About Parth Electricals & Engineering Limited
BUSINESS OVERVIEW
Parth Electricals & Engineering Private Limited was established in 2007, transitioning from a proprietorship started in 2005 by Mr. Jigneshkumar Gordhanbhai Patel, an Electrical Engineering graduate from Sardar Patel University, after professional stints at Jyoti Ltd. and Siemens. The company was founded with the vision of becoming a reliable and quality supplier and service provider in the power sector, focused on safe and precise current and voltage control solutions.
Initially engaged in power distribution and transmission services, the company leveraged on-ground insights to launch its first manufacturing facility in 2009 in Gujarat, specializing in medium voltage (MV) panels. Over two decades, Parth Electricals has emerged as a key player in the urban power distribution segment, with expertise in low voltage equipment manufacturing and comprehensive service capabilities.
The company operates a 176,000 sq. ft. facility spread over 4.05 acres in GIDC Industrial Estate, Manjusar, Vadodara, housing modern infrastructure for the in-house production of RMUs, MV panels, E-Houses, Control & Relay Panels, Smart City RMUs, CSS, PSS, Earth Link Boxes, and HV metering panels. The facility is ISO 9001:2015, ISO 14001:2015, and ISO 45001:2018 certified, and equipped with CNC machines, robotic welding systems, and automated quality control mechanisms.
Parth Electricals has a technology transfer agreement with Schneider Electric Industries SAS, authorizing the manufacture, assembly, testing, marketing, and sale of Schneider’s type-tested RMUs and CSS/PSS. It also serves as a contract manufacturing partner for MV panels for Schneider Electric. Critical raw materials are sourced directly from Schneider Electric Infrastructure and other trusted suppliers, supported by a well-managed supply chain ecosystem.
A team of dedicated engineers develops customized solutions ranging from 415V to 33kV electrical panels, and protection relay control panels up to 132kV. The company has served over 100 clients across industries such as Oil & Gas, Cement, Steel, FMCG, Automobiles, including names like Aditya Birla, Ultratech Cement, L&T, RIL, Adani, Tata Power, BHEL, Siemens, GFL, and Jindal Steel & Power.
As of July 14, 2025, the company holds an order book of ₹123.20 crore, scheduled for execution in FY 2025-26, as certified by the Statutory Auditor. Notable milestones include technical training in China for HV GIS systems in 2016 and specialized training from Pfisterer Ixosil AG, Switzerland for five team members.
Parth Electricals is also engaged in industry-focused knowledge building through structured training modules for EPC teams, sales & marketing professionals, and technical personnel, covering installation, operation, maintenance, and safety of RMUs, CSS, MV switchgear, and panels—strengthening its position as a technology-driven and quality-oriented enterprise in India’s power distribution landscape.
As on March 31, 2025, the company have the total strength of 244 Employees in various department. The Bankers to the company are Canara Bank and ICICI Bank.
INDUSTRY ANALYSIS
Overview of India’s Power Sector
India, one of the world’s largest economies, boasts a liberalized power market that spans generation, transmission, distribution, and the sale of electricity. The sector plays a crucial role in driving economic growth, with India ranking among the top power generators and consumers in the Asia-Pacific region. Historically, fossil fuels such as coal and natural gas have dominated the energy mix. As of October 2023, fossil fuels contributed over 56% of total electricity generation, with coal alone accounting for nearly 49%.
While renewable energy sources—including solar, wind, and hydro—now make up around 41.4% of the energy mix, coal-fired plants are expected to retain their dominance in the short term. Nevertheless, India is undergoing a rapid transformation, influenced by population growth, urbanization, and rising industrial activity. Over the last decade, the country has seen a steady transition from fossil fuels to natural gas and renewable sources.
Recognizing the urgency of sustainability, the Indian government has prioritized clean energy adoption, targeting 40% of power generation from non-fossil sources by 2030. Key initiatives, such as the Ujwal Discom Assurance Yojana (UDAY), have been instrumental in enhancing the financial health of distribution companies (DISCOMs) and reducing power losses. Rural electrification efforts, subsidies for green energy projects, and the National Smart Grid Mission further reinforce the government’s push for a modern, resilient power infrastructure.
