EPC companies raise concern over longer payment cycles for water projects

Industry executives add payments picking pace in Q4

The country’s engineering, procurement and construction (EPC) firms have highlighted longer payment cycles, and related working capital cycle deterioration in the water segment.

 

With the election season ending and an extension and budgetary allocation for the Jal Jeevan Mission scheme, industry executives see this as a short-term pain, with payments picking pace in the March-2025 quarter.

 

“Since funds were stopped for some time with respect to water projects funded under the Jal Jeevan Mission, there were some stoppages,” said a senior executive from Larsen & Toubro (L&T), in a post earnings call in January, adding, the fund flow started December