Rating agency ICRA today said electricity demand growth remains strong in July 2018 at 7.4 per cent but thermal plant load factor moderated by pick up in generation from wind and hydro sources.
In spite of corporates witnessing a healthy 22 per cent revenue growth in the June quarter, most have seen flat margins, with airline and cement companies seeing declining margins due to rising input costs and crude prices, says a report.
Rating and research agency ICRA has observed in a recent report that the shift from petrol and diesel-driven vehicles towards electric vehicles will pose a threat to oil refining and marketing companies, particularly the newer ones.
Rating agency Icra has estimated a subsidy dependence of Rs 85,000 crore amid low tariff hikes allowed for discoms in 2018-19, and expects improvement in thermal plants capacity utilisation or PLF in near to medium term.
Rating agency ICRA believes current high spot power tariffs are likely to moderate as generation from wind and hydro sources rise in June.
Due to rising prices of pet coke, coal and diesel, cement firms in India may face pressure on their profit margins in the near term, PTI reported citing ICRA report.
ICRA Ratings today said the wind power capacity addition will improve to 3 GW this fiscal, backed by project awards by Solar Energy Corporation of India (SECI) and state utilities.
Projects under Sagarmala worth INR 8000 billion put in motion, however, mobilization of funding will continue to remain a challenge: Under the Sagarmala project, the government had set ambitious targets under the four pillars – port modernization (including new port development),
The power ministry’s latest scheme for procurement of power from 2,500 Megawatt (Mw) of coal-based capacity for three years from operational coal-based projects without long-term Power Purchase Agreements (PPAs) provides only a partial relief to generators, according to ratings agency ICRA.
The possibility of resolution of issues of 60 giga watt of stressed thermal power capacity is expected to remain weak due to concerns including absence of fresh-long term power purchase agreements, unviable tariffs amidst rising fuel costs, escalation in capital costs and uncertainty on domestic gas availability feels