Bharat Heavy Electricals Ltd (BHEL) would focus more on manufacturing and supply of super critical boilers in the 13th five year plan, from 2012 to 2017, according to a senior official from Thiruchirapalli unit of the power equipment manufacturer. A strategic plan for the year 2012-17 is on the anvil and the company started discussion on the plans based on annual projection and needs of the market.
The company has so far bagged seven orders for super critical boilers, which are designed to perform under high pressure, including orders for three 800 MW, one 700 MW and three 660 MW units. It is also in talks with the Dainik Bhaskar group, already a customer for its 600 MW boiler, to supply 660 MW super critical boilers, said A V Krishnan, executive director, BHEL Tiruchirapalli complex.
“We are expecting eight to ten projects in super critical boiler supply in the current fiscal. In fact, in the entire 13th five year plan we will have more focus on super critical boilers,” said Krishnan.
He further added that the company, in next five to six years, would also be entering into ultra supercritical boilers supply. It is in talks with NTPC and Indira Gandhi Centre for Atomic Research (IGCAR) to develop its first ultra super critical boiler by 2017.
BHEL R&D Gateway at Indian Institute of Technology, Madras (IITM) would promote research in ultra super critical power cycles and high temperature materials. The ultra super critical boilers would be designed to operate at a temperature of 700 degree centigrade. However, there is a 25 per cent increase on price of pressure parts of the super critical boilers, which are mostly imported. The Indian industry should set up facilities in the country to manufacture those parts to reduce the price pressure, he said.
The unit has completed two phases of capacity expansion by 2010-11 and would complete the third phase of expansion by March 2012, increasing the capacity of the unit to 15,000 MW per annum, making the total capacity of BHEL nationwide to 20,000 MW.
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The unit has also plans to set up solar power plants to manufacture around 2 MW, with Rs 14-15 crore investment per MW. It has also plans to add 2,000 more people to its current manpower of 10,500 in next one year.
It has invested around Rs 270 crore for the fiscal year 2010-11 and is planning to invest Rs 400 crore this fiscal for capacity expansion. Out of this, around Rs 250 crore would be invested on the Thirumayam boiler piping plant, which has a total project outlay of Rs 690 crore. The piping facility, with a capacity of 30,000 tonnes of boiler pipes per annum, is expected to be operational by January 201, said Krishnan.
The unit has clocked in a profit before tax of Rs 3,250 crore for the fiscal year 2010-11, as compared to Rs 2,813 crore posted during the previous fiscal, an increase of 15.54 per cent.
It reported a turn over of Rs 12,275 crore for the fiscal year 2010-11, an increase of 22.63 per cent when compared to Rs 10,009 crore during the previous fiscal year. It is expecting to reach Rs 16,000 crore turnover for the fiscal year 2011-12, with a growth of 30 per cent, subject to the market conditions, said Krishnan.
During the fiscal year, the unit secured orders worth Rs 15,631 crore, making the total outstanding orders at Rs 39,121 crore.