September 08, 2008

Areva India to double transformer capacity by 2010

BS reported that transformer manufacturer Areva T&D India Limited is looking at doubling its transformer capacity in India by 2010. It also expects exports to touch 22% next year from the current 10%.

Currently Areva has a capacity of 12000 MVA of power transformers and 3,000 MVA of distribution transformers. Once the expansion and new Greenfield plants are up and running, it will have a capacity of 30,000 MVA.

Mr SK Poddar chairman of Areva India, acknowledging the fact that 57% of the rural households and 12% of urban households do not have access to electricity, noted that the government’s vision of “Power For All by 2012” was driving large investments. He said that “A surge in the quality of life has also been boosting the momentum of consumption of industrial goods and eventually electricity. There is a peak demand shortage of around 12% and an energy shortage of 8%. To share the huge investment in generation has been an equitable need for private sector participation.”

He added that “Areva’s involvement here is strategic as at least 4 UMPP would be ordered in 2007-12 and 5 more during 2012-17.”

Areva’s sales turnover has shown an increase of 82% in 2007 as compared to 2005 and the operating profit recorded an increase of 187%. Areva T&D India is 72% owned by Areva T&D of France and has 4 different business divisions in India namely products, systems, automation and services.