JULY 2005 / Issue - 15

In-house magazine of LANCO Group

ABAN

GOES OPERATIONAL
< LAPPL SIGNS EPC CONTRACT
< LGPPL BAGS 360 MW PROJECT IN SIKKIM
< LITL WINS IT PARKS BID IN AP

EDITORIAL

A REWARDING TIME AHEAD

Exactly a year ago, we went in for a revamp of LINKS,
giving it a new look. Thereafter with every successive
issue, we have tried to improve on its look and contents.
We could do it because you have been there as our
support.
On this occasion we re-commit ourselves to keeping
you well informed of all happenings across LANCO
spectrum every quarter. Towards that end, together let us
make LINKS not only very informative and enjoyable but
also a vibrant link in LANCO Family.

V SREENIVAS

Director - Corporate Affairs

vsreenivas@lancogroup.com

CONTENTS
3

CHAIRMAN'S MESSAGE

LGSL AND LGSI TO

MERGE

FOCUS ON BUILDING
RIGHT TEAM

FACE TO FACE

LITL TO DEVELOP IT PARKS

LINKS JULY 2005

11

15

11 ABAN IN PERSPECTIVE
15 LAPPL INKS EPC PACT

This is for internal circulation only. The views

expressed in this magazine are not necessarily
those of the management.
Edited by V Sreenivas and published by
the Corporate Communications Department for
and on behalf of LANCO Group.
Printed at Kalajyothi Process Pvt Ltd,
Hyderabad.
CONTACT:

LINKS

18

18 LGPPL BAGS TEESTA VI

19 LGPPL SIGNS PPA

20 HUMAN FACE

20

21 IN PERSON

The Corporate Communications Department

LANCO House, 141, Road No 2, Banjara Hills,
Hyderabad-500 034 Andhra Pradesh, India
Tel : +91-40-2354 0701/ 703,
Fax:+91-40-2354 1367
email: links@lancogroup.com
Editorial Team
George Karimalil (Executive Editor)
K Raja Gopal, Thota Rajendra Prasad, Janakiram Rao
Design
C Pradeep Reddy, Ch Surendar

In line with the theme of 2005, the second quarter has been
marked by a series of major happenings. This is not only
encouraging but also reconfirming our belief that we are on the
right track to achieving the goals set for the year.
As part of the ongoing exercise of restructuring the Information
Technology sector, Arjun Valluri is now with LANCO family. As
former Chairman, President and Chief Executive Officer of
Intelligroup Inc, Arjun Valluri was responsible for its growth from
US$ 1 million to US$125 million in a short time. We welcome
him as a Partner and Chief Executive Officer of LANCO Global
Systems. I am now confident that our IT initiatives will have a
new direction soon to establish ourselves on the global front.

CHAIRMANS MESSAGE

A CONVERGENCE
IN SYNC WITH TARGETS

Equally encouraging is LANCO Infratech's successful bid for the

development of IT Park-cum-Residential-cum-Commercial
Complexes in Hyderabad and Visakhapatnam of Andhra
Pradesh, covering 13 million square feet. This would certainly
brighten LANCO's prospects in the Infrastructure sector.

The ultimate success lies in

re-orienting every happening
to meet the targets
collectively, drawing on the
synergies we have come to
possess over the years .

The signals emerging from LANCO Amarkantak are also

encouraging. The signing of EPC Contract with Zelan Power Pvt
Ltd would certainly accelerate the process of implementing the
first unit of the 4 x 300 MW power project. Similarly LANCO
Greens 70 MW Budhil Project, along with four small hydro
projects aggregating to a capacity of 20 MW, is also heading for
financial closure towards the end of the third quarter. The
successful bidding of the 360 MW Teesta VI Hydropower Project
in Sikkim has strengthened our foray into the hydro sector.
All these happenings are indeed heartening for LANCO. And the
ultimate success lies in re-orienting every happening to meet the
targets collectively, drawing on the synergies we have come to
possess over the years.
L Madhusudhan Rao

LINKS JULY 2005

As expected, ABAN has gone into commercial operation as per

schedule. The successful synchronisation of ABAN with the Tamil
Nadu Electricity Board Grid in February last had raised hopes in
a state continuously struggling to balance between the rising
demands for power and the falling levels in supply. This has also
opened the door to launching new projects in the state.

HAPPENINGS
ARJUN VALLURI IS NEW CEO

LGSL CEO Arjun Valluri addressing the media in Hyderabad.

Others on the dais are Suresh Chukkapalli, L Madhusudhan Rao,
G Bhaskara Rao and Y Harish Chandra Prasad.

LANCO Group has brought in Arjun Valluri as Director and Chief Executive
Officer of LANCO Global Systems Limited(LGSL) as part of restructuring its
Information Technology sector.

LINKS JULY 2005

Addressing media persons in Hyderabad on 27 June 2005, Chairman

L Madhusudhan Rao said the move was aimed at accelerating the growth of
the company. He also announced the decision of the LGSL Board of Directors
in principle to acquire LANCO Global Systems Inc (LGSI) by way of merger. He
said the Company had already started to initiate the process of merger. On
merger, LGSL, a listed company, would emerge as a prominent IT company in
Hyderabad, he added.

Arjun, who has acquired substantial shareholding in LGSI, said the company
had already hired seasoned IT professionals and created a global
management team, including Qaiser Paul (President and Chief Sales Officer US Operations), Manjunath Dattatreya (Senior Vice-President - Global
Resource Management and Recruiting), MVR Kumar (Vice-President - SAP
Practice), Nagaprasad Kandimalla (Vice-President - Client Services), Gaurav
Sharma (Chief Operating Officer) and P Rakesh Kumar (Vice-President Technology Services and Delivery). In addition, LGSI had already bagged three
Fortune 50 customers.
He said the new entity would focus on specific industry verticals such as energy,
financial services and process and discrete manufacturing. In addition to
aggressive organic growth, LGSL would be active in inorganic growth, i.e.
Merger and Acquisition. He said the company had set for itself a target of US$
50 million revenue in the next one year and thereafter sequential growth at the
rate of 40-50 per cent year on year basis.