Growth Drivers and Power Generation Trends
India is the third-largest electricity producer and consumer globally, and the increasing energy demand reflects its economic and demographic momentum. This demand surge is met with aggressive capacity expansion across both conventional and renewable segments. From 2014 to 2023, India’s total power generation capacity grew by over 70%, reaching 425,536 MW by October 2023, up from 248,554 MW in March 2014. Notably, this includes 97,501 MW in conventional and 96,282 MW in renewable capacities.
The energy deficit has sharply narrowed—from 4.2% in FY14 to just 0.3% in FY24—highlighting significant strides in infrastructure development. However, challenges such as financially stressed DISCOMs and state-level transmission inefficiencies persist.
To accommodate future demand, the Ministry of Power has charted a roadmap for augmenting capacity to 464,124 MW by 2031-32, comprising ongoing projects like thermal (27,180 MW), hydro (18,033 MW), nuclear (8,000 MW), and renewables (78,935 MW). These efforts are complemented by the creation of ultra mega renewable parks and green energy corridors, with 13 renewable energy management centers already operational.
Transmission and Distribution Progress
India’s transmission network has significantly expanded, from 291,336 circuit kilometers in FY14 to 476,547 circuit kilometers by October 2023, ensuring better integration of new generation capacities. Distribution infrastructure has also received a boost, with government-backed investments worth ₹1.85 lakh crore over the past decade. As a result, rural power availability rose to 20.6 hours in 2023, from just 12 hours in 2015, while urban areas averaged 23.6 hours.
The Revamped Distribution Sector Scheme (RDSS) aims to address aggregate technical and commercial (AT&C) losses, pushing for smart metering, infrastructure upgrades, and financial reforms. Despite progress, AT&C losses remain high by global standards, and inter-state disparities continue to impact efficiency. The government is considering legislation to allow multiple DISCOMs in a single territory, enabling consumer choice and competition, which would significantly improve service standards and efficiency.
Clean Energy Transition
The transition to clean energy is a central pillar of India’s climate strategy, given the global urgency to limit temperature rise to 1.5°C. India has committed to 500 GW of non-fossil fuel capacity by 2030, with over 18.48 GW added in FY24 alone. Ambitious programs like the National Green Hydrogen Mission and Green Energy Corridor (GEC) projects are strengthening the nation’s green energy backbone.
Technological solutions such as energy storage systems are critical to mitigating the intermittency of renewable sources. Policies like the Perform Achieve and Trade (PAT) scheme, corporate net-zero targets, and advancements in electric mobility and agriculture electrification all support India’s broader decarbonization journey.
Electrical Control Panel and Switchgear Industry
India’s electrical equipment market is poised for robust growth, projected to expand at a CAGR of 11.68% between 2022 and 2027, with a total market increase of USD 52.97 billion. This growth is fueled by the rising demand for electricity, expansion of renewable energy, and a surge in infrastructure and building projects.
The switchgear segment, especially low-voltage (LV) switchgear, is rapidly evolving. As per Frost & Sullivan, the LV switchgear market in India, valued at ₹12,000 crore in 2022, is expected to grow at over 5% CAGR. These systems are becoming smarter, enabling predictive maintenance and reducing system failures.
Gas Insulated Switchgear (GIS) is another booming segment, valued at USD 24 billion in 2023, with global growth forecast at 8.1% CAGR till 2032. In India, the GIS market is expected to grow over 10%, driven by urbanization, compact designs, and renewable integration. However, environmental concerns around SF6 gas leakage pose regulatory challenges, pushing the industry to innovate SF6-free alternatives.
Ring Main Units (RMU): Critical for Grid Modernization
The Ring Main Unit market, valued at USD 3 billion in 2023, is expected to grow at 7.9% CAGR through 2032. RMUs play a pivotal role in managing peak loads, ensuring energy security, and supporting micro-grid development in urban and rural areas alike. The rise in public-private partnerships and growing emphasis on grid modernization will further accelerate RMU adoption. Particularly, air-insulated RMUs are gaining popularity for their ease of installation, operational flexibility, and cost-effectiveness.
The Road Ahead
India's electricity sector is on the brink of a transformational decade, driven by robust demand, policy support, and a clear focus on clean energy. The Central Electricity Authority (CEA) projects the country's power requirement to reach 817 GW by 2030. The energy mix is expected to shift significantly, with renewable energy’s share rising from 18% to 44%, and thermal power reducing from 78% to 52% by 2029-30.
