From operating a 260 mega watt power plant in Karnataka in 2000 for captive use in its steel plant, JSW Energy has chalked out plans to add 11,000 mw capacity by 2015. In an exclusive chat with Hindustan Times, Sajjan Jindal, the chairman and managing director of JSW Energy discussed his company’s growth plans and diversification into related areas. Excerpts
Is the power business more profitable than steel and what kind of revenue contributions are you expecting
In terms of returns on investments, they are definitely better in power business but steel will continue to be the group’s core focus. Revenues stream from steel and power will be in the ratio of 70:30. By 2012, we should be able to achieve a turnover of Rs 10,000 crore from our power business.
What kind of power capacity addition plans have been chalked out by JSW Energy?
JSW Energy, which started with a 260 mw captive power plant in Karnataka, has already achieved financial closure for a power capacity 3,650 mw including 240 mw of hydro power. We have recently commissioned an additional 600 mw project in Karnataka and are constructing a 1,200 mw power plant at Ratnagiri in Maharashtra along with a 1,080 mw lignite based power plant at Barmer in Rajasthan.
A basket of another 8000 mw of power projects are under various stages of development and are slated for commissioning by 2015.
Given the concerns on carbon emissions from coal fired plant, what are you doing to arrest these emissions as your company is essentially doing coal based power generation?
As a group, we are very focussed on green energy whether it is to do without steel or power business. Higher efficiency and low carbon releases are the two main parameters we take into account while planning our future power capacity addition. We are investing a lot in the technology for generating power.
What are your plans of giving JSW Energy a global face?
The company is persuing acquisition of coal assets in Australia, Indonesia and South Africa.