Atul Punj, the Chairman of Punj Llyod Ltd“ a diversified international conglomerate offering EPC services in Energy and Infrastructure “ was in Kathmandu recently on the invitation of Entrepreneurs Organisation. A US$ 2.4 billion turnover company, Punj Llyod Group has built projects across the world and continues to provide integrated design, engineering, procurement, construction (EPC) and project management services for the energy, infrastructure and petrochemical sectors. In an interview with New Business Age, Punj talked about his company's possibilities of working in Nepal. Excerpts:

 

What's the purpose of your visit to Nepal this time?

This is actually my first visit to Kathmandu. I was invited here by the Entrepreneurs™ Organisation to speak on entrepreneurship. It also gives me an opportunity to explore and get a feel of the city and the country and see what's happening.

 

Could you please elaborate on Punj Lloyd's business activities?

We cover everything from urban infrastructure to expressways. We operate through our twenty international offices and entities across the Middle East, the Caspian, Asia Pacific, Africa, South Asia, China and Europe. The ideology is that we move into a country and localise operations there as quickly as possible. We make sure that we are seen as a local company rather than a foreign entity that has come in only to explore business opportunities. So, we invest a lot of time and money in training people and imparting specialised skills.

 

Our Group's three brands - Punj Lloyd and PL Engineering headquartered in India and Sembawang Engineers & Constructors in Singapore, each with their own subsidiaries and joint ventures, converge to offer complementary services, rich experiences and the best practices from across the globe. We offer EPC solutions across a wide spectrum of businesses: pipelines, tanks, terminals, refineries, power plants, airports and rail transit systems among others.

 

What are the key strengths of your group? What sets you apart from your competitors?

The key strengths would be our varied experience and rich knowledge of local conditions. Ours is a 23,000 strong skilled multicultural workforce that has the experience of working in different geographies and diverse terrain. We set high standards of health, safety, quality and environment and have received accolades and recognitions from industry bodies and clients.

 

We have the ability to manage operations in diverse industries and economies, long-term relationships with world-class clients and mobilising financial resources. The huge fleet of equipment Punj Lloyd owns gives the company an edge over its competitors.

 

Punj Lloyd is said to be committed to the cause of community enrichment. How do you go about achieving that?

In our pursuit of business, we endeavour to uplift the communities where we operate. Social and environmental concerns are closely interwoven in Punj Lloyd Group's core practices and decision making. From providing education to many underprivileged children through its own school to enriching the lives of thousands of workers at its sites, we are committed to the cause of community enhancement.

 

A number of construction and infrastructure related projects in Nepal are being talked about of late. What has kept Punj Lloyd from getting involved so far?

I think the major reason for this has been the political instability here. Nobody knows which direction the country is heading towards. Hopefully, things will settle down sooner or later. The opportunities are definitely very large particularly in the hydropower area. Highway is another huge opportunity. We will look into it and see how we can take advantage of these.

 

How do you view the current business environment of Nepal? What areas of feasible business opportunities do you see for your company here?

I think the opportunities for businesses in this country will be largely based on political stability. Of course, there is a lot of investment and capital required to get the economy back to a position of strength. There is immense hydroelectricity potential in Nepal. The opportunity to produce and export power to India and other countries in the region is enormous. So, the relevance of hydropower is quite natural to us.

 

It might interest you to know that most projects in Nepal face local opposition. How do you handle such situation in locations that you have been working?

Well, it's no different in India either. Any vibrant democracy which is developing has the same people power issue. Building roads, land acquisition etc are critical issues to deal with. It's important to talk to the local population and make them understand the benefits that the project will bring to them. For instance, you can build schools and primary healthcare centres for them and also offer employment.

 

I think communities do understand that projects can make a contribution towards their development. We have learnt this over the years and therefore, we have an excellent track record for successful completion of projects within tight schedules. This lends credibility to the Group and encourages clients to trust it with repeat orders.

 

Are you looking at possibilities of partnering the Chaudhary Group here? Is there a certain time period you are looking at to commence operations in Nepal?

Everything is open right now. We are looking at opportunities depending on how they unfurl. We hope to start sometime within this year depending on how soon we can formalise things.