In one of the biggest public-private partnership initiative, Tata Power (TPL) will enter into an agreement with state-owned Bhel for sourcing equipment for all its future power projects. This would be the first time a private sector company placing a bulk order for a series of power projects with Bhel.
Speaking to FE, Ravi Kumar, chairman and managing director, Bhel, said a memorandum of understanding (MoU) to formalise the arrangement will be signed shortly between the two Companies.
Kumar said Bhel was also talking with Reliance Power for supplying equipment for its 4,000 mw ultra mega power project at Krishnapatnam in Andhra Pradesh. To begin with, Tata Power would source equipment for a capacity of around 5,000 mw from Bhel through the negotiated route.
The list of power projects under discussions includes the 2000-2400 mw Dehrand thermal power project in Maharashtra, the 1800 mw Maithon thermal project in West Bengal, the 540 mw Naraj Marthapur project in Orissa and the 100 mw Bhira hydro power project in Maharashtra, Kumar said.
He said Bhel is executing the 250 mw Trombay and 1050 mw Maithon power projects of Tata Power. For most of the mega capacity projects like the Dehrand and Maithon power projects, Bhel has offered its 600 mw thermal sets.
Commenting on the development, the minister of state for power Jairam Ramesh said, “I welcome such partnerships as Bhel is the domestic leader in the power equipment business and should be strengthened. A similar mega sized deal is also underway between Reliance Power and Bhel. A team from Reliance Power met me last week and desired to join hands with Bhel for the EPC contract for its Rs 17,000-crore Krishnapatnam project. Such deals will also help in cutting down cheap imports from China, which has affected the growth of the capital goods sector.”
Alongside, the Cabinet is soon expected to clear the proposal for awarding a huge bulk order of around 8000 mw of supercritical sets of NTPC with Bhel on a negotiated basis.
Ramesh said the government doesn’t favour putting Bhel under the adverse competition originating from imports of plant packages, and is taking a protective stand. A policy directive making domestic manufacturing compulsory for all foreign equipment suppliers will be issued shortly.
Source:
http://www.financialexpress.com/news/Tata-Power--Bhel-to-sign-long-term-sourcing-deal/299547/
Showing posts with label power plant. Show all posts
Showing posts with label power plant. Show all posts
Sunday, April 20, 2008
Saturday, April 19, 2008
Centre wants BHEL norms, local machines in power plants
The Centre will try to standardise power projects to ensure that only technologies proven in Indian conditions are used, Minister of State for Power and Commerce Jairam Ramesh said here today.
Hinting at a move against imports of entire plants, he said power projects with imported equipment are not proving viable. “We found that 20 per cent of the 78,000 mw capacity to be added during the 11th Plan period will have the main plant package imported from China. But the machinery from China already used in West Bengal’s Sagardighi and Durgapur has proved inefficient in operating with Indian coal, which has a high ash content,” he said.
The government-owned Bharat Heavy Electricals Ltd, which had a monopoly when imports were not allowed, has been unable to meet the demand for power plant equipment.
Last year, Union power minister Sushil Kumar Shinde had said Bhel had been asked to compete for new projects via open global tenders. This had opened the floodgates to Chinese manufacturers.
“BHEL has proved (itself) with 500 mw plant packages and we are insisting that the BHEL standard should be implemented in all Indian power projects,” Ramesh said.
He made clear that the government is not eager to put BHEL under the adverse competition.
While BHEL is increasing its equipment-making capacity from the current 10,000 mw to 15,000 mw by 2011, Larsen & Toubro is setting up a facility of 4000 mw capacity per annum at Hazira.
Alstom and Alsando are already negotiating with the government for boiler making units and the proposed joint venture of power utility NTPC Ltd and BHEL of 4000 mw capacity will be commissioned by 2012.
Ramesh said orders have already been placed for 71,000 mw, but given India’s long-term power demand projection, orders for 25,000-30,000 mw have to be placed every year. The new manufacturing units will be able to make timely delivery of these orders, he said.
Union power minister Sushil Kumar Shinde had earlier told The Indian Express that China has five or six companies meeting the annual capacity addition of nearly 60,000 mw and India needs to learn from the China experience and have more manufacturers to support its power programme.
source;
http://www.expressindia.com/latest-news/Centre-wants-BHEL-norms-local-machines-in-power-plants/298856/
Hinting at a move against imports of entire plants, he said power projects with imported equipment are not proving viable. “We found that 20 per cent of the 78,000 mw capacity to be added during the 11th Plan period will have the main plant package imported from China. But the machinery from China already used in West Bengal’s Sagardighi and Durgapur has proved inefficient in operating with Indian coal, which has a high ash content,” he said.
The government-owned Bharat Heavy Electricals Ltd, which had a monopoly when imports were not allowed, has been unable to meet the demand for power plant equipment.
Last year, Union power minister Sushil Kumar Shinde had said Bhel had been asked to compete for new projects via open global tenders. This had opened the floodgates to Chinese manufacturers.
“BHEL has proved (itself) with 500 mw plant packages and we are insisting that the BHEL standard should be implemented in all Indian power projects,” Ramesh said.
He made clear that the government is not eager to put BHEL under the adverse competition.
While BHEL is increasing its equipment-making capacity from the current 10,000 mw to 15,000 mw by 2011, Larsen & Toubro is setting up a facility of 4000 mw capacity per annum at Hazira.
Alstom and Alsando are already negotiating with the government for boiler making units and the proposed joint venture of power utility NTPC Ltd and BHEL of 4000 mw capacity will be commissioned by 2012.
Ramesh said orders have already been placed for 71,000 mw, but given India’s long-term power demand projection, orders for 25,000-30,000 mw have to be placed every year. The new manufacturing units will be able to make timely delivery of these orders, he said.
Union power minister Sushil Kumar Shinde had earlier told The Indian Express that China has five or six companies meeting the annual capacity addition of nearly 60,000 mw and India needs to learn from the China experience and have more manufacturers to support its power programme.
source;
http://www.expressindia.com/latest-news/Centre-wants-BHEL-norms-local-machines-in-power-plants/298856/
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