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L&T secures Rs 100-150 billion power transmission orders in West Asia
Industry News- Sep 26,24
As of June, L&T's outstanding order book stood at Rs 4.90 trillion.
Indian construction giant Larsen & Toubro (L&T) announced that its power transmission and distribution arm has secured ""mega"" orders valued between Rs 100-150 billion to expand and strengthen electricity grids in Saudi Arabia and the United Arab Emirates. While the exact value of the contracts was not disclosed, a “mega” order refers to a deal within this range.
The new orders include ±500kV HVDC transmission links, two 380kV overhead transmission lines, and a bulk supply 380kV Gas Insulated Substation in Saudi Arabia. In the UAE, L&T will deliver two major 400kV Gas Insulated Substations. These projects are aimed at bolstering regional power infrastructure and facilitating interconnections across countries.
As of June, L&T's outstanding order book stood at Rs 4.90 trillion, with 35% of its business originating from West Asia, largely driven by contracts from Saudi Arabia. The company’s recent focus on the region is also evident from its earlier wins. In September 2023, L&T secured a $3.9 billion order related to Saudi Aramco’s gas-production project, marking one of its largest orders in value terms.
To cater to evolving energy demands, L&T has also carved out a separate business vertical for Renewable EPC within its Power Transmission & Distribution (T&D) division under its Infrastructure Projects segment. T. Madhava Das, Whole-Time Director and Senior Executive Vice President (Utilities) at L&T, emphasised that the modernisation and fortification of transmission systems is crucial for establishing a secure and resilient grid capable of handling variable renewable generation in an evolving energy market.
L&T’s West Asian ventures continue to grow, with the company also securing a major solar plant order in July and a significant contract earlier this year for constructing the electrification system for the Mumbai-Ahmedabad High-Speed Rail project in India.
(Business Standard)
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