The financial statements have been prepared in accordance with
 applicable Accounting Standards notified by the Companies Accounting
 Standards Rules, 2006 and the relevant requirements of the Companies
 Act, 1956. Significant accounting policies applied in preparing and
 presenting these financial statements are set out below:
 
 1) BASIS OF ACCOUNTING
 
 The financial statements are prepared under historical cost convention
 on accrual basis of accounting and on a going concern basis.
 
 2) REVENUE RECOGNITION
 
 2.1 Revenue from contracts is recognised on the percentage completion
 method based on billing Schedules agreed with the client-on a
 progressive completion basis. Material and resources supplied by client
 are included as cost of construction and as revenue at market price.
 Price escalation claims and additional claims including those under
 arbitration are recognised as revenue when they are reasonably
 ascertained.
 
 2.2 Revenue from sale of goods is recognized when all significant risks
 and rewards of ownership are transferred to the buyer (usually at the
 point of dispatch to customers). Sales are net of return and exclusive
 of value added tax.
 
 2.3 Income from wind energy and equipments hiring & management are
 recognized on accrual basis.
 
 2.4 Other Incomes are accounted for on accrual basis except where the
 receipt of income is uncertain.
 
 2.5 Accounting for Joint Venture Contracts
 
 (a) Contracts executed in Joint Venture under work sharing arrangement
 (consortium) are accounted for in accordance with the accounting policy
 followed by the company as that of each independent contract to the
 extent of work is executed by the company.
 
 (b) In respect of contracts executed in Integrated Joint Venture under
 profit sharing arrangement ( assessed as AOP under Income Tax laws),
 the services rendered to the joint venture are accounted as income on
 the accrual basis.  The profit / loss is accounted for, as and when it
 is determined by the Joint Venture and the net investment in the joint
 venture is reflected as investments, loans & advances or current
 liabilities.
 
 3) FIXED ASSETS
 
 Fixed Assets are stated at cost of acquisition or construction less
 accumulated depreciation and impairment loss if any.
 
 4) DEPRECIATION
 
 Depreciation is provided on the basis of Straight Line Method as per
 the rates prescribed in Schedule XIV to the Companies Act, 1956.
 Depreciation on addition/disposals during the year is provided for on
 pro-rata basis.
 
 5) IMPAIRMENT
 
 Fixed Assets are tested for impairment if there is any indication of
 their possible impairment. An impairment loss is recognized where the
 carrying amount of a fixed asset (or cash generating unit) exceeds its
 recoverable amount, i.e.  higher of value in use and net selling price.
 Impairment loss recognized in one year can get reversed fully or partly
 in subsequent years.
 
 6) CAPITAL WORK IN-PROGRESS
 
 Costs of assets not ready for use before the year-end and advances paid
 towards the acquisition of fixed assets are included under Capital
 Work-in-Progress.
 
 7) BORROWING COST
 
 Borrowing costs that are attributable to the acquisition of qualifying
 assets are capitalized as part of cost of such assets till such time
 assets become ready for their intended use. All other borrowing costs
 are charged to Profit & Loss Account.
 
 8) INVESTMENTS
 
 Investments are classified into long-term investments and current
 investments. Long-term investments are stated at cost. Provision for
 diminution in the value of a long-term investment is made on individual
 investment basis if such diminution is other than temporary. Current
 investments are carried at the lower of cost and fair value and
 provisions are made to recognize the decline in the carrying value.
 
 9) INVENTORIES
 
 Materials, work in progress, finished goods and stores & spare parts
 are valued at the lower of cost and net realizable value. Cost of
 inventories is ascertained on the weighted average cost method. Trading
 inventories are valued at cost or market value which ever is lower.
 
 10) FOREIGN EXCHANGE TRANSACTIONS
 
 Transactions in foreign currency are recorded at the exchange rates
 prevailing at the dates of the respective transactions. In the case of
 foreign currency denominated monetary assets and monetary liabilities,
 relating to import of materials, the loss or gain arising from
 restatement at the balance sheet date / settlement is charged or
 credited to the profit & loss account, except Foreign Currency Exchange
 Fluctuation arising on account of FCCB''s issued by Company during 2007
 has been accounted for as per Notification dated March 31, 2009
 pertaining to Accounting Standard (AS 11) issued by the Ministry of
 Corporate Affairs. Accordingly foreign currency exchange fluctuation
 attributable to depreciable assets has been adjusted to carrying cost
 of respective assets and depreciated as per said notification. Foreign
 Currency Exchange Fluctuation on other items has been debited /
 credited to Foreign Currency Monetary Item Translation Difference
 Account and has been charged to profit and loss account as per said
 notification.
 
 11) EMPLOYEE BENEFITS
 
 i) Contribution to Provident Fund, a defined contribution plan, is
 accounted for on accrual basis. The Company continues to make
 contributions to provident fund plan administered by the Government of
 India.
 
 ii) The liability of the company for leave encashment, a defined
 retirement benefit plan, is determined by actuarial valuation carried
 out by an independent actuary as at the Balance Sheet date using
 projected unit credit method.
 
 iii) The liability of the company for gratuity, a defined retirement
 benefit plan, is determined by actuarial valuation carried out by an
 independent actuary as at the Balance Sheet date using projected unit
 credit method.
 
 12) TAXES ON INCOME
 
 Income taxes are computed using the tax effect accounting method where
 taxes are accrued in the same period as the related revenue and
 expenses to which they relate. The differences that exist between
 profit offered for income tax and the profit before tax as per
 financial statements are identified and deferred tax assets or deferred
 tax liabilities are recorded for timing differences, namely,
 differences that originate in one accounting period and are capable of
 reversal in future. Deferred tax assets and liabilities are measured
 using tax rates and tax laws enacted or substantively enacted by the
 balance sheet date.
 
 Deferred tax assets are recognized only if there is reasonable
 certainty that they will be realized. If the company has unabsorbed
 depreciation or carried forward losses under taxation laws, a much
 stricter test, viz, virtual certainty of realisation is to be applied
 for recognition of any deferred tax assets. Deferred tax assets are
 reviewed for the continuing appropriateness of their recognition as
 assets at each balance sheet date and written down or written-up to
 reflect the amount that is reasonably /virtually certain (as the case
 may be) of realization.