India to buy $8 billion generators from China

[Capt.Popeye]

I am sorry, but are you implying India doesn't manufacture power generators?

I thought Kirloskar was manufacturing Diesel Generators...

So is BHEL and ABB INDIA and SIEMENS and CROMPTON GREAVES, among many others.

Reliance went shopping for the "best possible deal ' i.e. the cheapest equipment to meet specifications. And if supplier's credit is thrown in to the deal, then it gets sweeter. Reliance pays some money up-front; the rest is financed by the supplier's (or any other) credit. Reliance is then able to use its own money to invest in some other activity. While getting tax-breaks on credit repayments. Credit is a great "force multiplier".

Seems rather surprising that some posters on this thread with limited knowledge reminiscent of cooks and drivers are trying to analyse commercial and technical deals.

 

[CardSharp]

Have you ever considered that this can also be interpreted as, manufacturing doesn't require brain power, but needs more manpower, so lets procure it from someone who has more manpower to manufacture it... Have you ever considered this POV???

You have got to be kidding me. That's your excuse? India with a population of 1.3 billion is short of manpower? The technology for making modern turbine generators is obviously more advanced in China.

 

[IND151]

yes!

---------- Post added at 06:07 PM ---------- Previous post was at 06:06 PM ----------

India has hi tech technology.

---------- Post added at 06:08 PM ---------- Previous post was at 06:07 PM ----------

india rox!

 

[IND151]

Reliance Power to buy equipment worth $10 billion from Shanghai Electric news

28 October 2010

In what could be the single largest order by a power producer, Reliance Power today announced that it would purchase $10 billion worth of boilers, turbines and generators from Shanghai Electric Corporation.

The company would use the equipment for its proposed 30,000 MW power plants (36 coal-fired generators of 660-megawatt each), over a decade.

Reliance Power said financing of the equipment has been arranged through Chinese banks such as Bank of China, China Development Bank and The Exim Bank of China.

Shanghai Electric, in its filing with the Hong Kong stock exchange, said: "Contracts (for the supply) order are expected to be signed."


Reliance Power chairman Anil Ambani is in Shanghai to sign the contract for supply of equipment for the three ultra mega power projects, each with a capacity of nearly 8,000 MW.

The equipment will be supplied to Krishnapatnam ultra mega power project, Chitrangi project and Tilaiya power plant, each of 7,920 MW capacity.

 

[IND151]

I COMPLETED HUNDRED POSTS!

 

[Peacefulll]

can you look in the mirror and say that with a straight face?

Errrr... before asking him that question, can you honestly say that, after the troll-manager party officials standing behind you with a whip leave for the day, can you honestly make nonsene comments like "India cannot make generators"? You ought to do some googling before believing what People's daily and Xinhua tell you, isn't it?

 

[below_freezing]

Errrr... before asking him that question, can you honestly say that, after the troll-manager party officials standing behind you with a whip leave for the day, can you honestly make nonsene comments like "India cannot make generators"? You ought to do some googling before believing what People's daily and Xinhua tell you, isn't it?

then use the ones you make. why aren't indian companies putting their money on indian products? we know the reason.

 

[bandmaster]

do you know how difficult it is to design and manufacture a generator? i'm not surprised that india can't do it, most countries except maybe 10 can't do it. there's so much fluid mechanics, materials science, thermodynamics, electromagnetics and computers in the design and construction of a generator, that it takes whole teams of engineers to design and manufacture.

1. All the scientific fields you are talking about are nearly a century old. These generators are really huge, they are not made for performance and certainly do not require/use superalloys (the only engineering "black magic" required).
2. Your governments subsidies are responsible for the low price in turbines. The tax YOU paid is being used to subsidize the purchase by an Indian private company. Reliance Power, Shanghai Electric ink $8.3 bln deal | Reuters
3. Indian turbine manufacturing capacity has already been exhausted for several years, requiring imports. All five thermal plant manufacturers are over booked. BHEL is booked for the next three years. Reliance Pact Just the First Big China Deal - India Real Time - WSJ

 

[subject17]

It's win - win for both parties, let the people do business.

Chinese are doing great business, we should learn from them.

 

[bandmaster]

Will India ever payback the loans ???

Your trolling is totally misdirected. It is purchased by a private Indian company whose owner can repay this amount out of his bank balance.

 

[IND151]

India rox!

 

[BTG]

You have got to be kidding me. That's your excuse? India with a population of 1.3 billion is short of manpower? The technology for making modern turbine generators is obviously more advanced in China.

Please read my reply in the context of what the thread starter posted...

It was not my intention to say India is short of manpower... I was trying to make the member understand that any statement can be interpreted in different POV's...

But coming to the topic, I agree that Reliance could have agreed to purchase the generators from China, because they must be technologically advanced and also could be cheaper compared to other international brands...

But this should not be considered as India cannot produce power generators on its own... I know Kirloskar manufactures generators... And other members also posted the names of many other India manufacturers...

I would think since the demand was more and India couldn't build so many generators at such short time, they procured this from China...

 

[Peacefulll]

then use the ones you make. why aren't indian companies putting their money on indian products? we know the reason.

Do you, now? Enlighten me? What's the reason?

I will tell you. It is simply because China, in this case, offered a cheaper deal to Reliance than other companies did. Have you ever wondered why the UK/US etc. buy generators from you?

After all, it's from the West that you flicked the technology to build generators, on the basis of which you trolls are jumping today.

Edit: one more thing: if we go into the root of the issue, let's ask a question: HOW is China able to produce things so cheap? We all know the answer, don't we?

 

[IND151]

dont feed trolls.

 

[SpArK]

Another masterpiece from relience in 2 weeks. Last week it was news of big GE deal turbine now this.. good going.