Power equipment major Bharat Heavy Electricals Ltd (BHEL) will invest around Rs 75 crore in its Bangalore-based divisions to augment its manufacturing capacity from 15,000 Mw to 20,000 Mw by 2011-12. The expansion has been geared to support its outstanding order book which stands at Rs 6,384 crore, a growth of 16 per cent over last year.
The company’s divisions in Bangalore include the Electronics Division (EDN), Industrial Systems Group (ISG) and Ceramic Business Unit (CBU).
“The outstanding order book will enable the Bangalore-based divisions of the company to achieve 13-16 per cent growth in the coming year,” said G Ganapathiraman, executive director, EDN and ISG, BHEL.
He said the company’s focus on creation of additional infrastructure, manufacturing and testing facilities as well as human resource were progressing as per plans. Around 90 per cent of the expansion is likely to be in the EDN.
For year-ending 2010, the company’s Bangalore-based divisions have recorded a turnover of Rs 2,405 crore, up 13 per cent over last year where EDN has grown by 16 per cent and ISG and CBU divisions by 9 per cent each. The EDN has recorded a turnover of Rs 1,487 crore, ISG reported Rs 601 crore and CBU ended at Rs 317 crore.
Export turnover of the company crossed Rs 1,053 crore. The company is expecting this to grow significantly on the back of international orders received from countries like Belarus, Iraq, Bhutan and the Democratic Republic of Congo.On the domestic front, the company has projects from companies like Jaypee Power Ventures, Videocon Pipavav Energy, NTECL, PGCIL and Essar Projects.
The company had last year announced a joint venture with Bharat Electronics Limited (BEL) for setting up a 250 Mw solar photovoltaic production facility for processing silicon wafers, solar cells and PV modules.
“The venture is on the cards. We have to identify a site along with BEL. We are still looking at options,” said Ganapathiraman.
The EDN has secured a turn-key order from KPCL for setting up a 3 Mwp (peak) grid interactive solar power plant at Yapaladdini village in Raichur district.
BHEL, according to officials, would also be looking at introducing new technologies in control And instrumentation, gas turbine controls, transportation and non-conventional energy sectors.
