a) Method of Accounting
 
 The Accounts have been prepared on accrual basis under historical cost
 convention in accordance with the Generally Accepted Accounting
 Principles in India and the provisions of the Companies Act, 1956.
 
 b) Use of Accounting Estimates
 
 The preparation of financial statements in conformity with GAAP
 requires that the management makes estimates and assumptions that
 affect the reported amounts of assets and liabilities and disclosure of
 contingent liabilities as at the date of financial statements and the
 reported amounts of revenue, expenses and provisions etc., during the
 reported period. Actual figures could differ from those estimates.
 
 c) Fixed Assets And Depreciation
 
 Fixed Assets are stated at cost of acquisition, or construction
 including any attributable cost of bringing the assets to its working
 condition for its intended use less accumulated depreciation.
 Depreciation is provided on Written Down Value method at the rates
 prescribed in Schedule XIV to the Companies Act, 1956 except for plant
 & machinery in the case of KNT-01, AP-7 and OR- 07 projects which are
 depreciated under SLM method based on the useful lives of the same. The
 management has estimated the useful life of the plant & machinery.
 
 Assets costing up to Rs. 5,000 are depreciated fully in the year of
 purchase.
 
 d) Borrowing Costs
 
 Borrowing Costs that are directly attributable to the acquisition or
 the construction of a qualifying asset is capitalized for the period
 until the asset is ready for its intended use. A qualifying asset is
 one that necessarily takes substantial period of time i.e., more than
 12 months to get ready for intended use. All other borrowing costs are
 charged to revenue.
 
 e) Impairment Of Assets
 
 The carrying amount of assets, other than inventories is reviewed at
 each balance sheet date to determine whether there is any indication of
 impairment. If any such indication exists, the recoverable amount of
 the assets is estimated. The recoverable amount is the greater of the
 asset''s net selling price and value in use which is determined based on
 the estimated future cash flow discounted to their present values. An
 impairment loss is recognized whenever the carrying amount of an asset
 or its cash generating unit exceeds its recoverable amount.  Impairment
 loss is reversed if there is a change in the estimates used to
 determine the recoverable amount.
 
 f) Investments
 
 Investments are classified as long term and current investments. Long
 Term Investments are carried at cost less provision for permanent
 diminution, if any, in value of such investments. Current investments
 are carried at lower of cost and fair value.
 
 g) Inventories
 
 Raw Materials, construction materials and stores & spares are valued at
 weighted average cost. Cost excludes refundable duties and taxes.
 
 h) Employee Benefits
 
 A) Short Term Employee Benefits :
 
 Short term employee benefits are recognized in the period during which
 the services have been rendered.
 
 B) Long Term Employee Benefits :
 
 i) Gratuity
 
 The provision for gratuity is made based on valuation done by the
 independent actuaries
 . The company has taken Group Gratuity
 Policy of L.I.C of India and premium paid is recognized as expenditure
 when it is incurred.  Actuarial gains and losses in respect of gratuity
 are charged to profit and loss account.
 
 ii) Provident Fund
 
 Contributions to Provident Fund (a defined contribution plan) are made
 to Regional Provident Fund Commissioner and are charged to revenue.
 
 iii) Other Benefits
 
 Leave Encashment, Service Compensation, Bonus, and medical
 re-imbursement are accounted on cash basis.
 
 i) Share Issue Expenses
 
 Share issue expenses are written off over a period of 10 years.
 
 j) Revenue Recognition
 
 Fixed price contracts received up to March 31, 2003 Contract revenue is
 recognized by applying percentage of completion to the contract value.
 Percentage of completion is determined as a proportion of the progress
 billing to contract value.
 
 Fixed price contracts received on or after April, 1, 2003
 
 Contract revenue is recognized using the percentage completion method.
 Percentage of completion is determined as a proportion of cost incurred
 to date to the total estimated contract cost. Full provision is made
 for any loss in the year in which it is foreseen.
 
 k) Joint Venture Projects
 
 In respect of Joint Ventures which are jointly controlled entities
 (JCE), the company''s share in JCE profit is taken as income. The
 company''s share of turnover in JCE is added to the turnover of the
 Company to arrive at the overall company''s exposure to work contracts.
 Investments in joint ventures are stated at cost with adjustment to
 respective share of profit / loss in JCE.
 
 l) Foreign Exchange Translation And Foreign Currency Transactions
 
 Transactions in foreign currencies are recorded at the exchange rates
 prevailing on the date of the transaction.  In respect of monetary
 items denominated in foreign currencies, exchange differences arising
 out of settlement or on conversion at the closing rate are recognized
 in the profit and loss account.
 
 Monetary assets and liabilities related to foreign currency
 transactions remaining unsettled at the end of the year are translated
 at year end rates. The difference in translation of monetary assets and
 liabilities and realised gains and losses on foreign exchange
 transactions are recognized in the Profit and Loss Account.
 
 Foreign branches are classified as non-integral foreign operations.
 Assets and Liabilities (both monetary and
 
 non-monetary) are translated at the closing rate at the year end.
 Income and expenses are translated at the monthly average rate at the
 end of the respective month.  All resulting exchange differences are
 accumulated in a separate account titled ‘Foreign Currency Translation
 Reserve'' till the disposal of the net investments.
 
 m) Taxes
 
 Provision for current tax is made based on the liability computed in
 accordance with the relevant tax rates and tax laws applicable.
 Provision for deferred tax is made for timing differences arising
 between taxable incomes and accounting income using the tax laws and
 tax rates enacted or subsequently enacted as of the balance sheet date.
 Deferred Tax Assets are recognized only if there is a virtual certainty
 that there will be sufficient taxable income in future.
 
 n) Earnings per Share (EPS)
 
 The Company reports basic and diluted earnings per share in accordance
 with Accounting Standard (AS) 20, Earnings Per Share notified by the
 Companies (Accounting Standards) Rules, 2006. Basic earnings per equity
 share is computed by dividing the net profit for the year attributable
 to the Equity Shareholders by the weighted average number of equity
 shares outstanding during the year. Diluted earnings per share is
 computed by dividing the net profit for the year, adjusted for the
 effects of dilutive potential equity shares, attributable to the Equity
 Share holders by the weighted average number of the equity shares and
 dilutive potential equity shares outstanding during the year except
 where the results are anti dilutive.
 
 o) Leases
 
 Lease rentals of Quarry Land is written off over the period of its
 useful life.
 
 Leasehold land rental charges is written off over the period of the
 lease.
 
 p) Provisions, Contingent Liabilities and Contingent Assets
 
 The Company recognizes provisions when there is present obligation as a
 result of past event and it is probable that there will be an outflow
 of resources and reliable estimate can be made of the amount of the
 obligation. A disclosure for Contingent liabilities is made in the
 notes on accounts when there is a possible obligation or a present
 obligation that may, but probably will not, require an outflow of
 resources. Contingent assets are neither recognized nor disclosed in
 the financial statements.