India’s vision is twofold: to ensure universal access to reliable electricity and to accelerate its clean energy journey. With focused investments, structural reforms, and technological innovation, India is well-positioned to lead a sustainable energy revolution.
BUSINESS STRENGTHS
1. Commitment to Quality Assurance
Operations are backed by ISO certifications (ISO 9001:2015, ISO 14001:2015, ISO 45001:2018), reflecting adherence to stringent quality management systems and alignment with international standards.
2. Strategic OEM Collaborations
Partnerships with Original Equipment Manufacturers, including Schneider Electric Infrastructure, enable direct billing, bulk procurement, and assured supply of high-quality raw materials. These tie-ups strengthen procurement efficiency and reinforce cost competitiveness.
3. Targeted Marketing and Customization Capabilities
A technically proficient marketing team identifies market demands and customer-specific needs, enabling product customization across varied industry segments. This approach enhances market reach, fosters customer loyalty, and supports diversification efforts.
BUSINESS STRATEGIES
1. Expansion of Manufacturing Capabilities
New manufacturing units are being set up in Vadodara (Gujarat) and Odisha, along with a Skill Development and Training Center at the existing Manjusar facility. Product diversification includes 33KV Gas Insulated Switchgears (GIS), 33KV Ring Main Units for domestic and export markets, and UL-approved Low Voltage Intelligent Motor and Power Control Centers targeting the US and Canada.
2. Export-Led Growth Strategy
International expansion is a key focus, particularly in the US and Canadian markets, known for advanced electricity distribution infrastructure. The goal is to achieve 20% revenue from exports in the coming years. A $4.8 million order from Mesabi Metallics Company LLC (USA) marks a significant step in this direction. The strategy includes collaborating with existing players by offering high-quality products and services.
3. Introduction of Value-Added Products
With strong industry credentials and a history of premium service delivery, the company is expanding into value-added offerings. A Technology Transfer Agreement with Beijing Hezong Science and Technology Co. Ltd enables manufacturing of 11KV to 40.5KV GIS and 33KV RMUs, targeting domestic utilities and industries. This move is expected to boost margins and broaden product capabilities.
4. Strengthening Service Vertical
While manufacturing has grown rapidly, the service segment remains a foundational pillar. Leadership development and customer satisfaction have driven repeat business with minimal sales personnel. Plans are underway to expand the marketing and sales team to further promote products and services.
5. Sustainability Through Refurbishment
A strong focus on sustainability is reflected in the refurbishment of used/discarded RMUs. By reusing viable components from old units, fully functional RMUs are manufactured, significantly reducing costs for clients and promoting environmental responsibility. This initiative positions the company as a pioneer in eco-friendly product lifecycle management.
BUSINESS RISK FACTORS & CONCERNS
1. Industry Dependence Risk
A substantial portion of revenue is tied to the electrical industry, particularly the power generation and distribution sectors. Any slowdown in this industry due to economic conditions, regulatory shifts, or declining demand may adversely affect business operations and financial performance.
2. Customer Concentration Risk
A significant share of revenue is generated from a few key customers. Any reduction in business from these clients could materially impact revenues and operational stability.
3. Product Concentration Risk
More than 50% of total sales are derived from a single product, the Ring Main Unit (RMU). Heavy dependence on one product exposes the business to risks related to market demand shifts, technological changes, and competitive pressures. Declining RMU demand could significantly affect profitability.
4. Geographical Concentration Risk
Sales are largely concentrated in specific regions. Economic, competitive, or demographic changes in these areas could negatively impact revenue and growth prospects.
5. Supplier and Raw Material Risk
Operations rely heavily on specific raw materials—such as tanks for RMUs, CTs, PTs, and metal sheets—and a limited number of suppliers. The absence of long-term contracts increases vulnerability to price volatility and supply disruptions, which could impact manufacturing and overall business performance.
Summary :
Parth Electricals & Engineering Pvt. Ltd. operates in a specialized segment of the electrical equipment industry. The company’s revenue is concentrated in a specific product category, limited customer base, and particular geographies. It is also exposed to supply chain vulnerabilities and industry cyclicality, all of which pose potential risks to its operational and financial performance.