HAPPENINGS

FOCUS ON
Arjun Valluri has taken over as Chief Executive Officer of LANCO
Global Systems (LGS). He brings with him more than 14 years of
experience in Information Technology. He has received various
awards, including NJ Fast 50 Awards, NJ Entrepreneur of the
Year Finalist, NJ Ernst and Young Entrepreneur of the Year
Winner, Var Business 500 Awards and Ronald Reagan
Technology Award from the World Business Forum. In a chat with
LINKS, he opens up, outlining his vision and strategy for LGS.
What is your immediate plan of action for LANCO Global?
Our immediate plan is to build the Global management team by
the end of June. We are on schedule to get this completed.
Which are the segments you plan to focus on?
We will have IT services and Knowledge Process Outsourcing
(KPO) as key focus areas.
You are one among the few who have made it big in IT.
What is the secret of your success?
Success is predominantly based on building the right 'team' to
focus on execution of the business strategy.
Arjun Valluri

Qaiser Paul is President for

US operations and Chief
Sales Officer. He has more
than 13 years of experience
in Sales, Marketing and
Delivery.

Manjunath Dattatreya is
Senior Vice-President Global Resource
Management and
Recruiting. An engineering

MVR Kumar is VicePresident - SAP Practice.

With a Masters from IIT,
Chennai, he has more than
18 years of experience in
Pre-sales, Delivery and
Process. He also has 10
years of functional
experience in projects,
operations and
maintenance activities in
the steel manufacturing
industry.

Operating Officer. He
holds a Masters in
Instrumentation from BITS,
Pilani. He has more than
15 years of experience in
Pre-sales, Delivery, Process
and People management.

Nagaprasad Kandimalla
is Vice-President - Client
Services. He is responsible
for Strategic Customer
Engagements, Business
Strategy and Delivery. He
holds a Bachelor's degree
in Mechanical Engineering
and Masters with
specialisation in Energy and
Systems.

Gaurav Sharma is Chief

P Rakesh Kumar is VicePresident - Technology

Services and Delivery. With
more than 22 years of IT
experience, especially in
handling global clients
from varied industries, he is
an enterprising leader with
an ability to train and
motivate cross-cultural
teams in optimising their
performance levels.

LINKS JULY 2005

GLOBAL TEAM

graduate from Mysore

University, he brings with
him more than 14 years of
experience in managing
staffing, resource and HR
functions.

HAPPENINGS
LANCO Group Vice-Chairman and LKPPL Director
G Bhaskara Rao has been nominated to Southern
Regional Council(2005-2006) of the Confederation of
Indian Industry (CII) as one of the two AP State
Representatives.

LINKS JULY 2005

Other LANCO officials nominated to AP Panel as well as

Southern Region of CII are Arjun Valluri (IT and
Communications), V Sreenivas (Public Policy, Social
Development and Corporate Social Responsibility),
K Raja Gopal (Energy and Environment), B Dharma Teja
(Industry Institute Interaction and Infrastructure),
R Parthasarathy (Corporate Governance), TS Babu
(Human Resources and Industrial Relations), D Krishna
Rao (Economic Affairs) and T Ramakrishna (Exports).

CALL TO CULTIVATE ART OF

COMMUNICATION

STRESS ON HEALTHY
RELATIONSHIP

Y Harish Chandra Prasad, Managing Director of

LANCO Kondapalli Power, has underscored the need of
cultivating the art of communication. Most of us are
very poor in communicating properly. In this age of
advanced science and technology, the right way of
communication is very important, he said.

It is relationships that make an organisation grow.

Efforts should therefore be made to keep the
relationships between the management and the
employees healthy and strong, according to K
Narendranath, Associate Professor, Department of
Business Management, Osmania University.

Speaking at a function organised by LANCO Club on

20 May 2005, Harish said he had learned the
importance of communication the hard way. We
should communicate in such a way that we are properly
understood, he
added. He also said
everyone should try to
be an entrepreneur
looking for new
opportunities all the
time.

Speaking on Building Healthy Relationships at a

function organised by LANCO Club, Hyderabad on
30 April 2005, Narendranath said the management
should be value-based, maintaining maximum
transparency. This
would ensure a
healthy relationship,
leading to greater
growth of the
organisation, he
added.

FACE
TO FACE
HAPPENINGS
What are the changes you could
bring about in LANCO after taking
over as Director - Finance?
I have tried to introduce innovation and
improvisation in financing, besides
encouraging certain amount of
indiscipline in the thought process.
This has brought in good results.
Could you recall any major event in
LANCO that you personally feel
good about?
I feel good about the financial closure
of ABAN Power, which has now been
commissioned. Similarly LANCO
Amarkantak and small hydro projects
have made rapid strides in evolving
into a stage where they could
successfully tie up all finances and are
due to start construction.
What made you to go for a career
in finance?
The number of students passing out of
Chartered Accountancy every year has
been abysmally low. This made me go
for the profession.
You seem to like taking on
challenges.
I encourage people taking risks and
approach opportunities from different
thought processes. I left my career with
WI Carr and Credit Agricole Indosuez
(Calyon) to become an entrepreneur to
experiment with new ideas, after which

I joined LANCO. The entrepreneurship

phase was really good. I have learned
a lot from my experiences, which
continue to influence me even today.
What was the most cherishing
moment in your life?
I continue to cherish that day when I
cleared my CA examinations and later
secured the all India forty-eighth rank.
Equally memorable was the Infant
Stimulation Programme (ISP) that I
experimented on before my daughter
was born. ISP is all about creating a
Smart Baby and is a well-researched
subject.
Do you have any hobbies to keep
your stress-level balanced?
I used to take time off to play golf,
which has now become unaffordable. I
have been doing meditation for the last
15 years, from the day I discovered
that Meditation has been scientifically
proved to be good for thought process.
I have trained my mind to go into an
auto-off mode once I get back home. I
also like reading non-fiction.
You once tried to be a model. What
made you to give it up?
I tried to become a model to establish
versatility in my character. But what I
got was an acting role for an ad slot.
Then I realised that it was not my cup
of tea.

