SUMMER TRAINING REPORT On PROSPECTS OF TRANSMISSION & DISTRIBUTION EQUIPMENT MANUFACTURING IN INDIA Exploring the Business Opportunity in Manufacturing Sector At Feedback Infrastructure Services Private Limited JUNE-JULY, 2012 Under the Guidance of Mr. ANURAG RAIZADA Principal Consultant, Energy Division Feedback Infrastructure Services Private Ltd. Mr. J. S. S. RAO Principal Director National Power Training Institute Prepared By ABHINAV GUPTA Roll No. 1120812182 MBA - Power Management, Batch: 2011-13 NATIONAL POWER TRAINING INSTITUTE (NPTI),
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Prospects of T & D Equipment Manufacturing in India
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SUMMER TRAINING REPORT
On
PROSPECTS OF TRANSMISSION & DISTRIBUTION EQUIPMENT MANUFACTURING IN INDIA
Exploring the Business Opportunity in Manufacturing Sector
At
Feedback Infrastructure Services Private Limited
JUNE-JULY, 2012
Under the Guidance of
Mr. ANURAG RAIZADA
Principal Consultant, Energy Division
Feedback Infrastructure Services Private Ltd.
Mr. J. S. S. RAO
Principal Director
National Power Training Institute
Prepared By
ABHINAV GUPTA
Roll No. 1120812182
MBA - Power Management, Batch: 2011-13
NATIONAL POWER TRAINING INSTITUTE (NPTI), Faridabad
Submitted to
MAHARISHI DAYANAND UNIVERSITY, ROHTAK
DECLARATION
I, ABHINAV GUPTA, Roll No. 1120812182, student of MBA-Power Management (2011-13)
at National Power Training Institute (NPTI), Faridabad hereby declare that the Summer Training
Report entitled
“PROSPECTS OF TRANSMISSION & DISTRIBUTION EQUIPMENT
MANUFACTURING IN INDIA”
is an original work and the same has not been submitted to any other institute for the award of
any other degree.
A Seminar presentation of the Training Report was made on 29 th August, 2012 and the
suggestions as approved by the faculty were duly incorporated.
Presentation In-Charge Signature of the Candidate
(Faculty)
Countersigned
Director/Principal of the Institute
ii
ACKNOWLEDGEMENT
It’s my immense pleasure to present this report under the subject of ‘Prospects of Transmission
& Distribution Equipment Manufacturing in India’. I take this opportunity to express my
gratitude to the people who have been instrumental in the successful completion of the project.
I would like to express my sincere gratitude to Mr. Devtosh Chaturvedi, Director, Energy
Division and Mr. Anurag Raizada, Principal Consultant, Energy Division of Feedback
Infrastructure Services Private Limited for giving me an opportunity to work under their
guidance and a rare chance to work on a prominent project.
I would like to express my heartiest thanks to Mr. Dilip Behera, Consultant, Energy Division,
Feedback Infrastructure Services Private Limited for giving me a chance to work with him,
providing me with the necessary resources, ideas and facilitating me in this project.
I am also thankful to Mr. J.S.S. Rao, Principal Director, CAMPS (NPTI); Mr. S.K. Chaudhary,
Director, NPTI; for arranging my summer internship at Feedback Infrastructure Services Private
Limited. It’s my privilege to have Mr. J.S.S. Rao, Principal Director, CAMPS (NPTI) as my
internal project guide. He has been a constant source of motivation and guidance throughout
the course of my internship.
I also extend my thanks to all the faculties and my batch mates in CAMPS (NPTI), for their
support and guidance throughout the course of internship.
ABHINAV GUPTA
iii
TABLE OF CONTENTS
Sr. No. CONTENTS Page No.CERTIFICATE FROM INDUSTRY iDECLARATION iiACKNOWLEDGEMENT iiiTABLE OF CONTENTS ivLIST OF FIGURES viLIST OF TABLES viiABBREVIATIONS ixEXECUTIVE SUMMARY x
1 INTRODUCTION 11.1 Transmission & Distribution Equipment Industry 11.2 Problem Statement 21.3 Objective 21.4 Organization Profile 2
2 LITERATURE REVIEW AND RESEARCH METHODOLOGY 52.1 Literature Survey 52.2 Research Methodology 6
3 SCENARIO OF POWER SECTOR IN INDIA 73.1 Indian Power Sector 73.2 Power Sector Performance in 11th Plan 8
3.2.1 Capacity Addition: Generation 83.2.2 Transmission System in India 93.2.3 Capacity Addition: Transmission Lines 103.2.4 Capacity Addition: EHV Substations 123.2.5 Performance of Distribution Sector 143.2.6 Technological Development 16
3.3 Transmission & Distribution Sector in 12th Plan 183.3.1 Envisaged Growth in 12th Plan 183.3.2 Addition of Transmission Lines 203.3.3 Addition of Substations 213.3.4 Development of National Grid: Inter-State Transmission Capacity 223.3.5 Growth of Distribution Business 23
4 INDIAN ELECTRICAL T&D EQUIPMENT INDUSTRY 284.1 Industry Scenario 284.2 Cable & Conductor 30
4.2.1 Cable 304.2.2 Types of Cable 304.2.3 Conductor 314.2.4 Types of Conductor 314.2.5 Competitor Analysis 324.2.6 Financial Analysis 344.2.7 Industry Performance 354.2.8 Market Prospects 36
4.3 Transmission Tower 38
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4.3.1 Types of Transmission Tower 394.3.2 Competitor Analysis 414.3.3 Financial Analysis 454.3.4 Industry Performance 464.3.5 Market Prospects 47
4.4 Switchgear & Control Instruments 484.4.1 Constituents of Switchgear 484.4.2 Competitor Analysis 514.4.3 Financial Analysis 574.4.4 Industry Performance 574.4.5 Demand Segments 584.4.6 Market Prospects 60
4.5 Transformer 604.5.1 Major Components of Transformer 614.5.2 Market Analysis 644.5.3 Competitor Analysis 674.5.4 Financial Analysis 734.5.5 Growth in Market Size 734.5.6 Prospective Clients 744.5.7 Business Risk 75
4.6 Energy Meter 754.6.1 Types of Energy Meter 764.6.2 Competitor Analysis 804.6.3 Industry Performance 834.6.4 Market Prospects 84
5 CHALLENGES AND ISSUES 875.1 Increasing Imports: A Major Challenge 875.2 Critical Issues 88
6 CONCLUSION AND RECOMMENDATIONS 906.1 Business Opportunities 906.2 Cables 906.3 Conductors 906.4 Transmission Towers 916.5 Switchgears & Controls 916.6 Transformers 926.7 Energy Meters 92
BIBLIOGRAPHY AND REFERENCES 94ANNEXURE - I 96ANNEXURE – II 97
v
LIST OF FIGURES
NAME OF FIGURE Page No.Figure 1: Per Capita Yearly Electricity Consumption 8Figure 1: Trend in Transmission Line Growth 11Figure 2: Voltage Segmentation in Growth of Transmission Lines 12Figure 3: Trend in Substation Capacity Growth 13Figure 4: Voltage Segmentation in Growth of Substation Capacity 14Figure 5: AT&C Loss: Past Performance and Future Expectations 15Figure 6: Infrastructure Addition in 11th Plan 18Figure 7: Structure of T&D Network Planning 18Figure 8: Sourcing of Financial Investment 19Figure 9: Transmission Line Length (Ckm): Share of Voltage Level in Different Plans 20Figure 10: Substation Capacity (MVA): Share of Voltage Level in Different Plans 21Figure 11: Cumulative Growth of Inter-State Transmission Capacity (MW) 22Figure 12: Growth of T&D Lines below 66 kV 23Figure 13: Growth of (All) T&D Equipments Industry in India 28Figure 14: Growth of Major T&D Equipments in India 29Figure 15: Cable 30Figure 16: Cross Sectional View of Three Core Belted Cable 31Figure 17: Aluminum Conductor 31Figure 18: ACSR Conductor 31Figure 19: Cable Industry: Past Performance and Expected Market Size 37Figure 20: Conductor Industry: Past Performance and Expected Market Size 37Figure 21: Cable & Conductor: Export Trend 38Figure 22: Transmission Tower 39Figure 23: Waist Type Tower 40Figure 24: Double Circuit Tower 40Figure 25: Steel Tubular Pole 40Figure 26: Guyed-V Tower 41Figure 27: Tower Industry: Past Performance and Expected Market Size 47Figure 28: Switchgear: Circuit Breaker 48Figure 29: Oil Circuit Breaker 48Figure 30: Voltage Circuit Breaker 49Figure 31: Gas Circuit Breaker 50Figure 32: Current Transformer 51Figure 33: Voltage Transformer 51Figure 34: Export of Switchgear Instruments 58Figure 35: Switchgear Industry: Past Performance and Expected Market Size 60Figure 36: Transformer 61Figure 37: Transformer Windings 61Figure 38: Core 62Figure 39: Conservator Tank 62Figure 40: Radiator 62Figure 41: Buchholz Relay 63Figure 42: Bushings 63
vi
Figure 43: Demand Drivers fo Transformer 65Figure 44: Transformer Industry: Past Performance and Expected Market Size 74Figure 45: Energy Meter 75Figure 46: Electromechanical Meter 76Figure 47: Electronic Meter 77Figure 48: HTMD Meter 77Figure 49: Apex Meters 78Figure 50: LTCT Meter 78Figure 51: LT Whole Current Meter 79Figure 52: Prepaid Meter 79Figure 53: Running Cycle of Prepaid Meter 80Figure 54: Export of Electrical Meters 84Figure 55: Metering Industry: Past Performance and Expected Market Size 86Figure 56: CHINA: Import Trend of Electrical Equipments 87Figure 57: KOREA: Import Trend of Electrical Equipments 88
LIST OF TABLES
