when compared to the Malad (Mumbai) stores.
Meanwhile, Sanjiv Goenka has become the new chairman of the IT-BPO company Firstsource Solutions Ltd (FSL). Sanjiv's son Shashwat has been inducted into the FSL board as a director.
FSL - which was acquired by the RP-Sanjiv Goenka group in October - had also repaid outstanding FCCB liability worth $237 million (Rs 1,300 crore).
“The repayment was funded by FSL’s cash reserve, augmented with shareholders’ money made available by the RP-Sanjiv Goenka group as also external borrowing,” a company release said.