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Smart Grid Market India

August 2013

Executive Summary
The market is at a nascent stage of development with huge potential for growth Domestic market for Smart Grid is slated to reach ~INR x bn by the end of 20- This sector is expected to grow at a CAGR of z% to reach INR y bn by 20--

Market

Drivers Drivers and Challenges

Rise in Demand for Power Increasing Demand for Renewable Energy Black out Risk on the Increase Environmental Issue High Power Transmission and Distribution Losses Increasing International Participation Adoption of Smart Grid Maturity Model (SGMM) Adoption of Smart Meter

Challenges
Security Threats High Cost of Implementation Lack of Awareness

Trends

Competitive Landscape

Major Players Company A Company D Company B Company E

SMART GRID MARKET IN INDIA 2013.PPT

Company C Company F
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Macro-Economic Indicators Introduction Market Overview Smart Grid Technologies Pilot Projects Drivers and Challenges Government Participation Trends Recent Developments Competitive Landscape Strategic Recommendations Appendix
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Economic Indicators (1/3)

INR bn 600 500 400 300 200 100 0

Gross Domestic Product At Factor Cost (At Constant Prices): Quarterly

SAMPLE
x3 x2 x4 x5 x6 Month -Month -Month -Month -Month --

x1 Month --

Inflation Rate: Monthly

USD/INR
55.0 54.5 54.0 53.5 Month 20--

x1

x2 x3 x4

x5

x6

Month 20--

Month 20--

Month 20--

Month 20--

Month 20-4

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Smart Grids can be considered as a better replacement of Traditional Grids as they are no longer in demand
Traditional Grid vs. Modernized Grid (Smart Grid)
Point 1 Point 2 Point 3

SAMPLE

Traditional Grid Functionality

Smart Grid Functionality

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Market Segments - Overview

Smart Grid Market Segments

SAMPLE
x1 A B C x2 x3

A B C
Note: As of June 2013

Point 1

Point 2

Point 3

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Smart Grid provides combination of technologies that will revolutionize the overall electricity framework
Smart Grid Technologies-Overview
Technology Technology A Generation ---

SAMPLE
Transmission --Distribution ---------------------------------------------

Industrial ---

Service ---

Residential ---

Technology B Technology C Technology D Technology E Technology F Technology G Technology H

---------------

---------------

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Renewable and Distributed Generation Integration plays an important role in the electricity system functionality
Renewable and Distributed Generation Integration
Point 1 Point 2 Point 3 Point 4

X D A

C
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AMI needs to be implemented to mitigate a number of strains placed on the grid due to increasing demand
Advanced Metering Infrastructure (3/3)
Key features of Indian Grid system will be improved by implementing AMI Point 1 Point 2 Point 3

Company A

Company B

Various communication firms providing products for Advanced Metering Infrastructure

Company E

Company C

Company D

Note: The list is not exhaustive

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Electric vehicle charging infrastructure handles various operations of smart charging

Electric Vehicle Charging Infrastructure
Point 1 Point 2 Point 3

SAMPLE
X

A Point 1 Point 2 Point 3 Point 1 Point 2 Point 3

X offering for EV charging infrastructure includes A and B, C and many components for charging infrastructure

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 to improve

overall power delivery system, including generation, transmission and distribution

Smart Grid Projects-Functional Areas (2/2)
Pilot Projects X B

SAMPLE
C ----------------------------SMART GRID MARKET IN INDIA 2013.PPT

A B C D E F G

---------------

---------------

---------------

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Drivers and Challenges Summary

SAMPLE
Drivers
Rise in Demand for Power Increasing Demand for Renewable Energy Black out Risk on the Increase Environmental Issues High Power Transmission and Distribution Losses

Challenges
Security Threats High Cost of Implementation Lack of Awareness

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Increasing peak demand and power needs will boost the Smart Grid market in India
Rise in Demand for Power (Indian Scenario)
Finding 1 Finding 2 Finding 3 Finding 4 Finding 5

Impact

SAMPLE
Region Wise Power Supply Position (2012-13)
Surplus/ Deficit (MW) ----------Surplus/D eficit (%) -----------