NAME OF TABLE Page No.Table 1: Snapshot: Indian Power Sector 7Table 1: Planwise Generation Capacity Addition 9Table 2: Growth of Transmission Lines (Ckm) 10Table 3: Growth of Substation Capacity (MVA) 13Table 4: 12th Plan: Investment Layout in Power Sector 19Table 5: Planned addition of Transmission Lines (Ckm) in 12th Plan (2012-2017) 20Table 6: Planned Addition of Substation Capacity in 12th Plan (2012-2017) 22Table 7: Distribution Sector: Network Enhancement in 12th Plan 24Table 8: AT&C Losses: Projected Performance 25Table 9: Transmission & Distribution Equipments 28Table 10: Sterlite Technologies Limited 32Table 11: JSK Industries Pvt. Limited 32Table 12: Diamond Power Infrastructure Limited 33Table 13: Deepak Cables (India) Limited 33Table 14: KEC International 34Table 15: Competitor Performance 34Table 16: Performance of Cable & Transmission Line Industry 35Table 17: Strategic Analysis 36Table 18: Voltage Segmentation of Power System 38Table 19: Kalpataru Power Transmission Limited 41Table 20: IVRCL 41Table 21: KEC International 42Table 22: Diamond Power Infrastructure Limited 42Table 23: Jyoti Structures Limited 43Table 24: Gammon India Ltd 43Table 25: Unitech Power Transmission Ltd 44
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Table 26: Aster Private Ltd 44Table 27: Man Structurals Pvt. Ltd 45Table 28: Competitor Performance 45Table 29: Performance of Transmission Line Industry 46Table 30: Strategic Analysis 46Table 31: Bharat Heavy Electricals Limited (BHEL) 51Table 32: Siemens India Limited 52Table 33: ABB Limited 53Table 34: Crompton Greaves Limited 53Table 35: Alstom (Areva) T&D India Limited 54Table 36: Biecco Lawrie Limited 55Table 37: Jyoti Limited 55Table 38: Vishal Transformers & Switchgears (P) Ltd 55Table 39: Heptacare Power Industries Pvt. Limited 56Table 40: Hivoltrans Electricals Pvt. Ltd 56Table 41: Kappa Electricals 57Table 42: Competitor Performance 57Table 43: Performance of Switchgear Industry 58Table 44: Strategic Analysis 59Table 45: Types of Transformer 61Table 46: Transformer: Domestic Demand Vs Supply 64Table 47: Performance of Transformer Industry 65Table 48: Transformer: Demand Creators 66Table 49: Transformer Exports from India 66Table 50: Transformer Industry: Prominent Players 67Table 51: Bharat Heavy Electricals Limited (BHEL) 67Table 52: Siemens India Limited 68Table 53: ABB Limited 68Table 54: Crompton Greaves Limited 69Table 55: Alstom (Areva) T&D India Limited 70Table 56: Transformers & Rectifiers 71Table 57: Vijai Electricals 71Table 58: Voltamp 71Table 59: Bharat Bijlee 72Table 60: EMCO 72Table 61: Competitor Analysis 73Table 62: Genus Power Infrastructures Ltd 80Table 63: Secure Meters Limited 81Table 64: L&T Limited (Electrical & Automation Division) 82Table 65: ECE Industries Limited 82Table 66: HPL Metering Pvt. Ltd 83Table 67: Capital Power Systems Ltd 83Table 68: Performance of Metering Industry 84Table 69: Strategic Analysis 85
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ABBREVIATIONS
ABC Areal Bunched Conductor IPTCIndependent Power Transmission Company
ACA Additional Central Assistance IS Indian StandardACAR Aluminum Core Alloy Reinforced ISTS Interstate Transmission SystemACS Average Cost of Supply I-STS Intra-State Transmission SystemACSR Aluminum Core Steel Reinforced JV Joint VentureAMR Automatic Meter Reading kV Kilo VoltARR Average revenue Realized kWh Kilowatt Hour
AT&CAggregate Technical & Commercial Losses
LCD Liquid Crystal Display
ATO Annual Turn Over LTCT Low Tension Current TransformerCAGR Compound Annual Growth Rate LV Low VoltageCEA Central Electricity Authority MCB Miniature Circuit BreakerCkm Circuit Kilometer MCCB Molded Case Circuit BreakerCRGO Cold Rolled Grain Oriented MV Medium VoltageCT Current Transformer MVA Mega Volt AmpereCTU Central Transmission Utility MW Mega WattCVD Counter Veiling Duty OCB Oil Circuit BreakerDISCOM
Distribution Company PGCIL Power Grid Corporation of India Limited
DT Distribution Transformer R&D Research & DevelopmentED Energy Division R-APDRP Restructured-APDRD
EE Electrical Equipment RGGVYRajiv Gandhi Gramin Vidyutikaran Yojna
EHV Extra High Voltage RoW Right of WayEPC Engineering, Procurement, Construction SAD Special Additional Duty
EU European Union SCADASupervisory Control And Data Acquisition System
FY Financial Year SEB State Electricity BoardFYP Five Year Plan STU State Transmission UtilityGENCO Generation Company T&D Transmission & DistributionGIS Gas Insulated Switchgear ToD Time of DayHCTC High Capacity Transmission Corridor TRANSCO Transmission CompanyHTMD High Tension Maximum Demand UHV Ultra High VoltageHVAC High Voltage Alternating Current VCB Vacuum Circuit BreakerHVDC High Voltage Direct Current VT Voltage TransformerHVDS High Voltage Distribution System WC Whole CurrentIEEMA Indian Electrical Equipment XLPE Cross Link Poly Ethylene
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Manufacturing AssociationINR Indian Rupees YoY Year on Year
x
EXECUTIVE SUMMARY
Indian Power Sector has witnessed the robust growth during the 11 th Five Year Plan. Power
generation capacity of 53,000 MW has been added in 11th Plan which is ever highest among any
five year plan. The focus of investments in the Indian Power Sector has typically been on the
generation segment, while the importance of Transmission and Distribution segment has always
been undervalued. During 11th Plan, about 55% of total investment in the power sector was in the
generation segment, 15% in transmission and 30% in distribution. This investment pattern needs
to be revised. Investment in the generation, transmission and distribution segments should ideally
be in the ratio of 2:1:2. During the 12th plan, 47% of the total investment in the sector has been
earmarked for the generation segment while the rest has been reserved for T&D and other
segments. Power transmission is the backbone of whole power system for any country. To
transmit more power from one end to another, even more robust and reliable network is required.
In India, voltage level at 220 kV and above is used for long distance power transfer. In the 11 th
Plan, focus has been to shift the operating transmission voltage level from 220 kV & 400 kV
towards 765 kV. Initial efforts in 1200 kV segment has also been made successfully. HVDC
transmission has emerged as more convenient way to transmit power for distance more than 800-
1000 km. Accordingly, availability of equipments of suitable voltage level have become prime
need of the time for the further development. Indian T&D equipment industry has grown faster
in 2009-10 and 2010-11 as compared to 2007-08 and 2008-09. It reflects high degree of
correlation between generation capacity addition activity and corresponding enhancement of
transmission & Distribution system.
In this development, now the importance of T&D manufacturing industry can not be subdued.
Balance between demand and; timely & cost effective supply of equipment affects the growth of
transmission & distribution network and hence connectivity between generator and the end
consumer. Today country’s major T&D equipment market has crossed the mark of INR 64,000
Crore. Indian T&D manufacturing industry comprises a mixture of around four hundred; Power,
Distribution and instrument transformer manufacturers, one hundred fifty switchgear
manufacturers, fifty energy meter manufacturers, seventy capacitor manufacturers, one hundred
fifty cable manufacturers and approx fifty insulator manufacturers.
xi
Overall, Indian T&D equipment manufacturing industry is able to cater the domestic demand.
Additionally, industry exports various kinds of equipments to the foreign market. This portfolio
especially comprises small & medium; power and distribution transformers, switchgears,
conductors etc. Import portfolio includes EHV cables, large transformers electric rotating
machines etc.
Although this industry is flooded with more than one thousand manufacturers yet most of the
market share is held by a few leading multinational players. It is mainly because of poor
attention on Research and Development to explore new technologies. Today, in spite of being
one of the largest markets in the world; domestic manufacturers are not able to fulfill country’s
demand of equipments. In order to become self dependent, Indian Government has Vision 2022
set for Indian Electrical Equipment Industry to make India the country of choice for the
production of electrical equipment and reach an output of INR 5 Lakh Crore by balancing
exports and imports. To achieve the vision, concerted efforts by all stakeholders including
government, industry and industry association, needs to be deployed.
According to Indian Electrical Equipment Manufacturing Association (IEEMA) which consists
95% of Indian Manufacturing Companies; performance of industry has remained average
compared to last year. Cable and Energy Meter industry has been able to lead the industry in
2011-12.