LINKS JULY 2005

G Venkatesh Babu,
Director - Finance, LANCO
Group, is a person with high
energy levels. His handsome
countenance is only a cover
for the aggressiveness with
which he pursues the goals
set. There is in him an
insatiable hunger to take on
new challenges. In a tte-tte, he opens up, sharing
some of his inner thoughts.

HAPPENINGS

LANCO Kondapalli Power Pvt Ltd Managing Director Y

Harish Chandra Prasad has become a member of Advisory
Committee of Jawaharlal Nehru Institute for Development
Banking (JNIDB).
JNIDB is an institute established by the Industrial
Development Bank of India (IDBI) in 1991 in Hyderabad for
developing human resource in the financial and banking
sector in India and other developing countries through
training, research and consultancy. An advisory committee
of eminent bankers and erudite academicians has been
providing overall guidance and direction to the Institute.
Harish is also a member of Managing Committee, CII (AP
State Council), Convenor of Infrastructure Panel, CII (AP
State Council) and member of Energy and Environment
Council, CII (Southern Region).

B DHARMA TEJA
JOINS LKPPL

GE ENERGY OFFICIAL VISITS LKPPL

LINKS JULY 2005

Cliff Harris, Regional CSA

Portfolio Manager, GE
Energy visited LANCO
Kondapalli Power Plant on
24 April 2005.

B Dharma Teja, a postgraduate in

Management (Marketing and
Finance) from Indian School of
Business, Hyderabad, has joined
LKPPL as Vice-President
(Operations). He looks after the
overall operations of the company.
An engineer from MREC, Jaipur, he
did his Postgraduate Diploma in
Advanced Construction Management
from the National Institute of
Construction Management and
Research, New Delhi.

Others who visited the

Plant include Naveen Mittal
IAS, Krishna District
Collector, Bandaru Anjan
Raju, AP Handicrafts
Development Corporation
Chairman, Jogi Ramesh,
APSRTC Satvahana Region Cliff Harris, Regional CSA Portfolio Manager,
Zonal Chairman, Susurla, GE Energy on a visit to LANCO Kondapalli Power Plant
Additional Director of
MoE&F, Bangalore Anjaneya
IDBI, Hyderabad, Ambati
Prasad and Nagi Reddy of
Rambabu, APIIC Chairman, M
APPCB, Vijayawada, M
Venkatappa Reddy, Director of
Malakondaiah IPS, Joint
APIIC and P Madhusudhana
Managing Director (Vigilance and Reddy, Chief Manager and KB
Security), APTRANSCO, Ashok K
Kumar, Manager (Advances) of
De, DGM and Gowtham D of
Dena Bank.

TO DEVELOP

HAPPENINGS

LANCO INFRATECH

IT PARKS
LANCO Infratech Ltd (LITL) is the successful bidder to design,
develop, finance, construct, market, operate and maintain
two Information Technology (IT) park-cum-commercial-andresidential complexes in Hyderabad and Visakhapatnam.
In response to the Request for Proposal (RFP) issued by the
Andhra Pradesh Industrial Infrastructure Corporation Ltd from
approved developers, LITL submitted a proposal and won the
bid. The Letter of Award (LOA) is expected shortly. LITL will
now develop one IT park on 100 acres at Manikonda in
Hyderabad at a cost of Rs 20,000 million and the other on
10.65 acres on Beach Road in Visakhapatnam at a cost of
Rs 3,800 million.
LANCO Technology Park (LTP) is being developed as a
unique venture in accordance with the international
standards of modern design and global needs in mind. It will
be a self-sustained Knowledge Economy Ecosystem designed
and developed to support the operations of high-technology
enterprises.

LINKS JULY 2005

At LTP, a WALK-TO-WORK culture will be developed by

providing an integrated IT Park with housing and retail
facilities.

HAPPENINGS

INHS Asvini Hospital,

Mumbai built by LANCO
Infratech Ltd (LITL) was
awarded Commendation
Certificate in Category-II
Institutional, Commercial
Office and Recreational
Complexes by the
Professional Screening
Committee of the Indian
Building Congress (IBC) at a
function held in New Delhi
on 12 May 2005.
Incidentally Asvini Hospital is
considered to be the single
longest hospital in India.

LITL BAGS CIFE CONSTRUCTION ORDER

LANCO Infratech Ltd (LITL) has bagged an order for the
construction of Institutional building worth Rs 70 million
for the Central Institute of Fisheries Education (CIFE) in
Mumbai.

10

ADDING STRENGTH

LINKS JULY 2005

LITL has also been pre-qualified for construction of New

Integrated Terminal Building at Visakhapatnam (Rs 480
million), New Terminal Building Complex at Maharana
Pratap Airport at Udaipur (Rs 446 million) and New
Domestic Arrival Block at SBPI Airport at Ahmedabad

(Rs 400 million) for Airport Authority of India, Housing

Units at Air Force Station, Maharajpur, Gwalior (Rs 370
million), Housing Units at Air Force Station, Bangalore
(Rs 204 million) and Housing Units at Army Station,
Bangalore for Director General, Married
Accommodation Project, Ministry of Defence, and
Hospital Medical College Building and Hostel Block,
Commercial Block and Residential Quarters in IGMI
Project Phase-1 for the Nagpur Improvement Trust,
Nagpur (Rs 700 million).

Greetings !
LINKS extends its Greetings to
all Lanconians and Associates

T Adi Babu has joined LANCO

Infratech Ltd as Vice-President
(Finance). A Cost Accountant
by profession, he brings with him
more than 20 years of
experience in Corporate Finance
and Accounts, of which nine
years as Head- Finance in varied
industries.

