CLP Power pulls out of Mangalore Power Company
Bangalore: CLP Power has expressed its decision to pull out of the fast-track Mangalore Power Company (MPC) and is on the verge of serving a formal termination notice after waiting for more than three years for a bankable payment security mechanism. Reports say that state government officials confirmed receipt of communications from CLP Power of its intention to withdraw. CLP Power is the second foreign investor to withdraw from the 1013.2-MW coal-based MPC.

A viable payment security mechanism as demanded by the financial institutions was one of the conditions precedent for operationalising the counter guarantee. This was the only recourse project lenders had against any defaults. None of the lenders were prepared to commit funds for the project without this mechanism being put in place. The Hong Kong-based CLP Power had entered the project after the original promoter, Cogentrix of the US, withdrew in December 1999. The holding company, CLP Power had bought out the stake of Cogentrix in Mauritius. CLP Power had also entered into an agreement with Tata Electric Company Ltd for participation in the project equity to the extent of 30 per cent.
Back to News Review index page  

32 firms to in race for CII energy management award
Chennai: Thirty-two companies from various manufacturing sectors will compete for the national energy management award instituted by the Confederation of Indian Industry - Sohrabji Godrej Green Business Centre. The competition, in which 15 companies will be selected for the award of 'Excellent Energy Efficient Unit' will be held in Chennai on 31 October and 1 November.

The winners will be selected after a public presentation by the companies, a detailed evaluation of actual savings achieved and reduction in energy consumption figures. The objective of this competition is to recognise and award excellence in energy management, help the energy efficient companies share information and motivate others to achieve excellence, according to the Confederation of Indian Industry.
Back to News Review index page  

Haldia Petrochemicals' debt reorganisation starts
Kolkata: The debt restructuring process of the joint venture Haldia Petrochemicals Ltd (HPL) has been set off with the corporate debt restructuring cell holding its first meeting earlier this week. Sources were quoted as saying that an interim response will be sent very soon to the clarifications sought by the lenders' consortium from the company. "The detailed response is likely to be sent in 10 days; the clarifications mainly pertain to certain terms used in the proposal which the lenders felt were ambiguous."

While there were three top management personnel from HPL, the lenders' team which participated at the meeting was large — about 80 in all, the sources said. However, contrary to earlier expectations, the zero date for the corporate debt restructuring (CDR) process has not been fixed as some technicalities are involved. Under the RBI's CDR process, a time-bound mechanism would be operational from the zero date and the entire exercise would have to be then completed within ninety days.
Back to News Review index page  

Toyota eyes 10% market share by 2010
Hyderabad: Toyota Kirloskar Motor, the manufacturer of Qualis, Corolla and Camry vehicles, is vying for bagging a 10-per cent market share in the total passenger car market by 2010 as against the current market share of 4 per cent. "Our goal is to become a leading player in the Indian automobile market," Tetsuya Umizawa, director (purchase division), said. "The company is already a market leader in the country in the multi-utility vehicle segment."

Toyota Kirloskar, which launched the Toyota Qualis in India in January 2000, has rolled out its 1,00,000th domestically produced vehicle from its production facility at Bidadi recently. To mark the occasion, the company had launched the special limited edition Qualis with enhanced features. The company had also chalked out a month-long celebration plan for its existing and prospective customers nationally. The Rs 900-crore company is a joint venture between Toyota Motor Corporation and the Kirloskar group.
Back to News Review index page