Equipment CategoryMarket Size in 2011-12
(INR Crore)Growth in 2011-12 (YoY) CAGR (11th Plan)
Cables 19,496 25.7% 14.5%
Conductors 5,914 4.3% 5.9%
Transmission Towers 6,257 -5.2% 6.4%
Switchgears 8,882 -2.4% 7.9%
Transformers 12,498 1.2% 5.5%
Capacitors 506 -1.8% 10.8%
Energy Meters 2,387 6.1% 5.8%
Rotating Machines 6,373 1% 5.5%
xii
Although Year on Year (YoY) basis, growth rate at 6.6% in 2011-12 half as compared to 13.7%
in 2010-11 yet over the last five years industry size has increased at a CAGR of 8.5%. It is a sign
of long term growth of the equipment industry.
xiii
CHAPTER - 1
INTRODUCTION
1.1 Transmission & Distribution Equipment Industry
The process of power generation and its eventual transmission and distribution (T&D) can be
compared to the process by which food grains are supplied to cities from the places where they
are produced and stored. Even if the warehouses are full with food grains, the transport
infrastructure should be in good condition for the food grains to reach the end-users. If transport
infrastructure is inefficient and inadequate, it not only results in to supply shortage but also leads
to wastage during transport. In case of power, generation capacity is the warehouse and T&D
infrastructure plays the role of transport facility.
Considering the rapidly increasing demand of power in country, massive generation capacity is
planned to fulfill this demand. At the same time, huge investment is required in building up the
T&D infrastructure so as to ensure efficient supply of power. The power transmission and
distribution equipment industry is a critical part of the Indian power sector. Power generation is
key growth-driver for the equipment manufacturing industry.
In India, power transmission equipment companies include those who manufacture transmission
lines and towers, substations, equipments like transformers, reactors and electrical equipments
like electrical meters and metering solutions. Indian T&D equipment market is fragmented. It is
characterized by the presence of a number of small and medium enterprises yet some major
players dominate the market share. These companies do their business through different routes
available in the market. In an EPC contract route, the EPC contractor (EPCC) agrees to deliver a
completely commissioned plant to the owner for an agreed amount. This is just as a builder who
hands over the keys of a fully furnished flat to a purchaser. Transmission equipment companies
that are in the business of setting up transmission lines and towers; and substations follow the
EPC route wherein they take up turnkey projects. Companies that deal in manufacturing
transformers and electric meters, directly sell them to Power Grid Corp (PGCIL), State
Electricity Boards (SEB’s) and other private distribution companies.
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1.2 Problem Statement
The electrical T&D equipment industry in India has a long history. Clocked at 6.6% growth in
the FY 2011-12, it covers over 1,500 units of varying sizes, amounting for an annual turnover of
about INR 64,000 Crores. It amounts for more than INR 20,000 Crores of annual exports and
above INR 32,000 Crores of annual imports; it has a negative trade balance which has been
increasing in recent times.
In spite of increasing imports, this industry has a very good potential for domestic as well as
export market in most of the developing and some of the developed countries. But matter is the
correct assessment of the market and selection of right equipment segment to enter in the
manufacturing business.
1.3 Objective
The objective of this report is as under
i) Analyzing the performance of Indian Electrical T&D equipment industry during last five to
ten years and current status.
ii) Analyzing the prospects and growth drivers of T&D equipment industry in next five to ten
years in India.
iii) Identification of equipment segment and exploring the business opportunity for a new entrant
in the market.
1.4 Organization Profile
Feedback Infrastructure Services Private Limited, more commonly known as Feedback Infra, is a
leading professional and technical services company in the infrastructure sector in India. From
concept to commissioning, Company offers an integrated suite of services across all sectors of
infrastructure.
Headquartered in Gurgaon, Feedback Infra has 5 regional offices and 70 project offices
nationally. Besides India, Feedback has projects in Afghanistan, Africa, Australia, Bangladesh,
Bhutan, Europe, Indonesia, Malaysia, Middle East, Nepal, Singapore, Sri Lanka and Syria.
xv
Feedback Infra is enabled by a large pool of multidisciplinary experts; cutting-edge functional
and domain knowledge; an all-India network of offices; and a strong shareholding — L&T,
IDFC, and HDFC.
The Various sectors are Transportation & Logistics, Energy, Housing & Townships, Commercial
Infrastructure, Industrial Infrastructure, Water & Sanitation, Retail & Entertainment, Healthcare,
Hospitality, Urban Development and Special Economic Zones
Feedback is presently working on more than 35,000 MW of new power generation capacity;
20,000 km of National and State Highways; 100,000 acres of real estate development and a
building area of more than 22 million square feet.
Energy Division (ED) is an integral part of the energy and fuel landscape in India, handholding
utilities through the reform and re-structuring process and introducing and guiding private
investments in the sector. From, identifying and evaluating business opportunities, structuring of
projects, representing the clients in the financial and power markets, providing implementation
support and performance management capabilities, Feedback Infra has built valuable
relationships with utilities; Indian and global energy majors and with individual captive plants.
Its services range from policy framework creation addressing sectoral issues, to project-driven
customized services meeting specific needs of the client.
In generation, Energy Division (ED) offers coal and IPP entry strategies, tariff studies, project
structuring, business plans and long-term fuel strategy procurement.
In transmission, ED offers transmission service agreements, cost of service, energy accounting at
the SLDC level, merit and UI trade analysis and grid support changes.
In distribution, the division conducts the valuation of an existing business, a “go-no-go” analysis,
set up distribution franchisees, offer tariff rationalization, ways to enhance revenues, reduce
T&D losses and costs of service.
In the regulatory area, ED assists with the ARR filings, review of regulations and regulatory
comparison, open access regulations and PPA renegotiations.
xvi
In the renewable area, ED provides strategic advisory services through the entire project cycle -
from site evaluation to post commissioning support; including assessment of business models,
technology issues, policy and regulatory factors.
In the energy efficiency space, ED enjoys a strong domestic and an evolving international
presence. As a Grade-II ESCO, it goes beyond providing traditional advisory or engineering
design services - offering guaranteed energy conservation solutions and project
development/management services to the household, industry, commercial and rural sector.
In the information technology space, ED is a leader in providing IT solutions to the Power
Distribution utilities and has undertaken IT assisted performance improvement for utilities across
the country. The Division is also moving into the Smart Grid arena with international
accreditations under its belt.
xvii
CHAPTER – 2
LITERATURE REVIEW AND RESEARCH METHODOLOGY
2.1 Literature Survey
The global electrical equipment industry consists of the following two segments:
i) Global heavy electrical equipment market — power generating equipment, including wind
turbines, and other heavy electrical equipments such as power turbines, heavy electrical
machinery intended for fixed-use and large electrical systems.
ii) Global electrical components and equipment market — electric power cables, transformers
and electrical switchgear, transmission line towers, etc.
The global EE market is expected to increase from more than US$ 3 trillion (2008-15) to US$
6.8 trillion (2016-30). This translates into ~2% CAGR over the long term. Asia-Pacific and
Europe together account for more than 70% of the global market, with Asia- Pacific‘s share
being 45%. This region is expected to see the strongest demand in future due to the region‘s
strong expected economic growth rates.
Globally, growth rates have been less-than-impressive in recent years in the electrical equipment
market, but there is scope for expansion in certain geographical areas, such as the emerging
markets in the Asia-Pacific region. Robust economic growth in emerging countries such as China
and India, combined with rapid urbanization and strong growth in fixed investment spending in
these countries, is expected to boost the demand for electrical equipment in these countries.
A period of deregulation is being witnessed in the power sectors of most countries, with an
increase in the number of independent power distributors and operators who are capable of
supplying services at different points in the power sector value chain. In developed countries,
rising ecological concerns and investment in alternative sources of power generation should
benefit the heavy electric power equipment segment such as the wind turbines.
Global trade in EE products accounts for 3% of the overall trade. While global trade has grown
at 5.2% CAGR (2006-10), while trade in EE has grown by 5.8% over the same period, thus
increasing its share in the global trade. Global trade in EE has reached US$ 453 billion in 2010,
xviii
with China being the leading exporter of electrical equipment with over 15 percent share. India
accounts for less than 1% of the total share of exports. USA and China are the largest import
markets in the world for EE. India imports 2% of total EE trade of the world. India has a trade
deficit in EE trade, with imports higher than exports, consistently for the last many years.
Switchgears and rotating machines together cover ~36% of the trade market. China is the leading
exporter in rotating machines as well as transformers with more than 16% share, while India has
less than 2% share in global trade of these products. US is the largest importer of rotating
machines as well as transformers. China dominates trade in most of these product segments.
Segments such as rotating machines, transformers, lamps, cables are dominated by China with
double digit shares in global trade. Countries like Japan, US and Germany dominate trade in a
few segments like switchgears, insulators, capacitors etc.
2.2 Research Methodology
The project is based on the basic concept of research methodology. The following concepts are
directly or indirectly used while dong this project.
Collection of Data
Secondary source of data collection has been adopted. Sources of data have been the companies’
websites and different commercial & ministry websites.
Population
Prominent players in the manufacturing sector have been chosen from the population mean.
Analysis Pattern
Comparative analysis of different companies has been carried out.
xix
CHAPTER - 3
SCENARIO OF POWER SECTOR IN INDIA
3.1 Indian Power Sector
Indian power sector has witnessed a rapid growth in all verticals i.e. generation, transmission and
distribution. Generation sector which saw the fastest growth during last five years was followed
by transmission capability enhancement. On the third dimension, distribution sector has now
achieved the pace of reforms especially in last five years. Corrective measures taken after
economic crisis of 1991, whole power sector has proved to be a great opportunity; especially for
The T&D equipment market has registered a compound annual growth rate (CAGR) of 21.7%,
from INR 7,400 Crore in 2000-2001 to INR 64,072 Crore in 2011-12. This growth has been
driven by increased generation capacity addition and subsequent need to augment the T&D
network.
xlii
Source: IEEMA
Figure 72: Growth of Major T&D Equipments in India
Source: IEEMA
Growth rate of the Indian electrical equipment industry has decelerated to 6.6% in 2011-12 as
compared to 11.3% and 13.7% in 2009-10 and 2010-11 respectively. Imports of electrical
equipment have grown in the past five years at a CAGR of 28.28%. Current export-import trends
based on 27 major ports trade data indicates that imports continue to rise for 765 kV transformers
& reactors (mostly through power project imports), insulators, LV switchgear and HV cables.
