Power ministry asks industry to make import replacements
NEW DELHI: The power ministry has dialled domestic manufacturers, including majors such as L&T and state-run Bhel, for launching a phased manufacturing programme to replace items being imported, especially from China, and assuring them of 100% preference to ‘Made in India’ equipment in contracts.
“We are creating a separate division in the ministry for 100% indigenisation of the power industry. This will review the domestic manufacturing ecosystem and work with the industry towards making local replacements for items that are not made here so there is no need for imports,” power and renewable energy minister Raj Kumar Singh told TOI.
The power sector currently imports 604 items, 392 of which are also made here. Roughly 212 items are not made here, but then local alternatives are available for 102 items. That leaves 101 items that need to be made locally. India’s power gear imports stood at Rs 71,000 crore last year, including Rs 21,000 crore from China.
Ever since the ministry put curbs on power gear imports from China, Singh has been asking industry to step up and expand the range of local manufacturing. Last week, he asked L&T chairman A M Naik to make prepaid meters instead of smart meters. He is expected to ask Bhel to expand its portfolio during a forthcoming review.
