reliance power final
TRANSCRIPT
Div : A,Group I – Vibrance Mentor – Prof. B . Gogoi
"Growth has no limit at Reliance. I keep revising my vision.
Only when you can dream it, you can do it.“
(Dhirubhai H. Ambani)
• The Reliance Group, founder Late Mr. Dhirubhai H. Ambani (1932-2002)
• 1977 - Reliance Textile Industries Limited
• Started business with US$ 300 (around Rs 14,000).
• The first Indian private company in global Fortune 500 list. Dhirubhai H. Ambani
Founder Chairman Reliance Group December 28, 1932 - July 6, 2002
About Proprietor
• Anil D Ambani, 50. Chairman :Reliance ADA Group.
• Rank-4th richest Indian.
• Net worth-US$ 13.7 billion
• Qualification – MBA - Wharton School, (University of Pennsylvania)
BSc - University of Mumbai
Awards and Achievements
• Voted - ‘the Businessman of the Year’ by The Times of India – TNS, December 2006
• Voted - ‘Best role model’ by India Today magazine, August 2006
• ‘The CEO of the Year 2004’ Global Energy Awards
• 'The Entrepreneur of the Decade Award' by the Bombay Management Association, October 2002
Vision"To build a global enterprise for all our stakeholders, and a great future for our
country, to give millions of young Indians the power to shape their destiny, the
means to realize their full potential…”
Mission “We are not just about scale and size
we are also about the pursuit of excellence,the integrity of our values and the quality of
our services.”
- Anil Dhirubhai Ambani
Profile : Reliance Power Ltd.• Reliance Power Limited (RPower) is a part of the Reliance
Anil Dhirubhai Ambani Group.• Jan -1995 : The Company was originally incorporated as
Bawana Power Pvt. Ltd.• Mar – 2004 : The Company was converted to a public
company.• July 4 – 2007 :Name changed to Reliance Power Limited.• RPower is in the development, construction and operation of
power generation projects with a planned capacity of about 35,000 MW .
• The largest portfolio of private power generation assets under development in India.
• Projects has diverse in geographic location & fuel source.
102453 MW36863 MW
4560 MW
15521MW
Thermal
Hydro electric
nuclear
Renewable Energy
Indian Power Industry
• Total installed capacity 159,398.49 Mega Watt (MW)
Source : The Ministry of Power, India. (as on March 31, 2010 )
Sector wise generation capacity
3118 MW
2180 MW
4287 MW
State Sector
Central Sector
PrivateSector
*Excluding renewable energy and captive generation capacity; Source : CEA , FY 09 - 10
Operational projects
• Samalkot IPP, a 220 MW combined cycle gas based project in Andhra Pradesh
• Goa Power Station (GPS), a 48 MW combined cycle gas based project in Goa
• Rosa Stage 1, a 600 MW coal-based power project in Uttar Pradesh
Source : Reliance Power Website
Reliance Power
Adani Power
Neyveli Lignite
NHPC
Torrent Power
Power Grid Corp
Tata Power
Reliance Infra
NTPC
0.00 5,000.00 10,000.00 15,000.00 20,000.00 25,000.00 30,000.00 35,000.00 40,000.00 45,000.00 50,000.00
8.55
434.86
3,354.91
4,331.98
5,909.20
6,675.85
7,098.27
10,027.2648,221.32
Source : Money Control. Com
Major Competitors
Figures in crores
Projects Under DevelopmentSr. No Name State Capacity
(MW)Expected
Completion Approvals Financial Closure Type
1 Rosa Phase 2 UP 600 Mar-12 Obtained IDBI Bank Ltd. Thermal
2 Butibori MH 600 Mar-12 Obtained Axis Bank Ltd. Thermal
3 Sasan UMPP MP 3960 I st unit by Mar 12 Obtained SBI Bank Ltd. Thermal
4 Krishnapatnam UMPP AP 4000 I st unit by Sep 13 Obtained In Progress Thermal
5 Chitrangi Power Project MP 3960 NA In Progress In Progress Thermal
6 Tilaiya UMPP Jharkhand 3960 I st unit by May 15 In Progress In Progress Thermal
7 Dadri UP 7480 NA Obtained In Progress Thermal
8 Shahpur MH 4000 NA Obtained In Progress Thermal
9 Tato II ArP 700 NA In Progress In Progress Hydro Electric
10 Siyom ArP 1000 NA In Progress In Progress Hydro Electric
11 Sobla Uttarakhand 400 NA In Progress In Progress Hydro Electric
Source : Reliance Power Website
Mergers
• RNRL is to merged with Reliance Power Ltd at a swap ratio of 4 : 1.
• The deal is valued at 50,000 crore.
• Reliance Power Ltd shareholders would benefit from RNRL coal and gas blocks.
• RNRL shareholders would benefit from growth prospects of Reliance Power Ltd.
Source : Financial Express
• Reliance Power Ltd had acquired 3 coal mines in South Sumatra, Indonesia in 2008.
• The mines have total reserves worth two billion metric tones.
• Reliance Power acquires generation assets from Reliance Infrastructure
Acquisition
Source : Financial Express
Key Financials
Particulars Amount (March 31, 2010)
Amount (March 31, 2009)
Net Worth 14,463.05 Cr. 13,779.15 Cr.
Debt 2,240.61 Cr. 1,332.49 Cr.
Net Income 843.38 Cr. 360.38 Cr.Net Profit 683.89 Cr. 244.51 Cr.EPS Rs. 2.85 Rs. 1.02
Source : Money Control. Com
SWOT Analysis
STRENGTHS WEAKNESSES
• Diversified production base systems.
• The company has won three of the four Ultra Mega Power Projects.
• The company has acquired coal mines in Indonesia.
• Future performance is uncertain because of no operating history.
• Failure to commence operations of projects as expected.
• Unable to obtain the necessary funds on acceptable terms.
SWOT Analysis
OPPORTUNITIES THREATS
• The government has taken initiatives to increase public & private investments in the sector to eliminate power deficit.
• Incentives for the sector through waiver of duties on capital equipments under the Mega Power Policy
• Government has a mission of “Power for all by 2012”.
• Relentless pressure to maintain profitability due to rising input raw material prices.
• Theft of electricity .
• Cost competitive pressure to meet customer expectation.
Corporate Social Responsibility
• Mrs. Tina Ambani heads the CSR of Reliance ADAG group.• Reliance Power (R-Power) is planning an investment of over
US$ 12.63 billion for renewable and alternative energy resources.
• Kokilaben Dhirubhai Ambani Hospital and Research Institute in Mumbai, a 750-bed tertiary care hospital with one of the largest healthcare infrastructure in the country.
• ADAG also makes bricks from fly ash which are donated to various village panchayats and educational institutes in and around project locations.
Thank
You