Total Imports of 765 kV transformers & reactors in 2011-12 were INR 1,229 Crores; in the last
quarter (Q4) 2011-12, imports sharply increased by 125% (INR 687 Crores) over the combined
total of the first three quarters (INR 542 Crores).
4.2 Cable & Conductor
4.2.1 Cable
Cables are used when underground transmission or
distribution is required. These cables are laid in ducts or may be buried in the ground. Unlike in
overhead lines, air does not form part of the insulation, and the conductor must be completely
xliii
2008-09 2009-10 2010-11 2011-12
-3.5
13.3
12.2
10
14.5
21.2
-2.4
4.4
12.1
16.9
25.7
-1.2
9.1
13.5
1.22.
6
10.7
34.9
-1.8
-8.2
11.3
15.4
6.1
13.5
9.2
4
-0.8
2.7
11.3 13
.7
6.6
Rotating Machines Switchgear Cables Transformers Capacitors Energy Meters Transmission Lines Total
Figure 73: Cable
insulated. Thus cables are much more costly than overhead lines. Cable consists of core that is
made of copper. For insulation purpose, different type of material & medium are used. It depends
upon the level of voltage to transmitting power.
4.2.2 Types of Cable
High voltage cables are generally single cored, and hence have their separate insulation and
mechanical protection by sheaths. In the older paper insulated cables, the sheath was of extruded
lead.
Paper Insulated Power Cables
The insulation consists mainly of paper tape impregnated with compound. The paper must be
free from ligneous fibers and from metallic or other conducting spots. The compound with
which the paper is insulated should be of such a consistency that it is plastic at ordinary
temperatures, and has no tendency to drain away from the cable.
The impregnating compound varies from manufacturer to manufacturer, but they all are based on
paraffinic or naphthenic mineral oil, with resin frequently added to lower the viscosity and to
improve its impregnating qualities. The paper is made from Manila fiber or wood pulp.
Three-Core Belted Type Cables
In the case of a 3-core cable, the 3-cores are
individually insulated with paper insulation. The filler
space between the core insulation is also filled up with insulation, but depriving these of voids is
much more difficult. Belt insulation is used on top of
all three core insulations, and the lead sheath is
extruded over this. Over the lead sheath, there is
generally bitumen to prevent damage.
Pressurized High Voltage Cables
Oil Pressure Cables
Gas Pressure Cables
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Figure 74: Cross Sectional View of Three Core Belted Cable
These are used for extra high voltage transmission.
4.2.3 Conductor
A conductor is a material that facilitates the flow of electricity
(or electric current) through a transmission line. Different types of conductor are used in
transmission lines. They vary in number and size, depending on the type of circuit and the
transmission voltage. Steel, Aluminium and copper are the most common conducting materials
used in transmission lines.
4.2.4 Types of Conductor
Broadly two types of conductors ACSR (Aluminium Core Steel Reinforced) and ACAR
(Aluminium Core, Alloy Reinforced) are used.
Aluminum Core Steel Reinforced (ACSR)
In an ACSR conductor, a stranded steel core carries the
mechanical load, and layers of stranded aluminium
surrounding the core carry the current. ACSR conductors
are usually used for high-voltage transmission lines. Steel
strands forms central core which is surrounded by two
layers of aluminum strands. For a given resistance
conductors of different strengths can be made by taking
different properties of steel and aluminum areas. The steel core does not contribute to conduction
of current practically. The current carrying capacity and resistance of this conductor is dependent
on conductivity of aluminum.
Aluminum Core, Alloy Reinforced (ACAR)
An ACAR conductor is a stranded cable made of an aluminium alloy with low resistance and
high mechanical strength. The central core is made up from aluminum alloy which is surrounded
by layers of aluminum conductors. The conductivity is better and strength to weight ratio is equal
to ACSR conductor having same diameter. As compared to ACSR conductor, ACSR conductor
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Figure 75: Aluminum Conductor
Figure 76: ACSR Conductor
is smaller in size and lower in weight for the same electrical capacity. ACAR conductors are
used for sub transmission and distribution lines.
4.2.5 Competitor Analysis
Table 80: Sterlite Technologies Limited
Year of Establishment 2006-2007
Nature of Business Manufacturing EPC
Products/Services Transmission Tower Manufacturing Commissioning and Testing of Transmission Lines & Substation Power Conductor and Cable Manufacturing
Leading Product/Service Power Conductor and Cable Manufacturing Transmission Tower Manufacturing
Infrastructure Mfg Unit: 4Annual Turnover(2010-2011 and 2009-10)
INR 2,317 Crore and INR 2,432 Crore
Technology Sourcing Indigenous
Global Footprints Across 70 countries such as: China, Denmark, India, Netherlands, Russia,
South Africa, Taiwan, Turkey, UAE, UK, USA
Indian Clientele Various SEBs across India Private companies in Power T&D field
Certification ISO 9001-2000, ISO 14001, OHSAS 18001, NABL
Table 81: JSK Industries Pvt. Limited
Year of Establishment 1965Nature of Business ManufacturingProducts/Services Power ConductorsLeading Product/Service Aluminum ConductorInfrastructure Mfg unit: 2Annual Turnover(2010-2011 and 2009-10)
INR 763 Crore and INR 498 Crore
Technology Sourcing Indigenous
Global Footprints Dubai
Indian Clientele
Various SEBs such as: MPPTCL, GETCO, LPTCL, MAHATRANSCO, TNEB
EMI Transmission, Essar PowerCertification ISO 9001-2008
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Table 82: Diamond Power Infrastructure Limited
Year of Establishment 1970
Nature of Business Manufacturing EPC
Products/Services
Transmission Tower Manufacturing Transformer Manufacturing Commissioning and Testing of Transmission Lines & Substation Power Conductor and Cable Manufacturing
Leading Product/Service Commissioning and Testing of Transmission Lines & Substation Power Conductor and Cable Manufacturing
Indian Clientele Various SEBs across India Central utilities Private companies in Power T&D field
Certification ISO 9001-2000
Table 84: KEC International
Year of Establishment 1945
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Nature of Business Manufacturing EPC Services
Products/Services
Power Cable Transmission Tower Manufacturing Commissioning and Testing of Transmission Lines & Substation Infrastructure Development (Railways, Oil & Gas, Construction)
Leading Product/Service Power Cable Transmission Tower Manufacturing Commissioning and Testing of Transmission Lines & Substation
The Indian cable industry is highly fragmented with hundreds of cable manufacturing
companies; a larger total than can be found in any other country in the world except China. Many
of these Indian companies are small-scale cable producers. The 6.6% growth seen in the overall
electrical equipment industry during FY12 was largely driven by remarkable performance of the
cables industry. It grew by 25.7% in FY12, which came over and above the 16.9% rise in FY11.
In fact, growth in the cables industry has been steadily inching up from 4.4% in FY09. The
cables industry has grown appreciably in size. In FY11, the cables industry was estimated to be
worth INR 15,510 Crore. With changing specifications, kilometers are not the sole barometer to
judge the growth of the industry. Though there seems a slight volume growth in the industry, the
same is mandate due to increase in commodity prices. The weight age of cable industry is about
25.8% of the overall electrical industry. The growth of HV & EHV cable industry was mainly
due to acceleration in implementation to the ongoing and new projects in the pipeline. In year
2010-2011, the total production of LV, PVC & XLPE power cables was about 2.65 lakh km both
in organized & unorganized sector, amounting to an increase over previous year by 12.7%.
While PVC & XLPE power cables (3.3 kV- 33 kV), the production was about 24,200 km which
is an increase over the previous year by 6.6%.
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Table 87: Strategic Analysis
About 1000 km of Power cables above 33 kV was produced in this fiscal an increase of about
33%. The estimated industry size in 2010-11 for power cables is INR 9710 Crore, an increase of
25% over the previous year 2009-2010.
4.2.8 Market Prospects
Cable industry has emerged as most consistent and fastest growing market in last five years. This
trend is expected to continue in future also. One of the best positive aspects with the cable
l
Growth Drivers 12th Five Year PlanNew Transmission Lines: 109,440 CkmNew Distribution : 1,305,000 CkmRe-Conductoring of Distribution Lines: 1,600,000 CkmReplacement of Old Transmission LinesRGGVY schemeSystem strengthening under R-APDRP Projects
Market CompetitorsJSK Industries Pvt. LimitedFinolex CablesDiamond Power Infrastructure LimitedCable Corporation of IndiaBirla GroupHavells IndiaNicco Corp.KEC International (RPG Group)Khetan Group of IndustriesKEI Wires & CablesParamount CablesSterlite Technologies Limited
Prospective Clients Central Transmission UtilityState Transmission UtilitiesExisting & forthcoming private distribution companiesEPC companiesMajor industries e.g. Petrochemicals, Mining, Steel/Metallurgical, Ship building, Engineering, Cement, Railway, Defense
Entry Opportunity Very few dominant playersUnorganized sector
Various local & regional manufacturers
Business RiskFluctuating raw material pricesPricing issue specially with Govt. clientsIndustry is highly dependent and driven by growth in power sector
Figure 77: Cable Industry: Past Performance and Expected Market Size
industry is that all three verticals of power sector i.e. generation, transmission and distribution
are the demand drivers for cable industry.