Srinagesh Ramabhotla has

joined LANCO Infratech Ltd as
GM (F&A). A qualified
Chartered Accountant, he brings
with him more than 18 years of
hands-on experience in Finance
and Accounts.

on Independence Day, Raksha

Bandan and Vinayaka Chavithi.
May these special occasions
bring abundant joy and
happiness into your lives.

A STORY OF
GRIT AND
DETERMINATION

ABAN Power Company Ltd (APCL) is thus the unfolding

story of collective grit and determination. In all there
were eleven companies short-listed by the Tamil Nadu
Industrial Development Corporation (TIDCO) for shortgestation power projects. And APCL emerged to be the
first to complete, with another lone project trailing
behind. The rest fell by the wayside, unable to meet the
mounting challenges that came in their way.

It was in September 2002, LANCO took over APCL by

signing the ABAN Shareholders Agreement. That was
the beginning of a series of struggles to get the project
moving ahead. The first was to purchase a large chunk
of land in Karuppur village jointly owned by 22 people,
protecting the agreement from the Agricultural Land
Ceiling Act. However it took nearly six months to have
all the clear titles, making them bankable.
Getting the required clearances from the Tamil Nadu
Electricity Board and financial sanctions from the Power
Finance Corporation Limited was equally challenging.
Once that was done and the financial closure achieved,
APCL signed the EPC Contract and got the grading
completed and the site ready for starting civil works.
Although the machines from GE, a global leader, were
an assurance of quality and top class performance, the

LINKS JULY 2005

The farmers inhabiting Karuppur village near

Mayiladuthurai in Tanjore district of Tamil Nadu could
never have dreamed of having a power generating unit
in their place. The unit, spread over a vast stretch of
land abutting the Kuttalam-Panthanallur Road passing
through their village, today provides not only succour to
the power-deficit state but also employment
opportunities to all those living around. Much more is
the pride they have come to posses, of being on the
roadmap to progress.

HAPPENINGS

ABAN IN PERSPECTIVE

11

HAPPENINGS

availability of spare parts posed a

major problem, as the spares were
not available in the open market.
Finally APCL went for a
comprehensive spare part-cumservice agreement, including
operational spares with GE for a
period of 14 years.

LINKS JULY 2005

Combined Cycle Project on a fast

track basis. A down to earth
person, he says collective efforts
alone have made it possible.

The shortage of gas from the

Kuttalam region was yet another
setback. Although APCL's proposal
to tap the surplus gas from the
neighbouring regions was initially
cold-shouldered, the Government,
GAIL (India) Ltd and the Oil and
Natural Gas Corporation (ONGC)
later fell in line, approving the
proposal to connect Narimanam to
Kuttalam, covering a distance of
40 km.
With the TNEB finally giving
clearance for giving power
connection, things moved fast,
leading to open synchronisation
on 18 February 2005 and
combined cycle synchronisation
in July 2005. Now that the unit
has finally gone operational, the
prospects are bright not only
for further growth of
ABAN Power Company
but also for LANCO's
venture into newer
areas in Tamil Nadu.v

12

LANCO'S SYNERGIES BEHIND

ABAN SUCCESS

The successful completion of the

project has served to increase
the confidence of global
partners. What would you say
about it?

P Panduranga Rao, CEO

With 24 years of varied
experience in areas ranging from
finance to power projects,
Panduranga Rao is credited
with the successful
implementation of the
120 MW ABAN Power

The Indian EPC Contractor, with

support from LANCO Group, has
made the project successful within
the time specified. This has indeed
increased the confidence of the
global partners that LANCO can
implement projects in time in spite
of all hassles in getting required
clearances. Similarly LANCO's
initiative to take up the O&M
responsibility of the project has
gone down well with the partners.
In the light of the successful
completion of the project, what
are the opportunities for the
expansion of the project at the
same place?

holder of MSc in Heat Power

Engineering from REC,
Rourkela, is upbeat over the
implementation of the project
on a fast track basis.

How have the synergies that

LANCO Group has come to
possess over the years helped in
the implementation of ABAN
Project?
When the idea of implementing the
project with ABAN and later taking
up O&M responsibility came up,
LANCO Group's rich experience in
power projects has turned out to be
very useful. It has helped ABAN
plan and implement the project,
including the building of O&M
team and training them at LANCO
Kondapalli Power Project. v

HAPPENINGS

OWN O&M SAFEGUARDS

ABAN INTERESTS

What has made you to go for an inhouse O&M? What are the benefits
like?

V Ravindran,
GM (Technical)

I personally feel there is no need for

a separate O&M setup. We have
recruited people with sufficient
experience in O&M. We have the
required expertise to handle all
O&M requirements.
The main advantage
is that the company's
interests are not

With 24 years
of experience
in thermal
power
projects,
Ravindran, a

LINKS JULY 2005

If gas or LNG is made available, we

can double the capacity at the
existing site. Heads of agreement
have already been signed for the
supply of 14 lakh cubic metres of
gas per day from GAIL. There is a
proposal by GAIL and IOC to bring
LNG to Chennai and a dedicated
pipeline is proposed to be laid up
to the Cauvery region connecting
Kuttalam.

13

HAPPENINGS

compromised at any stage.

To what extent have the machines manufactured
by GE impacted your performance?
In so far as the gas turbine technology is
concerned, GE is a world leader. Ours is an
advanced technology with very high efficiency,
requiring less water consumption. We have
gone for a long term contract with GE to ensure
supply of specialised parts and also
maintenance of the machines.
The use of natural gas has turned out to be
environment friendly. Has there been any
reaction?

Natural gas is a clean fuel. The only possible

pollution is nitrous oxide, which has been taken
care of technically. Not only fuel but even the
plant design is also environment friendly.
What is the organisational setup of O&M? How
is it going to perform operations on a global
scale?
Our O&M setup operates in four shifts. All the
engineers are highly experienced. Our
experience norm is similar to other O&M setups
at the multinational level. Systems and
procedures have also been developed to have
standard operations and maintenance. v

KEY PLAYERS
R Parthasarathy,
GM (F&A)
With 29 years of experience in finance,
secretarial, imports and general
management, Parthasarathy, who has
an M Com, LLB, ACA, AICWA and ACS,
is gifted with a knack of managing
people to get things done in time.

