India Electrical Equipment: Investor Feedback: Addressing the Four Key Investor concerns

Research evidence excerpt

India Electrical Equipment: Investor Feedback: Addressing the Four Key Investor concerns

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01 Jul 2026 17:22:21 ET │ 22 pages

India Electrical Equipment

Investor Feedback: Addressing the Four Key Investor concerns

CITI'S TAKE

Anusha Madireddy AC

We summarize key investor discussion points and debates following our Jun +91-22-6175-9866

3rd Initiation on India Power T&D OEMs (India Electrical Equipment - The anusha.madireddy@citi.com

Missing Link: Transmission at the Center of Energy Transition; Initiate on

POWERIND, GVTD, CGPI and ENRIN). Investor discussions have centered Mohit Pandey

on four key debates — HVDC conversion risks, execution of FY36 targets, +91-22-6175-9734

margin sustainability, and valuations. Our analysis suggests that the mohit.pandey@citi.com

outlook remains constructive: most HVDC projects are likely to remain

unchanged, credible execution of FY36 targets - backed by strong history,

resilient margins, and valuations remain attractive given the high growth

visibility.

HVDC to HVAC- The Conversion question — While 2 of the 15 HVDC projects

identified have been converted to HVAC, we believe most of the remaining 13

projects are likely to retain their HVDC configuration. The key reason is the

concentration of future renewable capacity (64% in Rajasthan and Gujarat),

requiring transmission of large power blocks over long distances. From a technical

perspective, HVDC offers significantly higher transfer capability and more efficient

corridor utilization; achieving a similar ~6 GW evacuation capacity using HVAC could

require ~ 3x the right-of-way, given the decline in safe loading limits with distance.

Consequently, we expect HVDC to remain the preferred technology, especially for

the projects in Rajasthan.