Peak Demand/Supply Position

Requirement Availability x4 y3 x5 y4 x6 y6

GW 150 100 50 0 20-x1

Region

Demand (MW) -----------

Met (MW) -----------

x2 y1

x3 y2

y5

Finding 1

Northern Western Southern Eastern North Eastern

20--

20--

20--

20--

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Note: 2011-12 period is from April to December

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Electric grid needs to be modernized in order to minimize the power blackout risk
Blackout Risk on the Increase
Point 1 Point 2 Point 3 Point 4

Impact

SAMPLE
Blackout Risk (Global Scenario)
mn
800 600 400 200 0

Name of Black out x1 People affected Finding 1 A B C x4 x5 x6 D

Location -----------

Year ----------14

x2

x3

Country 1 Country 2 Country 3 Country 4 Country 5 Country 6

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Increasing demand for energy savings and CO2 emission reduction requires Smart Grid implementation
Environmental Issue(1/3)
Finding 1 Finding 2 Finding 3 Finding 4

Impact

SAMPLE
Per Capita CO2 Emission from the Consumption of Energy
MT/person X x3 x4 x5
1.5

Total CO2 Emission from Consumption of Energy

mn MT
2,000 1,500 1,000 500 0

Y y2 y3 y4 y5

x1

x2

y1
1.0

0.5

0.0

20--

20--

20--

20--

20-SMART GRID MARKET IN INDIA 2013.PPT

20--

20--

20--

20--

20-15

Trends Summary

SAMPLE
Increasing International Participation

Key Trends
Adoption of Smart Grid Maturity Model (SGMM) Adoption of Smart Meter

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Indian players are entering into the Smart Meter market that are projected as replacements for conventional meters
Adoption of Smart Meter

SAMPLE

Point 1 Point 2 Point 3

Various Initiatives Taken in India

Company A

Initiative 1

Company B

Initiative 2

Company C

Initiative 3

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A clean energy initiative was undertaken to minimize the environmental issues

Clean Energy Initiative

SAMPLE
Joint initiative

To provide Y

Point 1 Point 2 Point 3 Point 4 Point 5

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IT majors are forming partnerships to provide Smart Grid solutions in India

Partnerships to Offer Smart Grid Solutions

SAMPLE
Partnership
Point 1

C Partnership D
Point 2

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Industry Players Operational Segments

SAMPLE
A B C

Company

Company 1 Company 2 Company 3 Company 4 Company 5 Company 6 Company 7 Company 8 Company 9 Company 10 Company 11 Company 12

-------------------------

-------------------------

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-------------------------

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Competitive Benchmarking (3/4)

Key Ratios of Top 3 Companies Operational Basis (FY 2011) (3/3)

Debtors Turnover Ratio
5 4 3 2 1 0

SAMPLE
Asset Turnover Ratio x3 y3
1.5 1.0 0.5 0.0

x1

20-y1 z1 x2

20-y2 z2

20-x1

z3

x3 x2

Company 1

Company 2

Company 3

Company 1

Company 2

Company 3

Company 1 has shown significant fall in debtors turnover ratio between 20-- and 20- In 20--, Company 1 recorded debtors turnover ratio of x1, while Company 2 recorded debtors turnover ratio of y1 and Company 3 recorded debtors turnover ratio of z1 respectively implying inefficient management of debtors in comparison to Updater Services Company 3 recorded asset turnover ratio of x3, higher than both Company 1 and Company 2 , which recorded asset turnover ratio of x1 and x2 respectively

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Public: Domestic Company Company A. (1/4)

Company Information
Corporate Address Tel No. Fax No. Website Year of Incorporation Ticker Symbol Stock Exchange

SAMPLE

Offices and Centres India

Address 91 ----------------91 ----------------website 19--------Head Office

Products and Services

Category
Segment 1 Segment 2

Products/Services
Product 1, Product 2,. Product 1, Product 2, Product 3,

Key People
Name Person 1 Designation Designation Designation Designation Designation
Note: The list of products and services is not exhaustive SMART GRID MARKET IN INDIA 2013.PPT

