Bharat Heavy Electricals Ltd (BHEL) and the Italian power major, Ansaldo, are in the race for supplying boilers to Neyveli Lignite Corporation’s Tuticorin project. The value of the order would be around Rs 1,300 crore.
A joint venture of Neyveli Lignite Corporation (NLC) and the Tamil Nadu Industrial Development Corporation (TIDCO) of the Tamil Nadu Government is investing Rs 4,950 crore in the 1,000-MW, coal-fired thermal project. NLC has 89 per cent stake in it.
BHEL wins Rs 1,150 cr contract in Punjab from HPCL, Mittal
The value of boilers and turbines for the project works out to around Rs 2,200 crore. NLC invited ‘expression of interest’ for each equipment. BHEL was the sole respondent for supplying the turbines, whose value would be around Rs 900 crore. BHEL and Ansaldo have shown interest in supplying the boilers.
“We will shortly open the technical bids, after which we will open the financial bids,” V Sethuraman, Director-Power, NLC, told Business Line today.
NLC’s Chairman and Managing Director, S Jayaraman, said that the project would not use supercritical boilers, which, though costlier, are said to be more energy efficient.
The Tuticorin project is NLC’s first foray into coal-fired power plant and as such the company would not like to go in for the supercriticals, whose performance is yet to be experienced in India, he said.
However, for the other project on the drawing board — the 2,000-MW Hirma project in Orissa — NLC may opt for supercritical boilers, he said.
Jayaraman said that the Chinese power equipment manufacturers had not responded to NLC’s invitation for Expression of Interest.
Sources in the company said that this was probably because the Chinese suppliers are experts only in producing equipment for 600 MW units, where they are cheaper because of the standardised design.
ref:
http://sify.com/finance/fullstory.php?id=14682474
Showing posts with label more orders. Show all posts
Showing posts with label more orders. Show all posts
Tuesday, May 27, 2008
Thursday, April 3, 2008
Bhel net rises 17%, plans greater role in nuclear segment
Spurred by a jump in orders, India’s largest power equipment maker Bharat Heavy Electricals Ltd (Bhel) on Thursday reported a 17% growth in net profit for the fiscal year 2007-08 compared with the previous year.
Its net profit was Rs2,815 crore compared with Rs2,415 crore a year ago. The company’s order book rose 41% to Rs50,265 crore and turnover was up 15% at Rs21,608 crore, its highest till date.
“There is a shortage of raw materials, problems in supply chain management and availability of skilled manpower. However, our projects in the 11th Plan period (2007-12) will be on time as we have taken advanced manufacturing action and ordered raw materials,” said K. Ravi Kumar, chairman and managing director.
However, power sector analysts say Bhel will not be able to sustain a growth trajectory in the long term because of increasing competition.
“Bhel will increasingly witness competition from overseas firms, particularly Chinese suppliers. When China’s domestic demands are met, these firms will start dumping in the Indian market as they will have an immense cost advantage,” said a New Delhi-based analyst, who did not want to be identified.
Bhel remains unfazed and proposes to introduce thermal power generator units with new capacities of 270MW, 525MW and 600MW to counter the Chinese threat.
“We are ready to take on international competition,” said Kumar.
He, however, admitted that since the yuan is undervalued, there will be pressure from Chinese companies such as Dongfang Electric Corp. Ltd, Shanghai Electric Power Co. Ltd and Harbin Power Equipment Co. Ltd.
“Currency fluctuation will hurt our margins to a certain extent. However, 40% of our contracts are covered for price fluctuations,” Kumar added.
To meet the increasing demand, Bhel plans to hire around 20,000 employees over the next five years that could even include lateral recruitment.
In another development, Bhel is in talks with Reliance Power Ltd (RPL) of the Reliance-Anil Dhirubhai Ambani Group for supplying equipment to the two 4,000MW projects of RPL at Sasan in Madhya Pradesh and Krishnapatnam in Andhra Pradesh.
The company will also start making, in a venture with Nuclear Power Corp. of India Ltd (NPCIL), nuclear-powered turbines and generators with capacities of 1,000MW and 1,600MW. It may also take up engineering, procurement and construction activities in the nuclear power sector.
“We, along with NPCIL, may also partner with an overseas technology provider for the nuclear power business. We are open to even giving them equity.”
Bhel has an annual manufacturing capacity of making power equipment that have a total capacity of 10,000MW, which the company plans to raise to 15,000MW a year by December 2009.
source:
http://www.livemint.com/2008/04/04004721/Bhel-net-rises-17-plans-grea.html
Ramesh
Human Search Engine
http://www.alluwanted.com
Its net profit was Rs2,815 crore compared with Rs2,415 crore a year ago. The company’s order book rose 41% to Rs50,265 crore and turnover was up 15% at Rs21,608 crore, its highest till date.
“There is a shortage of raw materials, problems in supply chain management and availability of skilled manpower. However, our projects in the 11th Plan period (2007-12) will be on time as we have taken advanced manufacturing action and ordered raw materials,” said K. Ravi Kumar, chairman and managing director.
However, power sector analysts say Bhel will not be able to sustain a growth trajectory in the long term because of increasing competition.
“Bhel will increasingly witness competition from overseas firms, particularly Chinese suppliers. When China’s domestic demands are met, these firms will start dumping in the Indian market as they will have an immense cost advantage,” said a New Delhi-based analyst, who did not want to be identified.
Bhel remains unfazed and proposes to introduce thermal power generator units with new capacities of 270MW, 525MW and 600MW to counter the Chinese threat.
“We are ready to take on international competition,” said Kumar.
He, however, admitted that since the yuan is undervalued, there will be pressure from Chinese companies such as Dongfang Electric Corp. Ltd, Shanghai Electric Power Co. Ltd and Harbin Power Equipment Co. Ltd.
“Currency fluctuation will hurt our margins to a certain extent. However, 40% of our contracts are covered for price fluctuations,” Kumar added.
To meet the increasing demand, Bhel plans to hire around 20,000 employees over the next five years that could even include lateral recruitment.
In another development, Bhel is in talks with Reliance Power Ltd (RPL) of the Reliance-Anil Dhirubhai Ambani Group for supplying equipment to the two 4,000MW projects of RPL at Sasan in Madhya Pradesh and Krishnapatnam in Andhra Pradesh.
The company will also start making, in a venture with Nuclear Power Corp. of India Ltd (NPCIL), nuclear-powered turbines and generators with capacities of 1,000MW and 1,600MW. It may also take up engineering, procurement and construction activities in the nuclear power sector.
“We, along with NPCIL, may also partner with an overseas technology provider for the nuclear power business. We are open to even giving them equity.”
Bhel has an annual manufacturing capacity of making power equipment that have a total capacity of 10,000MW, which the company plans to raise to 15,000MW a year by December 2009.
source:
http://www.livemint.com/2008/04/04004721/Bhel-net-rises-17-plans-grea.html
Ramesh
Human Search Engine
http://www.alluwanted.com
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