Since you became CEO, how do you plan to drive growth and innovation within your power transmission and solution offerings? Kindly share your vision for the next few years.

In the next few years, we plan to take Sterlite Power's GPS business to the forefront of the industry, with a goal of increasing our market capitalisation by five times and becoming one of the global top ten wire and cable companies.

To achieve this, we aim to expand our market share by significantly increasing our export efforts, targeting more than 50 per cent of our turnover from exports and premium markets. We also want to capitalise on our expertise in niche areas such as high-performance conductors and end-to-end HV & EHV solutions.

Additionally, we are committed to driving innovation by developing two new products each year that address client needs and overcome significant demand-supply gaps in global markets. By continuously enhancing our product portfolio and focusing on highgrowth markets, we aim to foster sustained growth and establish Sterlite Power as a leader in the power transmission sector.

How is the business shaping for Sterlite Power's Global Products and Solutions Business? Which key markets or regions you are eyeing for expansion?

Sterlite Power's Global Products & Solutions (GPS) business is experiencing robust growth, driven by significant tailwinds across the global market. Our products and services are in high demand, driven by evolving client needs in areas such as renewable energy integration, urbanisation, last-mile connectivity, and grid strengthening in key regions.

In India, the construction of new transmission infrastructure at EHV & HV levels is challenged by land scarcity. To address this, utilities are increasingly opting for high-performance conductors and reconductoring existing infrastructure, enabling transmission lines to carry higher ampacity without expanding the physical footprint. Similar solutions are employed in markets like the US and Latin America, where highperformance conductors (HPCs), such as ACSS, tackle comparable challenges. In densely populated urban areas and forested regions where traditional cables are impractical, Medium Voltage Covered Conductors (MVCC) offer a viable alternative, requiring less clearance than overhead conductors.

To meet the growing demand for long-distance power transmission, HVDC cables are becoming more prevalent. Additionally, the rise of digitalisation and blockchain technologies is driving utilities to adopt 96 and 144 fiber Optical Ground Wire (OPGW) solutions. India is also preparing to transition from 48 to 96 fiber OPGW to accommodate these advancements.

Sterlite Power's Global Product & Services business is well-equipped to meet these evolving demands, serving over 70 customers globally. The primary focus is on overcoming critical needs and creating a positive social impact. Our expansion strategy targets key markets where our innovation and problem-solving capabilities provide significant opportunities, particularly in the Americas and Europe. While we face competitive pressures in certain regions, our ability to offer cutting-edge solutions and adapt to market demands positions us in making a substantial impact and drive growth in these crucial markets.

Your GPS business secured cumulative orders worth Rs 6,500 crore in FY 2024, demonstrating strong performance with a 30 percent increase year over year. What are your projections for the next fiscal year, and what key areas would you focus on to maintain the growth momentum?

In FY 2024, the GPS business achieved a 30 per cent increase in order intake, securing cumulative orders worth Rs 6,500 crore. This unprecedented growth was driven by the finalisation of large TBCB projects, large volume export orders, and extraordinary capex by utilities which may not recur annually.

Looking ahead to FY 2025, we anticipate a more sustainable growth rate of 12- 15 per cent in order intake. Apart from organic growth, our focus will be on enhancing our position in the industrial segment of the power cable market and expanding Sterlite Power's presence in export markets. The addition of new products, such as Solar Cables and Medium Voltage Covered Conductors (MVCC), will marginally contribute to order intake in FY 2025. By concentrating on these key areas, we aim to sustain our growth momentum and capitalise on emerging opportunities.

Sterlite Power recently received approval for the demerger of its Transmission Infrastructure, and Global Products & Specialised EPC businesses. Kindly shed more light on this recent development.

 The approval of our demerger scheme marks a significant strategic milestone for Sterlite Power. This demerger will create a pure play manufacturing entity, positioning us among the leading listed players in the industry. This strategic move aligns with global projections that anticipate the doubling of power transmission networks over the next eight years to accommodate the growing integration of renewable energy sources.

