Konstelec Engineers Limited, a well-established engineering and infrastructure company, has been awarded a major contract worth ₹25 crore by Ajmer Vidyut Vitran Nigam Limited (AVVNL). This contract pertains to the segregation of 11KV mixed feeders in the Rajsamand Circle of the Ajmer Discom, a key power distribution company in Rajasthan. The order marks a notable development in the company’s expanding footprint in India’s power distribution infrastructure sector.

Nature and Scope of the Project

The awarded work involves the execution of infrastructure works aimed at segregating 11KV mixed feeders in Rajsamand. This type of segregation is vital for enhancing power supply efficiency, reducing line losses, and ensuring dedicated feeder management for agricultural and residential consumers.

The segregation of mixed feeders essentially means splitting one common feeder that serves multiple types of consumers—typically agricultural and non-agricultural—into separate, dedicated feeders. This ensures:

• Improved power quality for non-agricultural users

• Better load management

• Enhanced control over power theft and distribution losses

Such initiatives align with India’s broader energy reform objectives, particularly in states like Rajasthan that are undertaking massive rural electrification and infrastructure strengthening programs.

Details of the Contract

According to the company’s disclosure:

• Awarding Entity: Ajmer Vidyut Vitran Nigam Limited

• Corporate Identification Number (CIN): U40109RJ2000SGC016482

• Headquarters: Vidyut Bhawan, Panchsheel Nagar, Makarwali Road, Ajmer, Rajasthan

• Nature of Work: Execution of works related to distribution infrastructure for segregation of 11KV mixed feeders

• Location: Rajsamand Circle, Rajasthan

• Contract Size: ₹25 crore (inclusive of all taxes and GST)

• Duration: To be completed in 18 months from the date of issuance of the Letter of Intent (LOI) dated 24th April 2025

Compliance and Transaction Nature

The company clarified that:

• This contract is awarded by a domestic entity

• There is no interest of promoters or promoter group companies in the awarding entity

• The transaction does not qualify as a related party transaction

This ensures transparency and reinforces the company's commitment to ethical contracting practices.

Impact on Konstelec Engineers

This order is a strong addition to Konstelec Engineers’ project portfolio, signaling robust growth prospects in the Indian power infrastructure space. Here’s how this win may affect the company:

• Strengthens presence in Rajasthan, a key state for power infrastructure investments

• Boosts order book value, offering consistent revenue flow over the next 18 months

• Enhances technical credentials in executing high-quality distribution work in geographically diverse locations

Rajasthan: A Hotspot for Power Distribution Modernisation

Rajasthan is among the Indian states actively investing in modernising its power distribution networks. The Ajmer Discom, under AVVNL, has been at the forefront of implementing feeder separation projects under government-aided schemes such as RDSS (Revamped Distribution Sector Scheme).

Feeder separation allows for:

• Reliable power to farmers during scheduled hours

• Round-the-clock power to households and businesses

• Cost-efficiency in power purchase and transmission

By winning this project, Konstelec Engineers aligns itself with government-backed development goals, ensuring future visibility in similar public sector projects.

About Ajmer Vidyut Vitran Nigam Limited (AVVNL)

AVVNL is a state-owned power distribution company in Rajasthan responsible for distributing electricity to various regions including Ajmer, Bhilwara, Chittorgarh, Rajsamand, and nearby districts. It plays a crucial role in ensuring power accessibility and reliability in both urban and rural Rajasthan.

About Konstelec Engineers Limited

Konstelec Engineers Limited is known for its diversified portfolio in electrical, mechanical, instrumentation, and automation projects across industrial, power, and infrastructure sectors. The company has built a reputation for:

• Delivering timely and quality-driven solutions

• Working with state utilities, government undertakings, and private sector leaders

• Contributing significantly to India’s Make in India and Digital India initiatives through electrical infrastructure upgrades

Future Outlook

This ₹25 crore contract sets a promising tone for the company’s future, as it reflects stakeholder trust, technical reliability, and capability to deliver on large-scale government projects. Given India’s push towards improving energy infrastructure in Tier 2 and Tier 3 cities and rural areas, Konstelec Engineers is expected to be a key beneficiary.

Furthermore, successful execution of this contract may serve as a stepping stone to more lucrative contracts from other state utilities, potentially expanding the company's reach to other northern and western Indian states.

Conclusion

Konstelec Engineers’ new order win from Ajmer Vidyut Vitran Nigam Limited is not just a ₹25 crore boost to its revenue pipeline but a strong indicator of its growing dominance in India’s power distribution sector. With the government focusing on energy reforms and digitalisation of power infrastructure, Konstelec is well-positioned to leverage future opportunities.

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