HYDERABAD: Infrastructure majors are now busy working out plans to tap the business opportunity India’s nuclear deal is set to throw open.
GMR and Lanco Group, the Hyderabad-based entities with significant interest in the power sector, are ready to hit the drafting board.
“We are interested in a nuclear power foray. But we’ll have to wait and see for things to develop,” a GMR group spokesman told DNA Money on Sunday.
GMR has three power plants currently with an installed capacity of 808 mw though two of them are facing uncertainties due to fuel and power purchase agreement issues.
Projects with a capacity of another 3,000 mw are at various stages of development. The new capacities include 1,100 mw hydro projects and 1,050 mw coal-fired projects.
A Lanco spokesperson said the company is also in evaluation mode. Chairman L Madhusudan Rao could not be reached for a comment.
GMR has been working on a plan to make it big in the power sector even without the nuclear option.
Analysts tracking the sector said both GMR and Lanco are well-positioned to enter the sector.
“Technology need not be an issue for these groups. However, the funding part is crucial,” he said.
But another analyst said there are many units of groups such as GMR and Lanco, which have often been running into problems due to issues related to fuel linkage. “Nuclear would be a better option even for them since they are in a position to satisfy its capital intensive nature,” the analyst said.
Lanco’s current power portfolio stands at about 8,433 mw. This includes about 518 mw operational capacity and another 3,808 mw under construction.
In addition, another 3,960 mw is at various stages of developments. The group intends to have a 15,000 mw capacity operational by 2015.
According to sources tracking the sector, both GMR and Lanco are well positioned to enter into technology tie ups to make forays into nuclear power.