In terms of shareholding and restructuring, the demerger will streamline operations and create distinct, focused entities. The Transmission Infrastructure and Global Products & Specialised EPC businesses will now operate independently, each with a refined capital structure tailored to their specific growth trajectories and strategic objectives.

Overall, this demerger will empower both entities to carve their own paths, fostering increased specialisation and agility. It positions us well to leverage emerging opportunities in the market, drive sustainable growth, and enhance our capital investment strategies.

What role do government grants and subsidies play in your funding strategy for power transmission?

The power sector is largely self-sustaining from a supply standpoint, with no specific grants or subsidies. However, products such as high-end advanced HVDC and HVAC cables, for both onshore and offshore applications, in the coming future may benefit from government support due to their high import content. This support aligns with national goals to boost domestic manufacturing and reduce import dependence on critical infrastructure components.

Additionally, government initiatives supporting renewable energy generation have a positive impact on the transmission sector. As new renewable capacity is added to the grid, there is a need to create new transmission corridors and upgrade existing lines through reconductoring. This growing demand for advanced transmission solutions benefits from the broader government support provided to the overall renewable energy ecosystem.

Given the global push towards sustainable energy solutions, what steps is your company taking to ensure that power transmission projects are environmentally friendly and sustainable?

 At Sterlite Power, we are deeply committed to advancing sustainability through our Global Products & Specialised EPC (GPS) business. Our factories are actively embedding Environmental, Social, and Governance (ESG) initiatives into our operations, ensuring that our power transmission projects are sustainable with responsible business practices.

Our factories have achieved certification for zero waste to landfill, worked towards minimising greenhouse gas emissions, and implemented metal scrap recycling and reuse of cable drums. We have also integrated rooftop solar systems and water harvesting technologies into our plants, further highlighting our commitment to sustainability.

We focus on supporting our clients by supplying high-performance conductors and solar cables that play a crucial role in supporting our customers' decarbonisation goals. Our specialised EPC services through reconductoring solutions help governments avoid carbon emissions. These proactive measures not only contribute to reducing carbon emissions but also help our customers advance their sustainability objectives, fostering a greener and more sustainable future for all.

What are the biggest challenges you face in the power transmission sector in India and Brazil, and what opportunities do you see on the horizon?

In India, the transmission and distribution (T&D) sector is at a pivotal juncture, with decarbonisation efforts and government initiatives propelling it into an era of transformation. Despite the excitement, the sector faces significant hurdles, including complex integration, transition management, and security challenges.

Key issues include right-of-way (ROW) constraints for transmission lines, outdated infrastructure, surging energy demands, and the challenge of connecting remote locations to the grid. These factors place considerable strain on the existing infrastructure, necessitating substantial upgrades. While progress has been made in the 220 kV & 132 kV category, enhancing the distribution network remains critical. Reconductoring existing lines is a strategic approach that conserves both time and capital, and it is essential for utilities to incorporate the use of high-performance conductors during the planning stage, as these conductors significantly increase transmission capacity and are required to meet demand.

In Brazil, the challenges are somewhat similar, with the added complexity of navigating vast geographical distances and diverse terrains. The integration of renewable energy sources, such as hydroelectric power, which is widespread in Brazil, into the existing grid also presents unique challenges and opportunities.

Moreover, opportunities on the horizon include the potential for targeted incentives that would encourage substantial capital expenditure from private entities. Such incentives could catalyse investment and innovation, addressing the sector's challenges, including the need for modernisation to support the increasing adoption of renewable energy and the development of a more resilient grid. Additionally, there is a significant opportunity to leverage advanced technologies and solutions to improve grid efficiency and reliability.

What are your short-term and long-term future plans?

The manufacturing sector is a cornerstone of India's economy, contributing approximately 17 per cent to its GDP. Over the next 5 to 10 years, the market is expected to thrive with a projected Compound Annual Growth Rate (CAGR) of eight-ten per cent in India and six-eight per cent globally for both overhead and cable markets. Additionally, specialised EPC services in India are expected to experience an extraordinary growth rate of 20-30 per cent.

Our vision is to become one of the world's topten wire and cable companies. To achieve this, we are actively exploring opportunities to expand our international presence, pursue inorganic growth, and explore high-value product segments.