Hitachi Energy India Ltd. said it had won a major order from Adani Mumbai Electric Infrastructure to provide a high-voltage direct current (HVDC) transmission system linking Kudus to Mumbai.
“Mumbai is experiencing a rapid increase in electricity consumption, seeing peak demand increasing to 3,850 megawatts (MW) in 2022. Utilities are therefore ramping up to meet rising demand for reliable power supplies with minimum environmental impact,” the company said in a statement.
Hitachi Energy said its 80-kilometre, 1,000-MW HVDC link would help increase supply of power to the city by almost 50% with minimal losses. “The HVDC connection will strengthen the existing AC transmission infrastructure, and support Mumbai’s Climate Action Plan,” it said.
“The 50-kilometre underground stretch of the link will save almost 2.3 sq. km. space – equivalent to twice the area of Shivaji Park, Mumbai,” it added.
“The Kudus-Mumbai HVDC order reiterates confidence in our technology expertise and execution capabilities, and supports the country’s commitment to energy transition,” said N. Venu, MD and CEO, Hitachi Energy India Ltd. “Even as we see continued top-line momentum, we face tailwinds from rising commodity costs and supply chain constraints, impacting profitability. We are implementing multiple measures to address this turbulence,” he added.
The company said during the quarter it had booked orders worth ₹3,054.6 crore, up 309.7% y-o-y, mainly driven by utilities as energy transition gathers pace.
Rail orders continued and industrial customers ordered products like digital transformers to improve efficiencies. Service orders included automation of transmission infrastructure, HVDC asset management solutions and spare parts supplies, it said. Products for grid infrastructure and power quality technologies continued to boost exports that contributed more than 20% to the order intake, the company added. The order backlog at the end of the quarter witnessed a robust growth to ₹6,777.2 crore, the highest in three years, providing revenue visibility for coming quarters, it said.
For the quarter ended June 30, 2022 the company’s revenues rose 24.4% y-o-y to ₹991.3 crore. Profit after tax was at ₹1.3 crore, while operational EBITA stood at ₹15.3 crore. “The quarter witnessed rising cost of commodities and supply chain bottlenecks, creating a drag on margins. Various measures are being adopted to reduce the impact, with a special focus on semi-conductors,” the company said.