Source: IEEMA
In the 11th Plan cable industry has grown at a CAGR of 14.5%. By the end of 12 th Plan, CEA has
envisaged this market size of INR 37,000 Crore.
Source: IEEMA
While being optimistic, this industry is expected to grow up to the size of INR 38,394 Crore.
system. A typical HVAC line has three phase conductors to carry the current and transport the
energy, and two grounded shield conductors to protect the line from direct lightning strikes. The
usually bare conductors are insulated from the supporting towers by insulators attached to
grounded towers or poles. Lower-voltage lines use post insulators, while the high-voltage lines
are built with insulator chains or long-rod composite insulators. The normal distance between the
supporting towers is a few hundred feet. Transmission lines are subject to environmental
adversities, including wide variations of temperature, high winds, and ice and snow deposits.
Typically designed to withstand environmental stresses occurring once every 50–100 years, lines
are intended to operate safely in adverse conditions.
A distinction is made between the anchor towers and the intermediate towers of a power
transmission line. The rigid and strong construction of the anchoring towers is intended to
withstand considerable stresses caused by tension in the lines. Anchor towers are installed at the
beginning and end of a power transmission line, at turns, and at points where the line passes over
water or through mountains. Intermediate towers are not as strongly constructed, serving mainly
to support the power lines and cables along straight sections.
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Figure 80: Transmission Tower
The transmission towers are usually made from steel and galvanized steels. Aluminum is also used as construction material for transmission lines. Type of
the transmission towers used in a circuit depends mainly
on following factors.
Working voltage level
Amount of power
Wind speed profile in the zone
Physical environment
Availability of RoW (Right of Way)
Waist Type Tower
This is the most common type of transmission tower. It's used for voltages ranging from 110 to
735 kV. Because they're easily assembled, these towers are suitable for power lines that cross
very uneven terrain. But this type of tower requires large RoW for single circuit.
Double Circuit Tower
Both tubular and lattice steel towers can be designed so as to support either one or two circuits of
electrical current. Double-circuit towers hold the different
conductors stacked atop one another, while in single-
circuit towers the conductors are lined up horizontally.
This small-footprint tower is used for voltages ranging
from 110 to 315 kV. Its height ranges from 25 to 60
meters.
Steel Tubular Pole
Featuring a streamlined, aesthetic shape, this structure is
less massive than other towers, allowing it to blend easily
into the environment. Therefore, it's being used more and
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Figure 81: Waist Type Tower
Figure 82: Double Circuit Tower
Figure 83: Steel Tubular Pole
more in urban centre. Measuring between 27 and 45 meters in height, it's suitable for voltages
ranging from 110 to 315 kV.
Guyed-V Tower
This tower is designed for voltages ranging from 230 to 735 kV. It is more economical than the
double-circuit and waist-type towers. These towers have also been used by the transmission companies in cases where more space is available. These are simple, easy and cheaper to install. The guyed towers also require less time for installation. The main disadvantage is that these towers require more space due to presence of guy wires.
4.3.2 Competitor Analysis
Table 89: Kalpataru Power Transmission Limited
Year of Establishment 1981
Nature of Business Manufacturing EPC
Products/Services Tower Manufacturing Commissioning and Testing of Transmission Lines & Substation Infrastructure Development (Railways, Oil & Gas, Construction)
Leading Product/Service Tower Manufacturing Commissioning and Testing of Transmission Lines & Substation
Across 31 countries such as: Ethiopia, Algeria, Vietnam, UAE, South Africa, Nigeria, Kenya, Kuwait, Philippines, Syria, Mexico, Thailand, Abu Dhabi, USA, Canada, Peru
Indian Clientele PGCIL, GETCO, Essar Power, MSETCL, TNEB, WBSEB, ADANI PowerCertification ISO 9001-14001
Table 90: IVRCL
Year of Establishment 1987
lv
Figure 84: Guyed-V Tower
Nature of Business Manufacturing
Products/Services Tower Manufacturing Commissioning and Testing of Transmission Lines & Substation Infrastructure Development (Railways, Oil & Gas, Construction)
Leading Product/Service Tower Manufacturing Commissioning and Testing of Transmission Lines & Substation
Government utilities such as: BHEL, NTPC, ONGC, NPCIL, BPCL, IOCL, PGCIL, AAI, Indian Railways, Ministry of Defense, Konkan Railway, MSETCL, HVPNL
Private companies such as: BITS, DLF, Telco Construction Equipment Company Ltd, Tata Projects Ltd, JSPL, Tata Docomo, Tata Cummins
Certification ISO 9001:2000, IS
Table 91: KEC International
Year of Establishment 1945
Nature of Business Manufacturing EPC Services
Products/Services
Power Cable Tower Manufacturing Commissioning and Testing of Transmission Lines & Substation Infrastructure Development (Railways, Oil & Gas, Construction)
Leading Product/Service Tower Manufacturing Power Cable Commissioning and Testing of Transmission Lines & Substation
Energy, Kalpataru Power Transmission, Jindal, Essar PowerCertification ISO 9001-2008, ERDA, CPRI, BIS, BSI, DIN, IEC, ASTM
Table 93: Jyoti Structures Limited
Year of Establishment 1974
Nature of Business Manufacturing EPC
Products/Services Tower Manufacturing Conductor Manufacturing Commissioning and Testing of Transmission Lines & Substation
Infrastructure Mfg unit: 2 (India) + 1 (Dubai)
Production Capacity Tower Manufacturing: 110,000 tpa (India) + 50,000 tpa (Dubai) Conductor Manufacturing: 2,500 ckm per annum
Annual Turnover(2011-2012 and 2010-11)
INR 2,647 Crore and INR 2,460 Crore
Global Footprints
Presence across 40 countries such as: Australia, Chile, Canada, Ethiopia, Egypt, France, Iran, Indonesia, Malaysia, Namibia, Nigeria, Oman, Philippines, Peru, Qatar, South Africa, Sri Lanka, Thailand, Tunisia, UAE, Uganda etc.
Indian Clientele Various Transcos in country PSUs: PGCIL & NTPC
Certification ISO 9001:2008, ISO 14001:2004, OHSAS 18001:2007
Global Footprints Afghanistan, Kenya, Afghanistan, Nigeria, Ethiopia, Ghana, Sri Lanka, Oman
Indian Clientele
Various state such as: Govt. of Andhra Pradesh, Govt. of West Bengal DMRC, GAIL, PGCIL, NTPC, NHPC, NPCIL, NHAI, SJVNL Private companies such as: Godrej Properties, Municipal Corporation of
Amritsar Certification ISO 9001:2008, ISO 14001:2004, OHSAS 18001:2007
Table 95: Unitech Power Transmission Ltd
Year of Establishment 1972
Nature of Business Manufacturing EPC
Products/Services Tower Manufacturing Commissioning and Testing of T&D Lines & Substations
This important segment (having a weight of 23.4 per cent in the total industry in FY11) has been
on a downturn over the past four years.
lx
Table 100: Strategic Analysis
Growth in this industry has consistently decreasing from 13.5 per cent in FY09 to 4 per cent in
FY11. It has further declined to -5.2% in FY12. Transmission line manufacturing sector has its
own issues. Some of them are as under.
Fiscal performance of state transcos and discoms continues to be poor with little or no funds
for planned investment.
Poor credit-worthiness of state utilities is leading to lack of payment security for private
investors.
Procedural delays for both public & private projects and long time taken for the entire
bidding process.
Lack of coordination in transmission planning and implementation activity.
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Growth Drivers 12th Five Year PlanNew Transmission Lines: 109,440 CkmNew Distribution : 1,305,000 CkmInterregional Transmission Capacity: 37,000 MWInvestment of INR 180,000 in 12th PlanRGGVY and R-APDRP Projects
Market CompetitorsKalpataru Power Transmission LtdIVRCLKEC InternationalDiamond Power Infrastructure LimitedJyoti Structures LimitedGammon India LtdUnitech Power Transmission LtdAster Private LtdMan Structurals Pvt. Ltd
Prospective Clients Central Transmission UtilityState Transmission UtilitiesPrivate transmission and distribution companiesEPC players
Entry Opportunity Increasing voltage level for bulk transmission and hence EHV tower testing facilityGood starting as a medium scale manufacturer
Prospects of good business in steel tubular poles because of less RoW requirement
Business RiskFluctuating raw material pricesPricing issue specially with Govt. clientsIndustry is highly dependent and driven by growth in power sectorLack of domestic testing facilities for EHV towers
Commercial conditions such as unrealistic terms of payment, non-availability of price
variation clauses often lead imbalance in price levels.
The decline in growth of tower industry has led the manufacturing facilities to operate on 67%
capacity utilization only.
4.3.5 Market Prospects
Tower manufacturing capacity is a mature enough industry in the country. It has been showing
fluctuating performance for last five years. Still future of this segment is bright due to adoption
of higher voltage for power transmission.
Source: IEEMA
This factor is the main growth driver of this industry which needs more testing facility of
transmission towers. Apart from it, PGCIL’s aggressive planning to invest INR 100,000 Crore
for line addition in 12th Plan is being considered as leading demand driver. It is worth to note that
PGCIL’s investment during 11th Plan was INR 55,000 Crore while in the 12th Plan this amount
would be around INR 100,000 Crore.
In the 11th Plan this industry has grown at a CAGR of 6.4%. By the end of 12 th Plan, CEA has
envisaged this market size of INR 18,038 Crore. While looking at the past trend, this industry is
expected to grow up to the size of INR 8,545 Crore in next five years.
