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Past. BHEL and its contributions to Power Sector 3. Power Sector Issues Related to Equipment 4. Indian Power Sector .1. Major Concerns for Domestic Industry 2 . Present and Future 2. Steps taken by BHEL 5. Steps taken by other agencies 6.

In 90s.Electricity Act 2003 period BHEL’s Capacity and Loading • Orders on BHEL remained far below BHEL’s installed Capacity during VIII.245 MW) – no indication of improvement in success rate till enactment of Electricity Act 2003.110 MW) similar to IXth Plan (40. • • 3 .Pre. IX Plan and initial X Plan period. economy opened up with substantial incentives by the Government to attract Foreign/ Private developers and power equipment manufacturers further threatened already under-utilized domestic equipment manufacturing capacities. Targets for X Plan (41.

Post . Equipment Supply to power projects 4 . Capacity augmentation schemes immediately taken up in BHEL based on MOP/ CEA’s projections.Electricity Act 2003 period BHEL’s Capacity Augmentation Various initiatives by Ministry of Power and enactment of Electricity Act 2003 and notification of Electricity Policy provided clearer road map for Country’s Accelerated Capacity Addition Programme with higher confidence to Manufacturers and suppliers.

• Inadequate deployment of construction machinery. 5 . • Delay and non-sequential supply of material for Main Plant and BoPs.contd. • Delay in creation of infrastructure facilities. • Shortage of fuel (Gas & Nuclear).mainly Civil Works & BOPs. • Delay in Land Acquisition. • Contractual disputes. Reasons for delay in 11th Plan projects • Delay in placement of orders .CEA Conclave on Key Inputs – 2009 Status of Implementation Of 11th Plan. • Shortage of skilled manpower for erection and commissioning..

6 . • Manufacturers of Main Plant to develop ancillary units/ vendors commensurate with capacity addition.Critical Issues Discussed in the Conclave Related to Equipment • Promoting indigenous manufacturing of Boilers and Turbines. deliveries to be sequential. • In view of acute shortage of Erection/ Commissioning Agencies for executing Civil and Mechanical works. to discuss how to attract more agencies. • Need to attract more vendors in BOP. • Advance procurement action for long lead items like Forgings and castings.

• Transportation Facilities. 7 . engineering and approval time for drawings thus reducing construction period of power plants. • Improvement of infrastructural facilities to speed up project implementation . • Major EPC Contractors should necessarily have construction machinery of their own and not leased ones. Also to play a proactive role in building of large skilled manpower. • Standardization: This would help in reducing design.Critical Issues Discussed in the Conclave Related to Equipment • IT based monitoring for projects .ways to achieve this.

• Latest Technology Options:  Need to develop a Road Map for incentivising efficient technologies in Generation.Critical Issues Discussed in the Conclave Related to Equipment • There is need to create indigenous capacity for long lead items such as Castings and Forgings for Turbines & Generators. Promoting new technologies with reduced water requirement. P-91 piping and CRGO sheet steel for transformers. Committee by CEA. Boiler quality plates. • Latest technologies need to be adopted to optimize on the use of Land and Water. Transmission and Distribution.  Technologies for minimizing consumptive water requirement by adopting Air Cooled Condensers and Hybrid Systems for Cooling at Thermal Power Stations. 8 . • Acquisition of Energy assets abroad by CPSUs/ Industry.

Steps taken by other agencies 6. BHEL and its contributions to Power Sector 3. Power Sector Issues Related to Equipment 4. Major Concerns for Domestic Industry 9 .Past. Present and Future 2. Steps taken by BHEL 5. Indian Power Sector .1.

STEPS TAKEN BY BHEL TO MEET ENHANCED CAPACITY ADDITION REQUIREMENT 10 .

