Anil D. Ambani has become the chairman and managing director of power major BSES Ltd.Ambani, who is currently vice-chairman and managing director of Reliance Industries, was earlier holding office as non-executive chairman of BSES. Now he has taken up executive responsibilities at BSES. The Ambanis took control of BSES last year after making two open offers. BSES to pursue expansion plan Sanjay Jog Mumbai, April 21 Reliance -Controlled BSES Ltd is all set to pursue its plan for expanding generating capacity at its Dahanu plant by an additional 1,000 MW with a multi-fuel arrangement (thermal and gas as fuel). Simultaneously, the company is also weighing the option of setting up a 495-MW coal-based power plant at Saphale in Thane district next to Mumbai. The company expects a per megawatt cost of Rs 3-3.5 crore at both these sites. BSES sources said that the company is all geared up to take advantage of the provisions of the Electricity Bill 2001, which was passed in the Lok Sabha, and also of the much debated Centre’s mega power project policy. As per the provisions of the Bill, power generation has been delicensed. Meanwhile, BSES has posted a massive 42.17 per cent drop in net profit to Rs 162.33 crore for the year ended March 2003 as compared to a net profit of Rs 280.74 crore for the year ended March 2002. Total income for the year has decreased from Rs 2,782.67 crore in the fiscal 2001-02 to Rs 2,776.70 crore in the fiscal 2002-03.For the fourth quarter (March 2003), it has recorded a 27.32 per cent drop in net profit to Rs 25.07 crore as compared to a net profit of Rs 31.92 crore for the corresponding quarter last year. Total income has decreased by 1 per cent from Rs 659.24 crore to Rs 646.87 crore during the period.In a statement BSES said that the cost of electrical energy purchased during the fourth quarter increased 21.35 per cent Rs 227.17 crore as against Rs 187.20 crore worth of energy purchased during the corresponding quarter of the previous fiscal. Interest and finance charges for the quarter increased 51.39 per cent to Rs 24.36 per cent as against Rs 16.09 crore in the same period of the previous fiscal. Profit before extra-ordinary items fell by 92 per cent to Rs 2.56 crore in the fourth quarter as against Rs 34.47 crore in the previous fiscal. Provision for current taxation of Rs 2.72 crore and deferred tax of Rs 19.79 crore have been written back to shore up the net profit to Rs 25.07 crore.“We are committed to the transformation of BSES into a world class utility company, benchmarked to international standards of quality, operational performance, efficiency and customer care,” says BSES chairman Anil Ambani.“The passage of the Electricity Bill 2003 by Parliament represents a major step forward in bringing about power sector reforms in the country. It will be our endeavour that BSES plays a leading role in the creation of world class power infrastructure in India in this new era of growth,” he said.During the year, BSES has discontinued its previous policy of raising bills on customers on an estimated basis in cases where meter readings were not available. This change resulted in withdrawals of bills aggregating Rs 135 crore raised in the past periods, thereby benefiting around 2.7 lakh customers.The board of BSES Ltd has recommended a dividend of Rs 4.40 per share on fully paid-up equity shares of Rs 10 each.