Technology Sourcing Indigenous technologyGlobal Footprints More than 190 countries
Indian Clientele Power Utilities, Oil & Gas Sector, Mining Sector, Indian Railways, EPC
Contractors, Cement Industry, Steel IndustryCertification IEC, ANSI, IEEE, CPRI, ISO 9001, ISO 14001, OHSAS 18001
Table 103: ABB Limited
Year of Establishment 1949 (In India)
Nature of Business
Manufacturing EPC Services R&D
Products/Services
Power Transformers Switchgear Network Protection & Control System Automation & Robotics Electric Motors & Alternators Substation Erection Consumer Products
Leading Product/Service Power Transformers Switchgear System Automation
Infrastructure
Mfg unit: 12 Marketing offices: 23 Service center: 8 Logistic warehouse: 3 Training centers: 4 Power & Automation engineering centers: 2 Channel partners: 550
Annual Turnover(20010-11 and 2009-10)
INR 7,693 Crore and INR 6,372 Crore
Technology Sourcing Indigenous technology
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Global Footprints More than 100 countries
Indian Clientele Power Utilities, Oil & Gas Sector, Mining Sector, Indian Railways, EPC
Contractors, Cement Industry, Steel Industry
CertificationIEC, ANSI, IS, KEMA, BS, CSA, UL, ATEX, CE, CPRI, ISO 9001, ISO 14001, OHSAS 18001
Table 104: Crompton Greaves Limited
Year of Establishment 1937 (In India)
Nature of Business
Manufacturing EPC Services R&D
Products/Services
Power Transformers Switchgear Network Protection & Control System Automation & Robotics Electric Motors & Alternators Substation Erection Consumer Products
Leading Product/Service
Power Transformers Switchgear Rotating Machines System Automation
Infrastructure Mfg unit: 20 More than 30 communication points in India
Annual Turnover(20010-11 and 2009-10)
INR 6,276 Crore and INR 5,368 Crore
Technology Sourcing For SLIM Transformers with Dupont’s Nomex Thermal Insulating
Technology
Global Footprints Indonesia, Belgium, Hungary, Canada, USA, UK, Ireland, Netherland,
Sweden, France, UAE, China, Australia, New Zealand, Curacao
Indian Clientele Power Utilities, Oil & Gas Sector, Mining Sector, Indian Railways, EPC
Contractors, Cement Industry, Steel Industry
CertificationISO 9001, ISO 14001, OHSAS 18001, CPRI, IEC, ANSI, IS, KEMA, BS, CSA, UL, ATEX, CE
Table 105: Alstom (Areva) T&D India Limited
Year of Establishment 1911 (In India)
Nature of Business
Manufacturing EPC Services R&D
Products/Services Power Transformers Gas Insulated Switchgear
lxviii
Switchgear Network Protection & Control Electric Motors & Alternators Substation Erection
Leading Product/Service Power Transformers Switchgear System Automation
Year of Establishment 1970Nature of Business Manufacturing
Products/Services
Instrument Transformers Auxiliary Transformers Distribution Transformers Special Purpose CT & VT Metering Cubicle
Leading Product/Service Instrument TransformersInfrastructure Mfg unit: 3Technology Sourcing Indigenous
Indian Clientele Various SEBs of ctates such as: UP, Uttarakhand, Rajasthan, Punjab, Haryana Entities such as: BHEL, Siemens, ABB, CGL, ALSTOM, L&T, CGL,
Nagarjuna Construction Company, Indian Railways, Subhash ProjectsCertification ISO 9001-2008, IS
Table 109: Heptacare Power Industries Pvt. Limited
Year of Establishment 1994Nature of Business ManufacturingProducts/Services Instrument TransformersLeading Product/Service Instrument TransformersInfrastructure Mfg unit: 1Technology Sourcing Indigenous
Indian Clientele
Various SEBs of states such as: UP, UttraKhand, Rajasthan, Punjab, Haryana, J&K, HP, Chhattisgarh, Odissa
Power utilities such as: Areva, ABB, BBMB, BHEL, CGL, INRCL International Ltd, KEC International, Nagarjuna Construction
Year of Establishment 1966Nature of Business Manufacturing
Products/Services Instrument Transformers Control & Auto Transformers Relays, Switches and Fuses
Products/Services Instrument TransformersTechnology Sourcing IndigenousGlobal Footprint Indian Subcontinent, East Asia, Middle East and South East Asia
Indian Clientele Various SEBs Private Utilities Industrial Consumers
Certification ISO 9001:1994, BS, IEC, AS, DIN, KEMA
S/F and F/S Units 0.5 207 -11.1 5.3 3.8 -4.3HT Circuit Breakers 5.6 2,140 2.4 -5.8 28.4 -5.8Source: IEEMA
4.4.5 Demand Segments
Utilities: HV and EHV demand majorly comes from the utilities. India's power generation
capacity of 2,300 MW in 1950 expanded to 200,000 MW in 2012. With the 12th Plan the capacity
is expected to increase by around 75,000 MW. The Government is focusing on increasing the
penetration of power supply in villages. Schemes like APDRP and RGGVY are providing an
excellent opportunity for the LV and MV switchgear market with about 10-15% villages yet to
be electrified.
Industrial Segment: An increase in process automation levels observed which support push-
buttons, contactors and switching relays, as well as the protection relays market, which finds
application extensively for motor control. Investment in new infrastructural setup is set to
increase the market for Insulated Switchgears, Ring Main Units, Molded Case Circuit Breakers,
Air Circuit Breakers and Control & Relay Panels.
lxxiii
Table 114: Strategic Analysis
Power Plant Modernization and Refurbishment: As in other parts of the world, numerous
power plants in India are nearing the end of their services plan, thus requiring overhauling and
modernization. This includes replacement of existing transformers and LV, MV and HV
switchgear, which are on average over 30 years old. Power plant modernization and
refurbishment is expected to additionally support growth of the switchgear market.
lxxiv
Growth Drivers 12th Five Year PlanFocus on RGGVY schemesPower Plant Modernization and RefurbishmentMore focus on higher transmission and High Voltage Distribution SystemIntroduction of gas insulated switchgears which require less spaceIncreasing system automation
Prospective Clients Central Transmission UtilityState Transmission UtilitiesExisting & forthcoming private distribution companiesEPC companiesMajor industries e.g. Petrochemicals, Mining, Steel/Metallurgical, Ship building, Engineering, Cement, Railway, Defense
Entry Opportunity Around 15-20 leading manufacturers in countryPresent market is dominated by multinational players, therefore good opportunity for new playersThe switchgear industry has traditionally been low on technology, but with changing times automation has ushered in newer concepts such as soft starters, intelligent relays, compact intelligent switchgear and energy efficient switchgear
Business Risk & IssuesRequires good technological partnership or in house R&D and testing facilitiesCompetitive pricingVolatile price of raw material
Alternative Energy Sources: The India Government continues to research and invest in
renewable energy sources such as wind, solar-thermal and hydroelectric power. The increase in
investment in alternative energy sources is also expected to support market growth, as LV and
MV switchgear products are required for general protection as well as switching. The MCCB
and MCB markets are expected to benefit considerably from alternative energy expansion.
4.4.6 Market Prospects
Switchgear industry has been growing for last years at a CAGR of 7.9%. Only in FY 2011-12 it
witnessed negative growth. Still future of this product is good enough due to R&M plans of old
power plants. This factor is the main growth driver of this industry.
Source: IEEMA
By the end of 12th Plan, CEA has envisaged this market size of INR 22,000 Crore. While looking
at the past trend, this industry is expected to grow up to the size of INR 12,977 Crore.
4.5 Transformer
A transformer is a static machine used for
transforming voltage level from one circuit to another
circuit without changing frequency. By using a step
Transformers & Rectifiers Vijai Electricals BHEL Siemens India Limited ABB Limited Crompton Greaves Limited Alstom (Areva) T&D India Ltd
Key Attributes Over all more than 300 players in market Volume wise 70:30 ratio between organized and
unorganized market Organized market consist 15-20 established
players who dominate Power Transformer segment
lxxxi
Bharat Bijlee EMCO Voltamp RTS Power Accurate Transformer TELK IMP Diamond Power Infrastructure Limited
Local manufacturers dominate Distribution Transformer segment
Lack of EHV transformer testing facilityProspective Clients Central & State Transmission Utilities EPC Companies State & Private Discoms Major industries e.g. Heavy Engineering, Cement,
Steel, Railway, Defense etc.
