NEW DELHI: Riding high on its monopolistic status in power equipment manufacturing and seeking a bigger role in the global market, Bharat Heavy Electricals Limited (BHEL) has decided to go overseas. It has set a target of achieving a turnover of $10 billion in 2011-12 against the present $4 billion. The company achieved another landmark with its order book touching $1 billion. The company was looking at exports as one of the key growth-drivers and was targeting a seven-fold increase in physical exports, a senior company official said.

Giving a cutting edge to its globalisation efforts, BHEL will position itself as a regular engineering, procurement and construction (EPC) contractor in international markets, besides taking the mergers and acquisitions route to avail itself of the growth opportunities.

The official said the company secured physical export orders of Rs. 1,903 crore during the year in comparison to an average yearly order book of Rs. 1,275 crore during the last five years.

The company received orders for power equipment for over 900 MW of power projects and 5,600 MVA of transformer capacity, spread across ten countries, besides successful forays in a host of new market segments. This performance has been achieved despite operating in a highly competitive international market dominated by well-entrenched multinational companies.

Major orders

Significant orders from overseas markets included a second export order for a 240 MW ADB-funded gas turbine based power plant at Siddhirganj from Electricity Generation Company of Bangladesh on an EPC basis; 500 MW gas turbine based power plant on an EPC basis from MGI, Jordan, a major breakthrough in the IPP segment; order for gas turbines for co-generation application — 2x26 MW for Oman Refinery Company, order from Tajikistan for repair and maintenance and upgrading of Varzob hydro project of Barji Tajik, Tajikistan; order for compressors from France, secured from Grande Paroisse (a Total Group company) and the largest export order for 23x125 MVA transformers from Egypt.

In overseas project execution, a significant landmark was achieved with the completion of the 600 MW Western Mountain Power Project in Libya.

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