 Adopting repeat design of a typical standard unit in line with Chinese Model.  Standardization measures initiated to reduce cycle time.  Empanelling more fabrication vendors and upgrading existing vendors capability.  Delivery of Piping  Additional suppliers for Fittings identified to ensure timely delivery of Piping.Initiatives taken to meet challenges Supply Chain Management (SCM) Initiatives:  Outsourcing: Enhanced thrust is being given for outsourcing of low technology/ non-core manufacturing. Layout of Boiler Island piping Utility requirement of Boiler Auxiliary Pipe sizes 11 .

Recruitment cycle reduced from 8-10 months earlier to 3-3 ½ months now. West Bengal in partnerships with DVC. 12 • . New windows opened for intake • Lateral recruitment of experienced persons • Direct Campus recruitment • Special recruitment for difficult sites in North East and J&K. Welding Research Institute at Trichy being leveraged to train high pressure welders of contractors. • Re-employment of executives who had earlier resigned. • Skills Development: • BHEL has taken a stake in ITI in Kabiguru Industrial Training Centre at Bolpur.Initiatives taken to meet challenges HR Initiatives: • • In last two years BHEL has added 8500 persons (ETs. STs & Artisans). Programmes at Trichy as well as 4 PSRegional offices. CIL and Sriniketan Shantiniketan Development Authority. Shantiniketan.

Steps taken by BHEL 5. Present and Future 2. Indian Power Sector . Power Sector Issues Related to Equipment 4.1. BHEL and its contributions to Power Sector 3.Past. Major Concerns for Domestic Industry 13 . Steps taken by other agencies 6.

CII has organised number of dialogue with specific industry groups and interested entrepreneurs. • Regional level meetings – interactions with industry to sensitize them of huge requirement of Power Sector and to encourage new vendors. 14 . • Task Force formed 7 Nos. CEA and CII to coordinate with industry regarding various inputs for power sector.Follow-up of International Conclave on Key Inputs • Task Force formed comprising MoP. Specialized Subgroups formed to assess 11th Plan requirement and constraints being experienced and suggestions for removing them.

Manufacturing capacity planned by New Ventures ….contd  Some other new manufacturers have built up/ are planning to build up manufacturing capacity for manufacture of supercritical boilers in technical collaboration with overseas manufacturers • Thermax in collaboration with Babcock-Wilcox • Cethar Vessels in collaboration with Riley Power • BGR Energy in collaboration with Foster Wheeler  Action has been initiated by L&T and Bharat Forge for castings & forgings 15 .

including port handling facilities for equipment and fuel’ as a key issue 13th Plan and beyond will have only Super-critical and ultra super-critical thermal sets. Advance class Gas turbines.Transportation • • CEA Conclave in August 2009 has identified ‘Development of transportation facilities. which have to be sent in fully assembled condition and hence. Due to their enormous weight road and bridges of sufficiently high strength to with-stand their weight required. • 16 . weigh very high and require road and bridges of high strength. Transportation facilities including dedicated freight corridor. port handling capacity. Such situation to be avoided in future. Due to the dimensions constraint all 800 MW sets and many 660 MW set will have to be necessarily transported by road. • • Generator Stator of Sipat Project from the Russian manufacturer was held up at highway between Mumbai and Nasik for more than 3 months as the Highway was not fit for transportation of the Generator Stator. facilities for equipment and fuel need to be enhanced to commensurate with planned capacity addition.

Concerns for Domestic Players • In addition to BHEL. L&T. JSW etc. • • • Equipment Supply to power projects 4th Dec 2009 17 . based on the encouragement from Government. Therefore. Additional Capacity of BHEL and capacities of new manufacturers provides adequate manufacturing capacity in the country as well as competition to each other to offer the best technology and products. a level playing field is required to be provided to Indian manufacturers so that the facilities being set up by them are adequately loaded. are reportedly setting-up of manufacturing facilities and acquiring technology for Power Plant Equipment. many other manufacturers like Bharat Forge. The additional domestic capacities thus being created involves huge investments.

THANK YOU 18 .