Bharat Forge, Alstom forge power equipment alliance

Tue, Jul 1 02:05 AM

India's largest auto ancillary company Bharat Forge and French company power equipment giant, Alstom are planning to set up a joint venture company for manufacturing power equipment, Minister of State for Power Jairam Ramesh said today. "This is the third manufacturing facility on the horizon.

The joint venture partners are scouting for a site in India and are expected to add about 4000 to 5000 mega watts of power equipment. This will take up the power equipment manufacturing facility to about 25,000 megawatt by the beginning of the 12 Five year Plan," Ramesh said at a power sector conference.

The other two power equipment makers being state-owned BHEL which plans to ramp up its manufacturing facility to 15,000 mega watt and joint venture of private power equipment maker Larsen and Tubro and Mitshubishi that are expected to add about 5000 mega watt of power by 2012. Earlier in February, Bharat Forge had signed an agreement for jointly manufacturing forgings, castings, casings, fittings and high-pressure pipes for power and other industries, balance of plant equipment for the power sector.

The government is looking at a 14 per cent contribution from the private power sector companies as it plans to add about 79,000-mega watt by the end of Five Year plan that comes to an end in 2012.

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