PTC India Q2 FY07 net slips to Rs 8.65 cr

New Delhi, Oct 30: Power Trading Corporation (PTC) today posted a 9 per cent dip in its net profit for the second quarter ended September 30, 2006, at Rs 8.65 crore as against Rs.9.52 crore in the corresponding quarter last year.

The income from operations for the quarter was higher by 53 per cent at Rs 1,314.68 crore as compared to Rs 861.98 crore in Q2 FY 06.

The company's traded volumes during the quarter increased from 3,148 MUs to 3,268 MUs, up by 4 per cent.

''There has been a drop in the operating margins due to the capping of the trading margin for short-term trades by the Regulator, which is before the higher appellate court. We expect a healthy performance in the coming times based on significant additions to our long-term business. We are approaching the time when we would be able to fully leverage our business model,'' PTC India Chairman and Managing Director T N Thakur said.

The company is in the process of setting up this Special Purpose Vehicle in the nature of an investment company for its equity investments in power projects.

PTC entered into MOUs for long-term purchase of 2,575 MW power with company's including Rungta Mines Ltd for 750 MW coal-based thermal power project in Orissa and 375 MW for coal-based thermal power project in Jharkhand and 550 MW with North Chennai Power Company Ltd for thermal power project in Tamil Nadu.

At the end of the quarter, MOUs have been signed for an aggregate capacity of 15,361 MW.

PTC also entered into long-term PPAs totalling 2,094 MW during the quarter. Significant among these are 1,200 MW with the Teesta Urja Ltd for Teesta Stage III HEP in Sikkim) 600 MW with Dheeru Powergen Private Ltd for coal-based thermal power project in Chattisgarh and 150 MW with KVK Nilachal Pvt Ltd for power project in Vishakapatnam. PPAs have been signed for an aggregate capacity of 6,666.3 MW during the quarter.

Agreements for on sale of these projects' capacity on a long-term basis, in the form of PSAs have also been signed for a total of 2,514 MW. These include four tie ups with Haryana Power Gen Corp Ltd for a total of 770 MW and four agreements with Punjab State Electricity Board for a total of 662.5 MW. PSAs for an aggregate capacity of 2936.5 MW have been signed during the period.

UNI