Alstom, BHEL may tie up for locomotives facility

French power equipment maker Alstom is looking at a tie-up with Indian power equipment major Bharat Heavy Electrical Ltd (BHEL) for manufacturing locomotives for the Railways.

Alstom is also building a manufacturing facility in Chennai to supply coaches for the Chennai Metro, which would be commissioned in the next two years.

"The Chennai manufacturing facility will be completed by early 2013," Alstom chairman and CEO Patrick Kron said today.

Alstom already has an agreement with BHEL and Nuclear Power Corporation of India (NPCIL) for production of equipment for new nuclear power projects coming up in India.

The locomotive joint venture, if it goes through, would be the French company's second joint venture with BHEL.

"For refurbishment or new loco projects we intend to go with a local partner," Kron said. Without naming the likely partner, Kron said, BHEL is the only company that is in the business in the country at present.

Alstom is also in talks with an Indian company for setting up a wind power equipment manufacturing facility in the country, he said. He did not name the company or the proposed location of the project.

"We are looking at a possibility to build wind power equipment manufacturing unit here," Kron said, adding, Alstom already has a 1.6-3 MW wind turbine manufacturing capacity manufacturing facility in the US.