GMR Power Shares Price up by 20% on government order for 75 lakh smart meters in UP

GMR Power and Urban Infra Ltd, a subsidiary of GEPL, rose sharply in Friday's trade amid heavy volumes. GMR Power and Urban Infra share price jumped by 20% and hit the upper price band of Rs 24.14, before later reducing its gains. It closed with a 9.10%  increase at Rs 21.95. Trading volume was remarkably high, with around 43.23 lakh shares exchanged on the BSE, well above the two-week average of 1.83 lakh shares.

The total turnover on the counter amounted to Rs 10.09 crore, resulting in a market capitalization of Rs 1,324.89 crore.

Following an announcement that the company's subsidiary, GMR Smart Electricity Distribution Pvt Ltd (GSEDPL), had secured a project to implement a smart metering system in specific regions of Uttar Pradesh, including Varanasi, Azamgarh, Prayagraj, Mirzapur, Agra, and Aligarh, the stock price rose sharply.

The project involves the installation, integration, and maintenance of 75.69 lakh smart meters over a period of ten years.

The Advanced Metering Infrastructure (AMI) Project intends to employ cutting-edge technologies and software solutions to automate system management. It includes smart meter supply, installation, integration, commissioning, operation, and maintenance.

This project carried out under the Revamped Distribution Sector Scheme (RDSS), is projected to reduce distribution losses while also improving operational efficiency and revenue collection for UP Discoms.