LINKS JULY 2005

TNEB has entered into agreements

with many important power producers.
But none of them use natural gas as
fuel, which is clean and environment
friendly. While the producers using
naphtha or diesel are charging TNEB
on a cost basis, including variable
expenditures, we charge them a lower
levelised tariff. So financially we are
number one in the merit order.

14

V V Rao,
AGM (Maintenance)
With 14 years of experience in O&M
and EPC jobs in Thermal Power
Stations, V V Rao, who holds an ME in
Electrical Engineering from Bombay
University, is responsible for overall
maintenance of the plant.
We have an O&M system which is

highly structured. Own O&M not only

provides greater control of operations
but also leads to huge saving. I think in
course of time this can turn into a
business opportunity to take up O&M
contracts outside.
BV Udayakumar,
Asst GM (O&M)
With 20 years of experience in power
plants, Udayakumar, who holds an ME
in Thermal Power Engineering, is
responsible for normal and emergency
operations and maintenance of all the
plant systems among other things.
In our plant, maximum hazard is from
natural gas, which is a clean fuel. We
do not store gas. Instead, we take it
directly from GAIL and use it as fuel for
the gas turbine. We try to avoid the
origin of risk itself. Once safety is there,
certainly production will go up.
Siva Subramanian,
Sr Manager (EHS)
With a Diploma in Industrial Safety and
18 years of varied experience, Siva
Subramanian is entrusted with the
responsibility of looking after

environment, health and safety

requirements of the plant.
We have a unique system to take care
all safety requirements, covering
interspacing between the units,
predominant wind directions and mean
sea levels. Our fire-fighting systems are
as per TAC approved layouts and
drawing. We have also complied with
all environment statutory requirements.
R Prem,
AGM (F&A)
Young, energetic and one of the first to
join the ABAN team, R Prem, a
Chartered Accountant by profession, is
entrusted with the responsibility of
raising project finance from a
consortium of banks and financial
institutions and working capital facilities.
The team work, coupled with the
support extended by the consortium of
lenders, has helped the ABAN Project
make it in time. With the successful
commissioning of the project, the ability
of LANCO Group to implement such
projects on a fast track basis has been
demonstrated once again. v

INKS

EPC PACT

ZELAN

WITH

HAPPENINGS

LANCO AMARKANTAK

LAPPL CEO TV Krishna and Zelan

Projects Pvt Ltd CEO and Director
Joseph WP Chong exchanging the
EPC Contract documents. LANCO
Group Vice-Chairman G Bhaskara
Rao, LKPPL MD Y Harish Chandra
Prasad and Zelan Holdings (M)
SDN.BHD Group Managing Director
Albert Chang are also seen

LANCO Amarkantak Power Pvt Ltd (LAPPL) has signed

an Engineering Procurement and Construction (EPC)
Contract with Zelan Projects Pvt Ltd (ZPPL), a member
of Tronoh Group, Malaysia, for the first 300 MW Unit
of 1200 MW LANCO Amarkantak Mega Thermal
Power Station.

2005. As per the agreement, HPCL would supply

Heavy Furnace Oil (HFO) and Light Diesel Oil (LDO)
for the project. LAPPL CEO TV Krishna and HPCL
Nagpur Regional Office Manager (Marketing) K
Banerjee signed the Secondary Fuel Supply Agreement
in the presence of G Bhaskara Rao and Y Harish
Chandra Prasad.

LINKS JULY 2005

LAPPL Chief Executive Officer TV Krishna and Zelan

Projects Pvt Ltd CEO and Director Joseph WP Chong
on behalf of their respective companies signed the
contract in Hyderabad on 25 May 2005. LANCO
Group Vice-Chairman G Bhaskara Rao, LANCO
Kondapalli Power Pvt Ltd Managing Director Y Harish
Chandra Prasad, LANCO Group Director-Finance
G Venkatesh Babu, Zelan Holdings (M) SDN.BHD
Group Managing Director Albert Chang, ZPPL
Executive Director SP Matthai, Senior Project
Coordinator Anthony Teoh and other officials were
present on the occasion.

SECONDARY FUEL SUPPLY PACT WITH HPCL

LAPPL also entered into a long-term Secondary Fuel
Supply Agreement with the Hindustan Petroleum
Corporation Ltd (HPCL) for the first unit on 25 May

LAPPL CEO TV Krishna and HPCL Nagpur Regional Office Manager

(Marketing) K Banerjee exchanging the Secondary Fuel Supply
Agreement documents. LANCO Group Vice-Chairman G Bhaskara Rao
and LKPPL MD Y Harish Chandra Prasad are also seen.

15

HAPPENINGS

FINAL PPA SIGNED WITH

PTC INDIA LTD
PTC India Ltd signed the Final
Power Purchase Agreement with
LAPPL for the purchase of total
power produced from the First 300
MW Unit on 11 May 2005. PTC
India Ltd subsequently signed the
Final Power Supply Agreement (PSA)
with Madhya Pradesh State
Electricity Board (MPSEB) for the
entire power from the LAPPL Unit on
30 May 2005.
LAPPL CEO TV Krishna and PTC
India Ltd Executive Vice-President
(Corporate Development) Rajiv
Bhardwaj signed the agreement on
behalf of their respective companies
in the presence of PTC India Ltd
CMD TN Thakur and other officials.

LAPPL CEO TV Krishna and PTC India Ltd Executive Vice-President (Corporate
Development) Rajiv Bhardwaj exchanging the Final PPA documents. PTC India Ltd
CMD TN Thakur looks on.

ADDING STRENGTH

LINKS JULY 2005

A Pattabhi Raman has joined LAPPL

as Vice-President (Project). He is in
charge of the Project site of the
1200 MW LANCO Amarkantak
Mega Thermal Power Station at
Korba, Chhattisgarh. He brings with
him more than 35 years of
experience in power plants.

