Tecnova Provides You World of Opportunities and Helps You Take Your Career to New Heights. So, if Touching Stars is Something You Aim For, Tecnova is the Place to Go For.
We Work with the Top-Most Organizations and if You Want to Join Any of Them, We Help You Do That.
The period 2009-10 has turned out to be a year of recovery for India. The momentum in the infrastructure sector has also picked up. While infrastructure financing has grown substantially, there is little long-term financing available for infrastructure. During the year, various steps were taken towards enhancing the supply, lowering the cost and increasing the tenor of funds for the infrastructure sector.
Fund raising for infrastructure through IPOs reached a new high, 20% higher than the previous record in 2007-08. The power sector accounted for about 90% of the funds raised via IPO during 2009- 10. The overall subscription figures were high for most issues, reflecting strong demand. In addition, several companies relied on the faster and cheaper financing mechanism of Qualified Institutional Placements (QIPs), raising a total of Rs. 7500 crore.
The subscriber base continued to grow buoyantly, with close to 20 million wireless subscribers being added in a month. During the course of the year, there were new entrants into the sector such as Uninor, Videocon and STel, taking the total number of operators to 15.
Cutthroat competition in the domestic market has led players to diversify into overseas markets for growth. Bharti Airtel commenced operations in Sri Lanka and also acquired a 70 percent stake in Warid Telecom. There were other talks carried out as well, including with 'MTN' who both Bharti, and Reliance Communications could not close on.
Going forward, competition will increase after the introduction of 3G and mobile number portability (MNP). The 3G bidding has been aggressive due to a limited number of spectrum slots.
The power sector continued to be characterized by shortages, with the peak and energy deficit of power recorded at over 13% and 10%, respectively. Capacity addition in 2009-10 was 9585 MW, the highest ever. The private sector played a major role in this by adding 45% of the capacity last year.
To realize the full potential of the increase in generation capacity two important barriers need to be addressed. The first barrier is that of fuel availability. The second and perhaps more important issue is the financial viability of the distribution business.
The GoI has also announced the creation of a regulator for the Coal, Natural Gas, and Renewable Energy (including Solar technology) sector. With an increasing number of private players participating in the coal mining business, the need for an independent regulator has long been felt necessary for creating a level playing field in the sector. However, the functional effectiveness of the regulatory authority will critically depend on what kind of jurisdiction it is given.
How Tecnova Can Help?
Tecnova India, an international management consulting firm, provides a wide range of services to enable you make the most of opportunities in the Infrastructure sector in India. We enable our clients make informed decisions after carrying out exhaustive research with the help of in-house teams comprising market experts and professional analysts. Tecnova adopts collaborative approaches in the tasks they are given, and so create customized solutions for every challenge.
Some of our clients in the infrastructure sector include Valmont (USA), Danaher Group (USA), FLAG Telecom (UK), Bohler-Uddeholm (Austria), and Friwo (China).