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GMR Energy Ltd (GEL) and TNB Repair and Maintenance Sdn Bhd (TNB Remaco) will set up a joint venture for operations and maintenance services for power plants in the country.
TNB Remaco, a specialist in power plant repair and maintenance, is the repair and maintenance arm of power utility major Tenaga Nasional Berhad (TNB) of Malaysia.
TNB had recently invested $ 300 million (about Rs 2,000 crore) in GMR Energy to acquire 30 per cent equity stake in select portfolio of GEL assets on a fully diluted basis.
The joint venture to be set up in India will provide operation and maintenance services, performance improvement services, testing and diagnostic services, repair and refurbishment services for power plants in India.
GM Rao, Group Chairman, GMR Group, in a statement said: “India’s substantial and sustained economic growth is placing enormous demand on its energy resources. The objective is to optimise the operations of the Indian power plants in a bid to enhance efficiency of power plants along with power plant life.”
“The partnership with TNB Remaco signifies the GMR Group’s commitment towards a holistic improvement of power plants in India. It also shows that the global investors are reposing faith in the long-term growth of the Indian power sector,” he said.
GBS Raju, Chairman, GMR Energy, said, “This will be the first investment of the Malaysian company in a facility outside Malaysia. This would provide a renewed impetus to our energy portfolio and strengthen our relationship with our strategic foreign partner Tenaga Nasional Berhad.”
Together GMR and TNB Remaco will identify business opportunities in the Indian market and provide operation and maintenance services for power plants. This is seen as a logical business extension for GEL.
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