16

B Manohar has joined LANCO

Group as Director (Property
Development). With a B Tech in
Electrical Engineering, he brings
with him 19 years of experience in
implementation of projects like
steel, chemical, power and
infrastructure/property.

Others who joined LAPPL include A

Ramanamurthy (Sr DGM), B Narasimha Rao (DGMTech), GVR Kumar (DGM-F&A), K Srinivas (AGM-Civil),
BV Subbarao (AGM) and Srinivasa Rao (Sr Manager).

LANCO Amarkantak Power Pvt Ltd (LAPPL) has

shifted its corporate office to a new building.
The new address is as follows.
LANCO Amarkantak Power Pvt Ltd,
3rd Floor, Plot No 130,
Road No 2, Banjara Hills,
Hyderabad 500 034
Ph 2355 1256 & 2354 6093
Fax 2354 3932

TS Babu has joined LANCO

Group as General Manager (HR
and Admn). An MBA in HR from
Xavier Labour Relations Institute
(XLRI), Jamshedpur and LLB from
Behrampur University in Orissa,
he brings with him more than 22
years of experience in HR
management and administration.

LANCO Amarkantak Power Pvt Ltd

sponsored a seminar on 'Green
Building Materials' organised by the
National Academy of Construction
in Hyderabad on 9 June 2005.
Speaking on the occasion, LANCO

HAPPENINGS

LKPPL MD Y Harish
Chandra Prasad lighting
the lamp to inaugurate a
seminar on 'Green
Building Materials' in
Hyderabad.

Kondapalli Power Pvt Ltd Managing

Director Y Harish Chandra Prasad
stressed the need for optimal use of
ash both in terms of materials and
technologies to achieve quality and
economy in the field of construction.

UNFOLDING LIFE

HOW I LEARNED TO PRIORITISE...

After the round, the boss returned to

his room. He sat down and ordered
cool drinks. Then he turned to me
all of a sudden and said, Pattabhi,
can we synchronise the unit next
month? I replied laughing, With
so much work pending, how could
it be possible?
Unexpected of him, the boss blurted
out, I thought I was speaking to an
engineer... After a pause, he said
without looking at me: You can
go. It looked as if he asked me to
get out. His outburst was shocking.
I was proud of my performance

over the past 10 -12 years, earning

appreciation from all quarters. My
pride, my ego evaporated into thin
air and I felt reduced to tears. Yet I
composed myself and said, Please
give me half-an-hour. Quick was
his reply: Dont waste my time.
I came out without cool drinks and
sat at a corner thinking if there was
anything wrong in my answer. With
so much work pending, how could
we synchronise the unit? Could
there be something in his mind to
speak so rudely, I wondered. After
15 minutes, I started listing out the
items required for synchronising. I
compared the list with the one
noted down during the round a few
moments ago. I listed out some four
or five systems that must be ready to
go for synchronisation.
After some hesitation, I went back to
his room. The boss was engrossed
in writing. Looking annoyed, he
said, Dont waste my time and
yours, too. I said I needed only two

minutes and gave him the list I had

prepared. He first looked at the list
and then turned to me. Now you
talk sense, he said and asked me
to sit down. Then we discussed how
to make the systems ready to
achieve synchronisation the
following month. He asked me to
follow up with the agencies to
ensure that they completed the
works in time. We had the cool
drinks then!
The unit was synchronised on 24
January 1984, the first 500 MW
Plant in India. The principle I learnt
from the incident was to work on
the need and not on want. In other
words, one should prioritise things
to achieve results. Thereafter I have
been able to achieve good results in
all my assignments.

LINKS JULY 2005

Place: Mumbai. Time: Winter in

1983. We were getting ready for
commissioning the first 500 MW
Plant in Mumbai. My Boss asked
me to accompany him on a review
of the construction work. We took
off from the boiler on top (85 M)
along with writing pads. We walked
down through the boiler, boiler
auxiliaries, feed heating system,
switchyard and so on.

17
A Pattabhi Raman
Vice-President -Project, LAPPL
Korba, Chhattisgarh

HAPPENINGS

LANCO Energy Pvt Ltd (LEPL)

has secured the allotment of
the 360 MW Teesta VI
Hydropower Project for
development across the Teesta
River in Sikkim on Build,
Operate, Own and Transfer
(BOOT) basis in the joint sector
for a period of 35 years.

18

MASTERMIND

LINKS JULY 2005

The project is the last scheme

of six stages of cascade
development on the Teesta
River. The investment by the
Government of Sikkim in the
project will be in the form of
equity to the extent of 26 per
cent. The Letter of Intent (LOI)
was issued by the Government
of Sikkim on 8 April 2005. The
survey and investigations of the
project are now in progress.

Thank you for the overwhelming response. Since the correct answers were many, a draw of lot
was held to choose the three winners. The winners are:
1. Nageshwar Rao (LKPPL), 2. Prabhakar Rao (ABAN), 3. Venkatesan (LAPPL)

LINKS

WEBSITE

1. In which country is the place called

Chengdu?
2. Who has been nominated to AP
Panel of CII on Economic Affairs
from LANCO?
3. What is the percentage of the Sikkim
Govts stake in the 360 MW Teesta
VI Hydro Project?
4. What is the name of the place in
Hyderabad marked out for IT Park?
5. What are the key focus areas of
LANCO Global Systems Ltd?

1. Name any three clients of

LANCO Global Systems Ltd.
2. Who are the Partners of
LANCO Global Systems
Ltd?
3. What are the business
modules offered by LANCO
Global Systems Ltd?
4. What is the Annual turnover
of LANCO Group?
5. Where is Clarion Power
Corporation Ltd located?

