1. FINANCIAL MANAGEMENT IN POWER PROJECTS OF KARNATAKA: A Case Study of KARNATAKA POWER CORPORATION LTD (KPCL) Dr. TANAJI G. RATHOD, M.Com, MBA-Finance, PhD., Manager (Finance & Accounts) KSIIDC, Bangalore Email : tanajirathod@gmail.com Dr R Hiremani Naik, M.Com, PhD., Reader & Chairman , MBA Dept, Institute of Management Studies, Kuvempu University, SHIMOGA
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8. G D C G G T D C G D C G D C G G D T D C C BUSINESS MODELS IN POWER SECTOR Generator Wholesaler / Distri.Co / Customer Aggregator Retailer T Model - 4 Model - 1 Model - 2 Model - 3
9. INDUSTRY STRUCTURE – MOVEMENT IN OWNERSHIP MATRIX 1991 1994 Ownership Model -1 Model -2 Model -3 Model -4 Government Ownership India NZ Public Corporation UK NZ Private Corporation USA 1978 1992 1990-98
10. INSTALLED CAPACITY & GENERATION As on 31.3.2009 Source: CEA Annual Report- FY 2006-07 59% KPCL Share 56% KPCL Share REGION MW MU INDIA 1,47,965 7,17,657 KARNATAKA 9,346 45,000 KPCL 5,509 25,080
11. INSTALLED CAPACITY OF KARNATAKA ( As on 31.03.2009) (IN MW) Source: Annual Reports of KPCL, KERC,CEA 5509 MW of KPCL @ 59% SECTOR TYPE HYDRO THERMAL NUCLR RES TOTAL % age State 3518 2098 0 452 6068 65.14 Private 0 586 0 1428 2014 21.55 Central 0 1073 191 0 1264 13.52 Total - 3518 3757 191 1880 9346 100.00 %age 37.64 40.20 2.04 20.12 100.00
26. FINANCIAL RATIO OF INTER-FIRMS For FY 2004-05 6.93 6.04 11.39 9.91 -1.69 3.80 R O C E (%) PARTICULARS KPCL APGEN CO NTPC NHPC REL TATA POWER Debt Equity Ratio 1.72:1 4.72:1 0.41:1 0.51:1 0.65:1 0.63:1 Face Value Per Share (Rs) 1000 100 10 1000 10 10 Book Value Per Share (Rs) 3413 100 51 1464 342 260 Earning Per Share (Rs.) 361.19 2.42 7.04 72.57 28.02 27.84 Return On Equity (%) 10.58 2.42 13.90 4.96 8.20 10.73 Dividend Per Share (Rs) 20.00 0 2.40 14.85 4.69 7.48 Dividend Payout Ratio(%) 5.54 0 34.08 20.47 16.73 26.86 Performance Ratings V VI II IV III I
27. RESPONDENTS FOR QUESTIONNAIRE Source: Questionnaire based Survey and Findings TECHNICAL No. NON-TECHNICAL No. TOTAL Director – Technical Executive Directors Chief Engineers Superintendents Engineers Executive Engineers Assistant Executive Engineers Assistant Engineers Junior Engineers 1 1 3 8 25 20 23 14 Director – HR / Finance Executive Directors General Managers Deputy General Managers Assistant General Managers Accounts Officers Assistant Accounts Officers Junior Officers (HR, A/cs, Adm.) 1 1 3 8 20 36 25 11 2 2 6 16 45 56 48 25 TOTAL : 95 TOTAL : 105 200 Sample Size : 9% Response Rate : 100% Total Officers – 2301 Total Workers – 3936 6237
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34. RESEARCH PAPERS PUBLISHED “ Financing and Investment Decisions in Power Projects of Karnataka – A Case study of KPCL ”, Renewable Energy and Environment for Sustainable Development, a proceedings of an International Conference on “Renewable Energy Asia -2008” held at IIT Delhi, Pp.239-244. “ Impact of Availability Based Electricity Tariffs (ABT) on the Power Sector - Case Study of Karnataka ” in The ICFAI University Journal of Infrastructure , The ICFAI University Press, Hyderabad, Volume No.VI, No.3, September 2008, Pp.51-64. “ Power Sector in Karnataka - A Review of Reforms Status and Impact of the Electricity Act 2003” PARLIAMENTARY AFFAIRS , monthly journal published by Institute of Parliamentary Affairs, Bangalore, Volume 25, Issue 12, December 2005, Pp 23-33. “ Power Sector in India – Heading towards Reforms” ICFAI Journal of Public Administration , ICFAI University Press, Hyderabad, Volume 2, Issue 1, January 2006. Pp 39-56. “ Wind Power Development In Karnataka – A Micro Study” SOUTHERN ECONOMIST , Bangalore, October 15, 2005, Volume 44, Issue No.12, Pp.13-15. “ International Financial Reporting Standards (IFRS)- Emerging Opportunities and Challenges for India”, CHARTERED ACCOUNTANT , New Delhi,, Volume 54, No.07, January 2006, Pp 988-992. “ A Peep into the Power Sector of India ” GITAM JOURNAL OF MANAGEMENT , Visakhapatnam, Volume.4, No.2, July-December 2006, Pp.115-140.