Thursday, October 30, 2008

Chinese company to set up power production facility in India

Press Trust of India / New Delhi October 30, 2008

Chinese power equipment maker Dong Fang Electric Corp today said it will build a production facility in India, although a parliamentary committee had said that no Chinese firm is manufacturing here, but only supplying equipment.

"We have always been interested in setting up a facility here but were unable to do so due to some limitations," a senior Dong Fang Electric official said adding that land acquisition was one of the many limitations faced by them.

Minister of State for Power Jairam Ramesh, had earlier, said in Parliament, "As per Central Electricity Authority (CEA), no Chinese firm is setting up power projects here, they are supplying equipment and carrying out engineering procurement and construction contracts in the country."

The company, which is scouting an Indian partner for setting up the facility, has shortlisted a few locations.

"The manufacturing facility would be set up here very soon... We would not come here alone," a senior Dong Fang Electric official said without divulging further details.

CEA has set up a committee, whose terms and reference relate to design features of boilers and auxiliaries being sourced from China.

The committee brought out that there is a need to have due diligence during stage of specification, finalisation and detailed engineering by the utilities.

A detailed comprehensive plan for ensuring quality at work needs to be defined and implemented for each major system.