Send your answers to links@lancogroup.com before 30 July

2005. Only Lanconians and their immediate family members are
eligible to participate in the contest.

HAPPENINGS

PTC India Ltd Executive Vice-President and CFO

Deepak Amitabh and LGPPL Director and CEO
DV Rao signing the PPA for the Budhil Project.
PTC India Ltd CMD TN Thakur, Vice-president
A Mohan Menon and Senior Vice-President
GS Gupta are also seen.

PTC India Ltd has signed a Power Purchase Agreement

(PPA) with LANCO Green Power Pvt Ltd (LGPPL) for the
entire power to be generated by the 70 MW Budhil
Hydropower Project in Himachal Pradesh.
PTC India Ltd Executive Vice-President and CFO
Deepak Amitabh and LGPPL Director and Chief
Executive Officer DV Rao signed the PPA on behalf of
their respective companies at the headquarters of PTC
India Ltd in New Delhi on 30 March 2005 in the
presence of CMD TN Thakur, Vice-President A Mohan
Menon and Senior Vice-President GS Gupta.
With the signing of the PPA with PTC India Ltd for the
sale of entire power from the Budhil Project, LGPPL has
achieved another milestone in its journey towards the
implementation of the Hydropower Project.

HPSEB ISSUES CLEARANCE

LGPPL has been issued Techno Economic Viability (TEV)
and Techno Economic Clearance by the Himachal
Pradesh State Electricity Board for its 70 MW Budhil
Hydropower Project. It is one of the most important
clearances required by the company for the
implementation of the project.

HPSEB GIVES TEC FOR DRINIDHAR

PROJECT
Techno Economic Clearance has been issued by the
Himachal Pradesh State Electricity Board to Vamshi
Industrial Power Ltd, a LANCO Group company, for its
5MW Drinidhar Small Hydropower Project. It is one of
the most important clearances required for the
implementation of the project.

LINKS JULY 2005

BREAKFAST MEET WITH

HIMACHAL CM
LANCO hosted a breakfast on 13 June 2005 in
honour of Himachal Pradesh Chief Minister Vir
Bhadra Singh who had come to Hyderabad to
showcase the tourism prospects in his state.
He was accompanied by a high level team consisting
of two of his cabinet ministers and other senior
officials. LANCO Group Founder Chairman L
Rajagopal, Vice-Chairman G Bhaskara Rao, LGPPL
CEO DV Rao, LANCO Group Corporate Affairs
Director V Sreenivas, Director(Projects) K Raja Gopal
and Rithwik and Clarion Power CEO and Director RS
Sreenivas were also present on the occasion.

19
LANCO Group Vice-Chairman G Bhaskara Rao presenting a memento
to Himachal Pradesh Chief Minister Vir Bhadra Singh. LANCO Group
Founder Chairman L Rajagopal(centre) looks on.

HUMAN FACE

LIGHT-SPONSORED OLYMPIC
DAY RUN WOWS HYDERABAD
The nineteenth edition of the Olympic Day Run in
Hyderabad on 23 June 2005, organised by the Andhra
Pradesh Olympic Association headed by L Rajagopal,
MP and Founder Chairman of LANCO Group, had
more than 30,000 students and sportspersons from 14
districts in the state as participants. This was in sharp
contrast to the run organised last year in which around
6000 people participated.
The Olympic Day Run, sponsored by LANCO Institute
of General Humanitarian Trust (LIGHT), converged at
Lal Bahadur Stadium. Speaking on the occasion,
Rajagopal said he was happy with the good response
that the run had evoked. He reiterated his commitment

to identifying and nurturing talents in sportspersons in

the state. I want to see many more champions
emerging from across Andhra Pradesh, he said.
Chief Minister YS Rajasekhara Reddy reaffirmed his
government's commitment to providing adequate funds
and additional infrastructure to nurture sports talents in
the state.

IN BRIEF
TEN MORE
BORE-WELLS DUG
LIGHT has dug ten more bore-wells, covering
Thotaravulapadu, Eturu and Veladikothapalem
villages in Chandarlapadu mandal, Jupudi village in
Ibrahimpatnam mandal and Kambhampadu village
in Jaggaiahpeta mandal of Krishna district. All the
bore-wells have been provided with hand-pumps,
raising the total number of bore-wells dug under
Sujalavahini to 678.

HELP FOR VISUALLY IMPAIRED

LINKS JULY 2005

LIGHT has sanctioned Rs 15,000 to Dasari Amulya

Rao to set up an Institute of Spoken English at Tenali.
Amulya Rao, a visually impaired person, is a
Postgraduate in English Literature, specially trained in
Functional English. He also holds B Ed degree and
Sahitya Ratna in Hindi.

20

RS 100,000 SPORTS WEAR

DISTRIBUTED

Sports wear worth Rs 100,000 were distributed

among boys and girls who took part in the health run
organised by Krishna District Sports Authority in
Vijayawada on 25 May 2005. B Dharma Teja, VicePresident (Operations), presided over the
programme.

RS 1 MILLION FOR GIRLS HOSTEL

LIGHT has donated Rs 1 million towards constructing
a hostel for girls in Kadapa. The building will have a
built-up area of 20,000 sq feet to accommodate
200 girl students with facilities like residential rooms,
common hall, dining hall, kitchen and storeroom.
The hostel, managed by Shri K Koti Reddy and Smt K
Rama Subbamma Charitable Trust, is meant to
provide accommodation to girls studying in
Government Women's Degree College.

STRESS ON HELPING THE DISABLED

Helping the disabled come out of their disabilities is
nothing but an act of humanity, according to LANCO
Kondapalli Power Pvt Ltd General Manager (Projects)
A Srinivasa Rao. He was speaking at a function
jointly organised by Indira Kranti Patham and LIGHT
at Mylavaram on 19 June 2005 to distribute tricycles and artificial limbs among disabled people.
Ten tri-cycles and an equal number of crutches were
given away to disabled people hailing from
Ibrahimpatnam, G Konduru and Mylavaram
mandals.
LKPPL Vice-President (Operations) Dharma Teja distributing
sports wear in Vijayawada. A Srinivasa Rao, GM - Projects (right)
is also seen.

