BHEL loses 18000 MW of equipment orders to Chinese firms
18 August 2008
Mumbai: State-run power equipment supplier BHEL is unable to explain the loss of orders for 18000 MW worth of equipment orders to Chinese companies.
Competition from private sector companies in the country can be explained but losing orders to to Chinese companies is really bad, says its chairman and managing director K Ravi Kumar.
''I don't mind competition from private domestic players, but I feel bad if the order is won by any Chinese company," he said.
BHEL also lost an order for supplying 800 MW super critical technology to Andhra Pradesh Generation Company (APGENCO) to domestic company L&T-Mitsubishi Heavy Industries.
Ravi Kumar attributed the loss to the changes in the tender norms that disfavoured BHEL against its Chinese competitors. Also, he said, India strictly follows international bidding norms, which China seldom honours.
''We have expertise for supplying equipments for 250 and 500 MW but in between suddenly the norms were changed to 300 and 600 MW only to accommodate Chinese firms. But this norm has now been removed," Ravi Kumar pointed out.
BHEL lost orders worth 18,000 MW of equipment from private players in the process, he said.
BHEL, which has joined hands with French equipment maker Alstom for manufacturing 800 MW in the super-critical technology, is bidding aggressively and is hoping to get orders in this in the near future.