Companies

Second phase of Siemens' Vadodara facility on stream

Gujarat Chief Minister Narendra Modi on Tuesday inaugurated the second phase of international energy company Siemens' steam turbine and compressor manufacturing facility at Vadodara here.

Siemens Managing Director Armin Bruck and Chief Executive Officer (Energy Sector) A. K. Dixit said the company proposed to invest about Rs.400 crore in developing wind turbines in India in the next two years. The company would design and manufacture these equipment and make the next phase of the expanded facility operational by 2013. The Vadodara unit would have the capacity to manufacture steam turbines of 150 MW against 45 MW at present. The capacity would be increased further to 250 MW at a later stage.

Mr. Bruck said the outlay on the wind turbines project would be part of the Rs.1,600-crore worth of investment plan in India announced earlier by company President and CEO Peter Loescher to set up six hubs of base level products. The manufacturing facility for steam turbines larger than 45 MW, which was one of the six hubs, had now been established at Vadodara, and the other five hubs were under way. These products would cater to the mid and low-end market segment constituting around 70 per cent of the total domestic market.

The company envisaged production of some 60 products at Vadodara.

Siemens, in which Siemens AG hold 55.18 per cent stake, comprises 19 legal entities with 21 manufacturing plants in India, with business volume of Rs.12,000 crore in 2009.

Mr. Dixit said Siemens was making Gujarat a major service centre for turbines and compressors as a continuous business proposition.

The company was at present providing technology through the public sector Bharat Heavy Electrical to power plants of up to 800 MW, based on super-critical technology.

Earlier inaugurating the facility, the Chief Minister said he had requested the company to develop Vadodara as a knowledge hub to which the company officials had agreed to put up the proposal before its board for approval to start educational institutions.

Referring to the progress of the State from a mere ‘trader State' to a major ‘industrial State' in the last decade, Mr. Modi said the future development of Gujarat would be based on three main pillars with each of the one-third share going to industries, agriculture and the service sector.

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Printable version | Apr 16, 2021 11:50:34 PM | https://www.thehindu.com/business/companies/Second-phase-of-Siemens-Vadodara-facility-on-stream/article15575542.ece

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