IN-HOUSE

IN PERSON

Subramanyam with his

wife Padmaja and
children Premchand
and Sahithi.

K Subramanyam, Manager (Admn), LANCO Kondapalli Power Pvt Ltd, has been with the
Company right from 1983. In his long service, he has worked at different places, starting with
Visakhapatnam, where LANCO Group took birth. From an initial assignment to keep a record of
the tipper movement at Vizag Steel Plant, Subramanyam has graduated to take care of the
accounts and secretarial works of the Group. Soft-spoken and mild-mannered, he remains very
devoted to the Company. In a chat with LINKS, Subramanyam comes out as a person who is

How do you feel about the honour of being the

First Employee in LANCO?
I really feel proud of being called the First Employee in
LANCO Group. LANCO has grown at a pace faster
than any one of us could ever think of. Today it has a
distinct name and identity. It is giving employment to
hundreds of people. I am really proud to be part of
such a great company.

asked me: Do you want to grow in the company? I

readily said, Yes, I want to grow. Years later when I
moved to Hyderabad with L Rajagopal, the Founder
Chairman, he also posed the same question. It is the
Promoters' concern for every employee that has made
me remain loyal to LANCO Group. And I strongly
believe I can realise my full growth only in LANCO
Group.

What has made you to remain with the

organisation for such a long time?
I started with the work of maintaining a ledger on the
movement of tippers carrying construction material at
Vizag Steel Plant way back in 1983. One day
Amarappa Naidu, the Founder of LANCO Group,

What was your happiest moment working with

LANCO?
The happiest moment was when LANCO got the order
of the Yeleru Reservoir Project in Visakhapatnam in
1987. That triggered off lots of activities, leading to so
many people joining the company.

LINKS JULY 2005

grateful to the Promoters of LANCO Group for their concern and goodwill.

21

IN-HOUSE

People with the traits that mark emotional

intelligence are composed, committed and
caring, with a rich emotional life. They are
comfortable with themselves, with others and
with society they live in.

EMOTIONAL
INTELLIGENCE
NO MORE A FAD

LINKS JULY 2005

It was a chance meeting with an old friend of mine that

led to a short discussion on emotional intelligence, a
relatively new area for me. Emotional intelligence is not
about smiling all the time. It is about celebrating
successes. It is about recognising joy and pain in
others. It is about being angry at the right person, at the
right time, in the right manner, for the right reason. It is
about the authentic use of emotions.

22

An analysis of the personality traits that accompany

high intelligence quotient in people who also lack these
emotional competencies portrays the stereotypical
person who is critical and condescending, inhibited and
uncomfortable with sensuality and emotionally bland.
Ravi Shankar was an extraordinarily intelligent person.
A gold medallist in MBA, his first posting was with a
multinational company, drawing a handsome salary.
But hardly had he completed three months when he
was checked out because he could not get along with
his colleagues and others working under him.
By contrast, Sunita Narain was an average woman. She
did not have a list of academic achievements to show.
But she was very popular, loved and appreciated by
everyone around. So much so that in a short span of
eight years, she rose to become the chief executive of
her company. People with the traits that mark emotional
intelligence are composed, committed and caring, with
a rich emotional life. They are comfortable with
themselves, with others and with society they live in.
Emotional intelligence gives one a competitive edge.
People who are blessed with high level emotional

intelligence are less depressed and enjoy good health.

They are more employable and have better
relationships. This comes against the common
perception that Emotions are in the way, keeping one
from making good decisions and focussing.
Peter Salovey and John Jack Mayer in an article titled
Emotional Intelligence define EQ as a scientifically
testable intelligence. Emotional intelligence is the
ability to perceive emotions; to access and generate
emotions so as to assist thought; to understand
emotions and emotional knowledge; and to reflectively
regulate emotions so as to promote emotional and
intellectual growth.
I believe this is an area which requires immediate
attention. While all those already part of the corporate
life need to learn more about the importance of
emotional quotient, efforts should be made to ensure
that those aspiring to join the fold should have a high
level of emotional quotient. That is necessary to grow
and exist as a healthy corporate.

- George Karimalil

IN-HOUSE

LIGHTER SIDE

TO

DAD

WITH

LOVE!

A father passing by his son's bedroom was astonished

to see the bed nicely made and everything spick and
span. Then he noticed an envelope propped up on the
pillow. It was addressed, "Dad". With trembling hands,
he opened the envelope and read.

- Laxmi Narayana, Deputy Manager (Finance and

Accounts), Clarion Power married Laxmi Aparna on 19
May 2005.
- Mohd Raheemuddin, Office Assistant, LGL married
Rakhia Parveen Sultana on 28 May 2005.
- Venugopalam M, Deputy Manager, Internal Audit, LGL
married Vijaya Laxmi on 29 May 2005.
- Prasad M, PS to Director-Finance, LGL married Nalini
on 1 June 2005.
- P Subrahmanyam, Senior Network Engineer, LGSL
married Sarada Priyadarsini on 16 June 2005.

PS: Dad, none of the above is true. I'm over at the

neighbour's house. I just wanted to remind you that
there are worse things in life than my report card that's
in on my desk. I love you! Call when it is safe for me to
come home.

LINKS JULY 2005

Dear Dad, Its with great sorrow that I'm writing to you.
I had to elope with my new girlfriend because I wanted
to avoid a scene with mom and you. I've been finding
real passion with her and she is so nice. But its not only
the passion Dad, she is pregnant. Even though you
don't care for her as she is so much older than I, she
already owns a farmhouse near the woods. She wants
to have many more children with me and that's now
one of my dreams too. In the meantime, we'll pray that
science will find a cure for AIDS so she can get better
and she sure deserves it! Don't worry Dad, I'm 15 years
old now and I know how to take care of myself.
Someday I'm sure we'll be back to visit, so you can get
to know your grandchildren. Your son Rahul

23
- BV Ramana Reddy, Sr Manager (Planning), LITL was
blessed with a baby boy on 30 April 2005.