The Hindu Business Line : Metso to design CFBC boiler for Indian power sector

Chennai, July 11 With a joint venture for ‘knowledge process outsourcing’, Finnish power and engineering major Metso has got its toe into the Indian market, but the €9 billion group is looking for a number of other opportunities as well.

On Friday, Metso formally signed a joint venture agreement with the Chennai-based EPT Engineering Services. The venture will provide engineering and design services for Metso group worldwide.

CBFC Boilers

Metso Power AB produces industrial and power boilers, mainly of the CFBC (circulating fluidised bed combustion) variety. These boilers are primarily used to burn fuels of less calorific value or those that contain pollutants—the technology makes way for contained combustion and removal of pollutants in solid form.

But in India, CFBC boilers are used for burning coals of low calorific value and other fuels such as lignite. In fact, the demand for these boilers is still emerging. For instance, Neyveli Lignite Corporation is only now putting up it first CFBC.Metso has an eye on this market. Mr Lennart Ohisson, President, Metso Power AB, said its R&D is working on making products suitable for India. But even when ready, Metso is not likely to enter India with a manufacturing unit. The company would prefer to sub-contract manufacturing and that too, without licensing technology, he said.

EPC Contracts

Interestingly, Mr Ohisson feels that ‘EPC contracts’—where a company undertakes to do the entire engineering, procurement and construction of a project—is not quite the way to go about it. He says the “EPC wave is today at its peak” but will die down, because EPC contracts load up costs. It would be easier for companies to do implement the project themselves, perhaps with the help of consultants.

The joint venture of Metso and EPT, Metso Power India Pvt Ltd, will function out of a new facility in Guindy, Chennai. Initially, it would employ 50 people; this number would treble in three years, Mr Ohisson said.

More Stories on : Alliances & Joint Ventures | Electrical Goods | Power

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Cos likely to get more time for filing results

NSL Cotton Corpn moots integrated project

Doing away with wages for rest day unwarranted, says HC

BHEL-NTPC joint venture to firm up biz plan

Metso to design CFBC boiler for Indian power sector

IICT, Evolva sign research agreement

ONGC enters 1st gas sales pact for coal-bed methane

Rusni, Prithvi Bio sign pact

ONGC in tree plantation project

Italian firm MTS eyes water heating segment