"The higher profits were primarily due to more transmission assets commissioning," said S Mazumdar, the company's functioning Chairman and Managing Director.
The company commissioned transmission assets worth a total of Rs 5,960 crore in 2007-2008, 89.8 per cent higher than Rs 3,140 crore worth of assets commissioned in the previous year (2006-2007).
More revenues from telecom and consultancy have also boosted the Navratna company's profits. "From our telecom business, we have received revenues of Rs 124 crore during 2007-08, up from Rs 77 crore last year." said J Sreedharan, the company's finance director.
The company also recorded revenues of Rs 250 crore as consultancy fee during the year, compared to Rs 226 crore previous year.Sreedharan also added that the company's income was also complemented to a tune of about Rs 154 crore because many of its pending cases have been cleared by the central electricity regulatory commission (CERC). This income was however almost entirely pulled down because the company had to account for foreign exchange rate variations (FERV).
Power Grid plans to spend Rs 8,000 crore during the current financial year ended in March 2009.
"Of the total investment, about 30 percent - Rs 2,400 crore - will be invested from the company's internal resources," said Mazumadar. The company's grid performance in 2007-08 increased to 99.6 per cent from 99.3 per cent last year. Currently, the transmission utility is operating around 68,000 circuit kilometres of transmission lines in the country along with 115 Sub-stations. Of the total power generated in the country, about 45 per cent is transmitted through Powergrid's transmission network
The company's share price at the Bombay Stock Exchange today closed 1.9 per cent lower at Rs 89.10.
