February 12. Ahmedabad:

The Rs. 2900 crore Torrent Group today announced the launch of a new brand, ‘Torrent Power’. The Ahmedabad Electricity Company Limited (AEC) would now be known as Torrent Power AEC Limited and The Surat Electricity Company Limited (SEC) would be known as Torrent Power SEC Limited. These companies along with Torrent Power Generation Limited are now being brought under a common umbrella brand –Torrent Power. Though operating under a common brand, each of these companies will remain separate legal entities.

Announcing the launch of the new brand, Mr. Sudhir Mehta, Chairman, Torrent Group said, “Torrent has proven competence across the value chain, right from generation to transmission and distribution. Our companies have set new benchmarks in operating efficiencies in Generation and Distribution. While we would leverage our strengths for fuelling further growth in the power sector, Torrent Power reinforces our commitment to deliver consistently high service standards to our customers.”

After acquiring AEC and SEC, the Torrent Group initiated a series of measures to improve operational efficiencies and quality of service and the companies have invested about Rs.1147.5 crores towards this. Consequently, both the companies have one of the lowest T&D losses in the country ie. in the range of 12-13% and a reliability of supply which is perhaps second to none.

The Electricity Act 2003 and the ongoing power sector reforms have opened up new avenues for investment and growth in the power sector. The Torrent group is bidding for Generation and Distribution licenses in UP and is among the initially short listed players.

Currently, Torrent Power has a generation capacity of 500 MW and distributes power to over 1.8 million consumers in the cities of Ahmedabad, Gandhinagar and Surat. It is anticipated that by 2006-07, the peak demand for power in Gujarat will be approximately 10,600 MW, while the availability would be around 7700 MW. Conscious of the widening demand-supply scenario, Torrent Power is setting up a 1147.5 MW gas based Mega Power Project at Akhakhol near Surat entailing an investment of more than Rs 3000 crores. With the commissioning of this plant by 2007, Torrent Power will have a total generation capacity of 1600 MW, representing about 18% of the total peak availability by that time.

With a combined generation capacity of 1600 MW, a base of 1.8 million customers and transmission and distribution of power to the three biggest cities of Gujarat, these companies represent the Group’s strong presence and expertise in the power sector. The launch of Torrent Power will help the group leverage the current equity of each of its individual companies.