Toshiba JSW Power Systems has deferred the expansion plan of its turbines and generators manufacturing facility in Manali, near Chennai, at least for the next two to three years as it wants to build a meaty export order book, a top official said.
Talking to The Hindu, Toshiba JSW Power Systems Managing Director, Yoshiaki Inayama, said: “This decision has been taken considering the present market conditions for which the existing production capacity is suitable.”
Recently, Toshiba Japan indicated that energy and data storage were going to be the main focus areas. “We will be tying up with Toshiba for exporting our turbines to South East Asian region. We might get export orders of 660 MW in early 2016 and it might take 22 months to execute,” he said.
Regarding the domestic market scenario, he said the performance for the current financial year was better than 2014. But production had to be suspended during December as the manufacturing activities were disrupted at Manali plant due to heavy rains and floods. “To maintain the commitments to our valued customers, we are working round-the-clock and putting in our best efforts to restore normal manufacturing levels,” he said.
Mr. Inayama said they hope the reallocation of coal blocks by the Union government will revive the fortunes of Toshiba JSW.
“The (thermal power) project biddings will commence next year and we hope to get some orders. It could be in the region of 660 MW. Currently, we are manufacturing turbines for NTPC, State Electricity Boards and Independent Power Producers,” he said.
JSW bagged three orders from NTPC for executing Steam Turbine Island projects on EPC basis for delivery of 800 MW and 660 MW ranges, which are now being delivered in stages. Recently, Toshiba bagged order on turnkey EPC basis from Uttar Pradesh Rajya Vidyut Utpadan Nigam for setting up a 660 MW thermal power plant in Aligarh District. The foundation laying work began in December and it would be delivered soon, he said.
Toshiba JSW has a capacity to produce generators and turbines of 3,000 MW a year for thermal power plants. Currently, it is manufacturing five units of 880 MW turbines and generators and 2 numbers of 660 MW. In the over Rs.800 crore joint venture, Toshiba Corporation of Japan has 75 per cent stake while JSW group 25 per cent.