Table 121: Bharat Heavy Electricals Limited (BHEL)
Year of Establishment 1964
Nature of Business
Manufacturing EPC Oil & Gas R&D
Products/Services
Power Transformers Switchgear BTG Sets BOP
Leading Product/Service Power Transformers BTG Sets Switchgear
Infrastructure Mfg unit: 15 Business office: 15 Service centre: 8
Annual Turnover(20010-11 and 2009-10)
INR 43,337 Crore and INR 34,154 Crore
Technology Sourcing
Siemens AG Germany Germany ABB Switzerland General Electric USA
Global Footprints More than 70 countries across the world
Indian Clientele Power Utilities, Oil & Gas Sector, Mining Sector, Indian Railways, EPC
Contractors, Cement Industry, Steel IndustryCertification ASME, API
Table 122: Siemens India Limited
Year of Establishment 1956-57 (In India)
Nature of Business
Manufacturing EPC Services R&D
lxxxii
Products/Services
Power Transformers Switchgear Network Protection & Control System Automation & Robotics Electric Motors & Alternators Substation Erection Consumer Products
Leading Product/Service Power Transformers Switchgear System Automation
Technology Sourcing Indigenous technologyGlobal Footprints More than 190 countries across the world
Indian Clientele Power Utilities, Oil & Gas Sector, Mining Sector, Indian Railways, EPC
Contractors, Cement Industry, Steel IndustryCertification IEC, ANSI, IEEE, CPRI, ISO 9001, ISO 14001, OHSAS 18001
Table 123: ABB Limited
Year of Establishment 1949 (In India)
Nature of Business
Manufacturing EPC Services R&D
Products/Services
Power Transformers Switchgear Capacitors Network Protection & Control System Automation & Robotics Electric Motors & Alternators Substation Erection Consumer Products
Leading Product/Service Power Transformers Switchgear System Automation
Infrastructure
Mfg unit: 12 Marketing offices: 23 Service center: 8 Logistic warehouse: 3 Training centers: 4 Power & Automation engineering centers: 2 Channel partners: 550
Annual Turnover INR 7,693 Crore and INR 6,372 Crore
lxxxiii
(20010-11 and 2009-10)Technology Sourcing Indigenous technologyGlobal Footprints More than 100 countries across the world
Indian Clientele Power Utilities, Oil & Gas Sector, Mining Sector, Indian Railways, EPC
Contractors, Cement Industry, Steel Industry
CertificationIEC, ANSI, IS, KEMA, BS, CSA, UL, ATEX, CE, CPRI, ISO 9001, ISO 14001, OHSAS 18001
Table 124: Crompton Greaves Limited
Year of Establishment 1937 (In India)
Nature of Business
Manufacturing EPC Services R&D
Products/Services
Power Transformers Switchgear Network Protection & Control System Automation & Robotics Electric Motors & Alternators Substation Erection Consumer Products
Leading Product/Service
Power Transformers Switchgear Rotating Machines System Automation
Infrastructure Mfg unit: 20 30 Communication points in India
Annual Turnover(20010-11 and 2009-10)
INR 6,276 Crore and INR 5,368 Crore
Technology Sourcing For SLIM Transformers with Dupont’s Nomex Thermal Insulating
Technology
Global Footprints Indonesia, Belgium, Hungary, Canada, USA, UK, Ireland, Netherland,
Sweden, France, UAE, China, Australia, New Zealand, Curacao
Indian Clientele Power Utilities, Oil & Gas Sector, Mining Sector, Indian Railways, EPC
Contractors, Cement Industry, Steel Industry
CertificationISO 9001, ISO 14001, OHSAS 18001, CPRI, IEC, ANSI, IS, KEMA, BS, CSA, UL, ATEX, CE
Table 125: Alstom (Areva) T&D India Limited
Year of Establishment 1911 (In India)
Nature of Business
Manufacturing EPC Services R&D
lxxxiv
Products/Services
Power Transformers Gas Insulated Switchgear Switchgear Network Protection & Control Electric Motors & Alternators Substation Erection
Leading Product/Service Power Transformers Switchgear System Automation
Figure 102: Transformer Industry: Past Performance and Expected Market Size
Export will also be a good growth driver for this industry. In the 11 th Plan this industry has
grown at a CAGR of 5.5%. By the end of 12 th Plan, CEA has envisaged this market size of INR
29,500 Crore. While looking at the past trend, this industry is expected to grow up to the size of
INR 16,323 Crore.
4.5.6 Prospective Clients
Transmission Utilities
Large amount of projects planned by PGCIL and State transmission Utilities.
Nodal investors in transmission sector.
Distribution Utilities
Large number of projects coming up under R-APDRP and RGGVY.
Thrust on decreasing the AT&C losses: investments in distribution and sub transmission
infrastructure.
EPC Companies
EPC players are flooded with projects due to transformation in utility approach from cost
plus to turnkey basis.
Better commercial arrangement can be outlined.
Repeating orders.
Easy reach to clients exposed to limited established players (transformer manufacturers).
4.5.7 Business Risk
Industry Level risk
Almost all major players have increased their capacities leading to excess supply situation in
the industry.
Pricing becoming an issue especially with Govt. clients.
CRGO Steel and Copper are the key raw material, which are highly price volatile which can
cause unfavourable impacts on pricing.
Transformer Industry is highly dependent and driven by growth in power sector.
lxxxix
Any dent in performance of sector affects the growth of the industry.
Consumer Level Risk
Choice of states and schemes: Certain states and schemes have had huge execution
challenges, administrative and payment issues.
The L1 guidelines are objective leaves no room for subjective matters like quality.
Unilateral testing by State Utilities: Leading to false results and develops dispute. Also
bottleneck in High Voltage Transformer Testing in the Country.
Local administrative and executive staff at utilities: Results in to delayed payments.
4.6 Energy Meter
An electricity meter or energy meter is a device that measures the amount of electric energy
consumed by a residence, business, or an electrically
powered device. Electricity meters are typically calibrated
in billing units, the most common one being the kilowatt
hour (kWh). Periodic reading of electric meters establishes
billing cycles and energy used during a cycle.
In settings when energy savings during certain periods are desired, meters may measure demand,
the maximum use of power in some interval. ‘Time of Day’ metering allows electric rates to be
changed during a day, to record usage during peak high-cost periods and off-peak, lower-cost,
periods. Also, in some areas meters have relays for demand response shedding of loads during
peak load periods.
4.6.1 Types of Energy Meter
Electricity meters operate by continuously measuring the instantaneous voltage (volts) and
current (amperes) and finding the product of these to give instantaneous electrical power (watts)
which is then integrated against time to give energy used (joules, kilowatt-hours etc.). Meters for
smaller services (such as small residential customers) can be connected directly in-line between
source and customer. For larger loads, more than about 200 ampere of load, current transformers
xc
Figure 103: Energy Meter
are used, so that the meter can be located other than in line with the service conductors. The
meters fall into two basic categories, electromechanical and electronic.
Electromechanical Meter
The most common type of electricity meter is the
electromechanical induction watt-hour meter. The
electromechanical induction meter operates by
counting the revolutions of an aluminum disc which
is made to rotate at a speed proportional to the
power. The number of revolutions is thus
proportional to the energy usage. The voltage coil
consumes a small and relatively constant amount of
power, typically around 2 watts which is not
registered on the meter. The current coil similarly
consumes a small amount of power in proportion to the square of the current flowing through it,
typically up to a couple of watts at full load, which is registered on the meter.
Electronic Meter
Electronic meters display the energy used on an
LCD display, and can also transmit readings to
remote places. In addition to measuring energy used,
electronic meters can also record other parameters of
the load and supply such as maximum demand,
power factor and reactive power used etc. They can
also support time-of-day billing, for example,
recording the amount of energy used during on-peak
and off-peak hours.
Now a day, electronic meters are able to store the data for a long time which can be downloaded
at any time of need. Meters with battery back up are able to transmit the data even when main
power supply is off. Various kinds of signaling and indication functions are available to detect
xci
Figure 104: Electromechanical Meter
Figure 105: Electronic Meter
any kind of tempering or violation of safety norms. All of these functions are controlled through
inbuilt electronic microprocessor.
HTMD Meter
This is instrument transformers supported metering
system. This type of meter is connected through the
secondary of current transformer and potential
transformer. These are used at the points in power
system where voltage and current both are at very high
level and their direct measurement is not possible.
Technical Specification:
Type: 3 Phase
Accuracy Class: 0.1, 0.2, 0.5
Current Rating: For the load above 200 Ampere where CT is used
Voltage Rating: For the system above 440
Volts where PT is used
Application:
Generating Stations (Apex Meters)
EHV Substations (Apex Meters)
Distribution Substations
HT Consumers
LTCT Meter
This is current transformer supported metering
system. This type of meter is connected through
the secondary of current transformer but potential
transformer is not used. These are used at the
points in power system current is at very high
level and its direct measurement is not possible.
xcii
Figure 106: HTMD Meter
Figure 107: Apex Meters
Figure 108: LTCT Meter
Technical Specification:
Type: 3 Phase
Accuracy Class: 0.5, 1.0
Current Rating: For the load above 200 Ampere where CT is used
Voltage Rating: For the system up to 440 Volts where PT is not used
Application:
HT Consumers
LT Consumers
DT Metering
LT Whole Current Meter
These meters are free from the use of instrument transformers. These meters are put in to the
path of main electrical circuit. Whole current implies the fact that the entire load current in the
electrical circuit passes through the meter. These energy meters are installed for single and three
phase supply connection types with different current ratings. They are suitable for low voltage
residential supply connections, small and medium
enterprises and low voltage distribution transformer metering. They are designated with single or
three phase supply type, current carrying capacity and accuracy class indices of 1.0 and 2.0 in
compliance with international metering standards.
Technical Specification:
Type: 1 Phase and 3 Phase
Accuracy Class: 1.0, 2.0
Current Rating: For the load up to 100 Ampere
where CT is not used
Voltage Rating: For the system up to 440 Volts
where PT is not used
Application:
Domestic Consumers
xciii
Figure 109: LT Whole Current Meter
Small Commercial Complexes etc.
Smart Metering System: Prepaid Meter
Smart metering has gained popularity by bringing
benefits to all stakeholders in the utilities industry.
Different payment methods available via smart meters
for the amount of energy consumed help end users to
increase payment transparency and enable utilities to
easily comply with regulations on consumer rights.
Prepaid service options have become an attractive
payment solution allowing users to better manage their
energy consumption and optimize their budget
allocation.