Segment 3

Product 1, Product 2, Product 3,

Person 2 Person 3

Segment 4

Product 1, Product 2, Product 3,

Person 4

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Public: Domestic Company Company A. (2/4)

Financial Snapshot
INR mn
300,000 200,000 100,000 0

Total Income

SAMPLE
Key Ratios
INR mn x4 x3
40000 30000 20000 10000 0

Particulars

Net Profit/Loss x1 x2

y-o-y change (20--)

3.28 3.15 3.89 3.03 2.11 -49.86 4.38 45.47 -15.79 -0.07 -1.04 58.29% 70.07% -52.04% -47.03% -243.53% 11.12% 2.56% -8.04% -51.63% -2.87%

20-18.48% 14.68% 19.15% 27.65% 29.02% 71.76% 21.84% 173.35% 68.88% 9.35% -0.48% 2.23 0.72 0.11 0.10 -39.30 9.27 1.17 2.12 3.84 1.68

20--

20--

20--

Profitability Ratios
Operating Margin Net Margin Profit Before Tax Margin Return on Equity Return on Capital Employed Return on Working Capital Return on Assets Return on Fixed Assets
15.20% 12.56% 12.43% 11.53% 15.26% 24.62% 26.90% 121.62% 17.45% 127.87% 10.29% 13.34% 21.50% 20.43% 77.52% 14.46% 97.31% 10.26% 12.00% 20.01% 18.07% 59.37% 12.11% 86.11%

20--

20--

20--

20--

Financial Summary
The company earned a net profit of INR x mn in FY 20--, as compared to net profit of INR y mn in FY 20- The company reported total income of INR y mn in FY 20--, registering an increase of z% over FY 20- The company earned an operating margin of y1 % in FY 20--, an increase of x2 percentage points over FY 20- The company reported debt to equity ratio of z1 in FY 20--

Cost Ratios
Operating costs (% of Sales) Administration costs (% of Sales) Interest costs (% of Sales)
84.67% 87.22% 87.42% 9.43% 0.56% 1.41 0.43 0.22 0.18 27.38 8.34 1.14 2.30 7.94 1.73 Improved 11.87% 13.40% 0.90% 1.64 0.61 0.30 0.23 14.23 7.62 1.13 2.36 6.07 1.59 1.33% 1.62 0.58 0.43 0.30 9.44 6.85 0.96 1.80 4.72 1.35 Decline

Liquidity Ratios
Current Ratio Cash Ratio

Leverage Ratios
Debt to Equity Ratio Debt to Capital Ratio Interest Coverage Ratio

Key Financial Performance Indicators

Indicators Market Capitalization (INR mn) Total Enterprise Value (INR mn) EPS (INR) PE Ratio (Absolute) Value (dd/mm/yyyy) -

Efficiency Ratios
Fixed Asset Turnover Asset Turnover Current Asset Turnover Working Capital Turnover Capital Employed Turnover

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Public: Domestic Company Company A. (3/4)

Key Business Segments
A
100% 50% 0%

SAMPLE
A
100%

Key Geographic Segments

B C D

a1 c1 b1

a2 b2

a3 b3

a4 b4

a1
50% 0%

a2 b2 d2 c2 20--

a3 b3 c3 d3 20--

a4 b4 c4 d4 20--

8%

c3

c4

b1 c1 d1 20--

20--

c2

20--

20--

Key Recent Developments

Description News
Company A is one of the leading domestic x vendors in the country and has managed to garner a strong foothold in the market It serves x1, x2,x3,

Overview

Initiatives for Smart Grid implementation Smart Grid Agenda

In 20--, Company A expansion of its smart grid partner ecosystem by entering into a partnership with two leading data management software firms which are focused on the smart grid market: A and B Company A follows the A1 approach for successful Smart Grid implementations B Agenda of the company includes B1 , B2 and Benefit all C Financially

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Thank you for the attention

The Smart Grid Market India 2013 report is a part of Netscribes Energy and Utility Series For any queries or customized research requirements, contact us at: Phone: E-Mail: +91 22 4098 7600 info@netscribes.com

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