GMR Power shares spike 20% on government order for 75 lakh smart meters
₹24.14 apiece on BSE. Purvanchal Vidyut Vitran Nigam Ltd and Dakshinanchal Vidyut Vitran Nigam Ltd have offered letters of intent (LOI) to the stepdown subsidiary of GMR Power and Urban Infra to implement smart metering projects in the Uttar Pradesh regions of Purvanchal (Varanasi, Azamgarh zone, and Prayagraj, Mirzapur), and Dakshinanchal (Agra and Aligarh zone). In the designated area, GSEDPL will install, integrate, and manage 75.69 lakh smart metres.
The LOI was released in response to the e-tender that UP Discoms had floated for various regions of Uttar Pradesh. The project will be spanned over a period of 10 years. “This Advanced Metering Infrastructure (AMI) Project shall include Supply, Installation, Integration, Commissioning and Operation & Maintenance of smart meters on DBFOOT basis backed by state-of-the-art technology and software solutions for end-to-end automated system management. The project will be executed under Revamped Distribution Sector Scheme (RDSS) and is expected to reduce the AT&C losses in the designated area and improve operational and collection efficiency of UP Discoms," said the company said in an exchange filing.
On the technical front, the stock price rose 17% and outperformed its sector by 16.1% in the past year. On Friday's session, GMR Power and Urban Infra shares was trading at high volume of 29.8 million with price gain of 10.17. “GMR Power, witnessed a huge gap up opening but from the higher levels it has immediatly corrected, but still prices are up 10%.
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