Chennai, Aug 31 (IANS) Bharat Heavy Electrical Ltd (BHEL), one of Asia’s largest power equipment majors, is focussing on geographical diversification of its overseas markets which offers a market potential of around 165 GW, the company said.
BHEL is targeting countries like Russia, Kazakhstan, Belarus and Tajikistan that form a part of the Commonwealth of Independent States (CIS) and also hold promising investment avenues.
In its annual report for 2013-14, BHEL said: “The addressable markets for BHEL add up to a considerable 165 GW based on the current overseas footprint and presents a huge opportunity.
According to BHEL, memorandums of understanding (MoU) have been been signed with the government of Russia’s Buryatia for construction of 240 MW Ulan Ude Thermal Power Station – 2 and with the African nation of Malawi for installation of 2 to 4 MW Solar PV Power Plants on EPC basis.
“Also, MoU was signed with Power Plant EPC Ltd for relocation of 2×21 MW Power Plant to Mozambique,” the annual report states.
According to BHEL, geographical diversification is one of the strategic thrust areas and detailed action plan is in place to achieve quantum jump in overseas business with identification of target markets.
The company said it has established its references in 76 countries across all inhabited continents of the world.
The power equipment major said revival of the global economy and easing of political and civil unrest in the Middle East and North Africa (MENA) region will open new avenues for BHEL in the coming years, especially in the Gulf region.
“Countries like Oman, Libya, Yemen and Iraq will continue to add power capacity to meet growing electricity demand. Similarly, a lot of potential exists in power starved African continent which offers good opportunity for company to enhance its footprints in this region,” the annual report notes.
Last fiscal, the company secured orders worth Rs.28,007 crore from its varied business lines. In the power sector, it commands a market share of 72 percent.
The company is also focussed on new opportunities like the solar power and plans to set up an integrated manufacturing facility for 480 MW solar photo-voltaic systems.
On the nuclear power sector, BHEL said it is primarily driven by government policies, public perceptions and global dynamics.
The Indian government has proposed developing large scale nuclear parks, spread across various locations, with the participation of leading global nuclear power companies, the company said.
