The Union Heavy Industries Ministry has sought the Prime Minister’s intervention for making domestic sourcing of equipment mandatory in new Ultra Mega Power Projects (UMPPs).
Union Heavy Industries Minister Praful Patel has written a letter to the Prime Minister Manmohan Singh in this regard saying that such mandatory sourcing of domestic equipment will facilitate in utilising the domestic manufacturing capacity optimally. If implemented, this will benefit domestic power equipment manufacturing companies such as BHEL, L&T, Bharat Forge and Alstom.
Ultra mega power projects are those having capacity to produce more than 4,000 mw. The Government is in the process of inviting bids for two such projects — Bedhabahal in Odisha and Sarguja in Madhya Pradesh. It has already awarded four projects (Sasan in Madhya Pradesh, Mundra in Gujarat, Krishnapattnam in Andhra Pradesh and Tiliya in Jharkhand).
Patel argued that domestic manufacturers have already set up modern facilities for manufacturing coal-based power plant equipment in excess of 20,000 mw per annum, against the power addition target of an average of 14,000 mw per annum for the 12th Plan period.
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