State-run BHEL is facing an “alarming situation” in the absence of new orders from the much-delayed power projects, despite an existing order book of Rs 1.30 lakh crore, according to a government official.
The company conveyed its concerns recently to the Heavy Industry Ministry, the official said.
The order flow has been hurt in recent times in the wake of multiple power sector problems. From 2011-12 onwards, issues of coal linkages, finances and delays in environment clearances are impacting the power sector.
The official said no new orders are coming up while existing projects —— that have been finalised —— are going slow or put on hold in the wake of financial constraints. In the wake of these problems, BHEL is finding it difficult to proceed with many of the projects, he added.
According to the official, BHEL informed the Ministry that “It is an alarming situation not only for BHEL because the company has expanded the capacity, taken number of people, but also for downstream industries of BHEL“.
The company raked in a net profit of Rs 7,039 crore on a turnover of Rs 49,244 crore in the last financial year. During the same period, the entity’s net worth stood at Rs 25,373 crore.
Keywords: BHEL, alarming situation, new orders, existing projects, environment clearances, power sector
Comments:
When the going gets tough, the tough gets going. INNOVATE.The R&D
department should now get busy than ever before. Do "value
engineering" for anything that is being made. Set tough objectives :
Can BHEL ship Boiler-Turbines to China beating them in their own den?
Transfer technology to manufacturers in countries that need them. Use
the huge pool of technical skills & infrastructure and come up with
products that can make the everyday life of Indians easy and help
raise their quality of life. Make dredging equipment that can clean up
our thousands of lakes, ponds and river beds economically. Have
devices made by the thousands that can manually sweep our roads and
beaches clean. Innovate on creating pumped storage projects using sea
water. Develop bicycle operated devices to pump up the water MANUALLY.
Under the food-for-work programme thousands of people BPL can earn too
for every cubic metre of water pumped - for creating a huge source of
pollution free power source. BHEL can do it.
Well said in above comments. Also, industry should come up with such equipments which will convert mechanical or other human action to electricity and have the unskilled / semi-skilled operate it so that much needed electricity can be produced, thereby solving two problems in one stroke...electriciy will get produced and people will have employment.
Gandhi wanted every village provided with electriciy. Now though many villages have electricity connection, they do not get adequate supply of power.... Such a disastrous condition resulting in reduced industrial activity in several districts are shriking the GDP and no serious action is taken by Central and State Govts.
Power Equipment manufacturing is environment risky. As done earlier BHEL has switch over to other alternatives like Locomotives and METRO Coaches. Entering China's den is very difficult considering the productivity &overheads .Domestically BHEL has not been able tp match DONGFO Electric.BHEL R7D efforts so for abysmal.BHEL does not have alternatives as they have thinking POWER as the CORE buisiness for half a century.For the power shotages prevailing in the country BHEL is also equally responsible delivery delays & slippages in commissioning units.Not only BHEL is going to suffer but ancillaries depending on BHEL orders wil be worst hit. This is high time to have concrete diversication pla for such eventualirties which is unaviodal in a global market.
V.Sridharan
TRICHY
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