Prepayment metering is simple and user friendly. Prepayment or ‘pay as you go’ has been
accepted by the utilities worldwide as a way to improve customer service, cash flow and the
revenue cycle. It is altogether a new arena in India and is likely to be important for revenue and
xciv
Figure 110: Prepaid Meter
Figure 111: Running Cycle of Prepaid Meter
energy management. This will benefit the State Electricity Boards (SEBs), private utilities and
the electricity consumers.
4.6.2 Competitor Analysis
There are more than twenty five companies manufacturing approximately 20 million energy
meters per year in India.
Table 132: Genus Power Infrastructures Ltd
Year of Establishment 1992
Nature of Business
Manufacturing Turnkey Services Automation R&D
Products/Services
Various Kind of Meter Manufacturing EPC in T&D Manufacturing of Meter Testing Equipments Inverters & Solar Product Manufacturing System Automation & SCADA Implementation Custom Built Software Billing Solutions
Leading Product/Service Meter Manufacturing System Automation
Infrastructure Mfg unit: 2 (Rajasthan, Uttarakhand)Annual Turnover(2010-2011 and 2009-10)
INR 720 Crore and INR 623 Crore
Technology Sourcing Indigenous Technology
Global Footprints USA, Germany, UK, Ireland, Canada, Bangladesh, Middle East, Africa,
Brazil, China, Singapore, Nepal
Indian Clientele
Various SEBs of States such as: KSEB, ASEB, RSEB, MSEB, MPSEB, UPPCL, UPCL, DHBVNL, JKPDD
Various Government Organization Such as: ITI, CDOT, Central Electronics Ltd., BSNL, DRDO, BEL
Other Players Such as: Reliance Energy, Ahmadabad Electricity Co., Surat Electricity Company, Tata Power, Torrent Power Ltd, Maruti Udyog Ltd, Instruments Ltd
CertificationISO 9001:1994, IECQ, DLMS Certification, IS, IDEMI, ERTLAwards from BHEL, NPCL etc.
Table 133: Secure Meters Limited
Year of Establishment 1988Nature of Business Manufacturing
Turnkey Services
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Automation R&D
Products/Services
Various Kind of Meter Manufacturing EPC in T&D Manufacturing of Meter Testing Equipments System Automation & SCADA Implementation Custom Built Software Billing Solutions
Leading Product/Service Meter Manufacturing System Automation Manufacturing of Meter Testing Equipments
This can be attributed to sharp decline in financial health of most of distribution utilities during
the FY 2011-2012.
xcviii
Figure 112: Export of Electrical Meters
During the Year 2009-10 sales of
energy meters increased by over
11.3% mainly due to 38% growth in
Single phase static meters. Share of
Electromagnetic meters has further
reduced to 4.5%. CEA guidelines,
which have mandated use of static
meters, have seen the Indian energy
meter market shift largely to static meters. Market share of conventional electromagnetic meters
is on decline and is less than the 5% in 2010-2011.
4.6.4 Market Prospects
The demand for meters, both for Single Phase and Three Phase, is expected to remain good for
next 2-3 years. Utilities are also procuring Indian companion standard compliant meters for
feeders, transformers and HT Consumers. This will lead to good demand for system meters.
Reasonable flow of enquiries with short delivery schedules have been observed from various
SEBs. Procurement of meters for RGGVY is being done by project contractors. An overall sale
of meter industry is expected to remain at current level. The basic underlying problems being
faced by the industry remain same, some of them are actually found to be on the rise.
Varying tender specifications, decreasing prices, practically little attention to quality in the
procurement procedures, etc. continue to bother manufacturers. Huge numbers of meters are
being procured for BPL consumers under RGGVY program through contractors, where both
quality and price have received severe beating. Lack of proper metering at every required point
has been the critical issue with the whole power sector (especially with distribution sector) in
India. But now efforts are being made to put the power sector on track of commercial principle.
It can be achieved only when a utility ensures 100% metering status.
xcix
2006-07 2007-08 2008-09 2009-10 2010-110
50
100
150
200
250
300
51
71 71
165
256
INR
Cro
re
Source: Ministry of Commerce
Table 139: Strategic Analysis
Metering industry has witnessed consistent growth in all aspects such as market size, volume and
quality etc. This trend is likely to continue in the future even at a higher pace. Indian meter
manufacturing industry may gain momentum because of power sector reforms, reduction of
T&D and commercial losses etc. In the 11th Plan this industry has grown at an aggressive CAGR
of 5.8%. By the end of 12th Plan, CEA has envisaged this market size of INR 5,500 Crore. While
looking at the past trend, this industry is expected to grow up to the size of INR 3,158 Crore.
c
Growth Drivers 12th Five Year PlanRGGVY and R-APDRP Projects5 Crore new connections to be addedInvestment in Smart Grid: INR 9,500 CroreInstallation of 850,000 new DTs which require metering also
Central & State transmission utilitiesGovt. & private discomsIndustrial Consumers
Current IssuesHigh diversity in utilities’ demandLack of standardization of software for different metersDiversity in meter class in different statesHigh performance indices and lack of meter testing facilitiesDurability of metersLack of focus on exports
Business RiskMore than 50% market share is held by top two playersPricing issue specially with Govt. clientsIndustry is highly dependent and driven by growth in power sectorLack of domestic testing facility at large scale
Figure 113: Metering Industry: Past Performance and Expected Market Size
CHAPTER – 5
CHALLENGES AND ISSUES
5.1 Increasing Imports: A Major Challenge
Imports of electrical equipment have grown in the past five years at a CAGR of 28.28%. Current
export-import trends based on select major ports trade data indicates alarming growth of almost
20% in imports; especially from China, South Korea, Germany and other EU countries. The
unfavorable domestic economic situation due to depreciation in Indian Rupee, high inflation,
high interest costs, credit squeeze etc. is having a significant adverse effect on the bottom line of
the industry; apart from intense overseas competition. This situation is getting exacerbated by the
Figure 114: CHINA: Import Trend of Electrical Equipments
Prices of key inputs / raw material, especially which are imported in large quantities, are on an
upward trend. Stiff competition in the domestic market from foreign suppliers and also in global
markets is eroding the price competitiveness of Indian manufacturers. The price difference
between domestic companies vis-à-vis Chinese manufacturers is mainly due to disadvantages
faced by domestic manufacturers (State and local levies, higher financing costs, lack of quality
infrastructure, dependence on foreign sources for critical inputs / raw material, etc.), as well as
subsidies / incentives provided to the Chinese manufacturers by their government. It is widely
known that Chinese imports are relatively cheaper because equipment makers from China benefit
from low interest rates and an undervalued currency, which in itself leads to cheaper exports.
India now has adequate domestic capacity to fulfill the anticipated annual demand for power
generation capacity augmentation, which was not the case earlier.
A most recent positive step taken by Indian Government is the approval of long-delayed proposal
to levy 21% import duty on sourcing power equipment from overseas. This move will benefit
domestic equipment manufacturers in the country. In the July 2012, Indian Govt. has approved
5% basic customs duty, 12% Counter Veiling Duty (Excise Duty) and 4% Special Additional
cii
2002-032003-04
2004-052005-06
2006-072007-08
2008-092009-10
2010-11
2011-12(Apr-Dec)
0
10,000
20,000
30,000
40,000
50,000
60,000
2,4744,749 5,616
8,2485,238 3,792
7,280 6,0128,729
6,3577,366
13,00015,765
20,206 21,74724,308
39,658 40,551
47,71244,908
Electrical Equipments Total Imports
CAGR: 17%
2002-032003-04
2004-052005-06
2006-072007-08
2008-092009-10
2010-11
2011-12(Apr-Dec)
0
50,000
100,000
150,000
200,000
250,000
3,388 5,434 7,987 12,28119,191
30,70045,530 45,912
53,968 49,474
13,512 18,62531,892
48,117
79,009
109,116
147,606 146,049
198,079212,080
Electrical Equipments Total Imports
CAGR: 41%
Source: Ministry of Commerce
Source: Ministry of Commerce
Figure 115: KOREA: Import Trend of Electrical Equipments
Duty (SAD), totaling 21%. Earlier, the government had imposed of 5% customs duty on import
of power equipment for projects of less than 1,000 megawatt (MW) capacity, while projects with
more than that capacity did not attract import levy.
5.2 Critical Issues
The T&D sector today faces several major challenges. Some of them are as under.
Inadequate Availability of Critical Inputs (Raw Material)
Looming Skill Gap, Manpower Issues
Lack of Standardization
Inadequate Domestic Testing and Calibrating Infrastructure
Frame Model Procurement Guidelines/Practices for Utilities
Promotion of Innovation and R&D in the Industry
Right of Way, Forest Clearances and Land Acquisition Issues
Price Variation Issues
ciii
CHAPTER – 6
CONCLUSION AND RECOMMENDATIONS
6.1 Business Opportunities
After the comprehensive analysis of the present market scenario, market players, growth drivers
of the sector, imports & exports, future investment etc. following market has been explored as a
business opportunity for a new entrant in the market.
Name of the Equipment Business OpportunityCable OutstandingConductor LowTransmission Tower MediumSwitchgear & Control HighTransformer Medium to HighEnergy Meter Outstanding
6.2 Cable
Cable manufacturing in India is the business full of opportunity. Although this segment has
witnessed the highest growth in the market size, yet India needs more cable manufacturing
capacity in EHV segment. Since EHV cable manufacturing is highly technology oriented process
therefore number of existing players in this segment is relative low. For entering in to this field
civ
now Indian manufacturers are doing partnership with some technologically mature player
irrespective of Indian or foreign origin. Future of this industry can be rated as ‘Outstanding’.