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Talks under way on BHEL-KEL tie-up

THIRUVANANTHAPURAM: Kerala Electrical and Allied Engineering Company Limited (KEL) and Bharat Heavy Electricals Limited (BHEL) are contemplating a joint venture for the manufacture of ‘brushless alternators’ used in the power cars of trains.

Talks on the joint venture are in an advanced stage, according to a top official. The project will involve an investment of around Rs.60 crore by the Union public sector BHEL in Kerala.

The Kasaragod unit of the State public sector KEL is already making ‘brushless alternators.’

It started manufacturing this product in 1990 with technical collaboration of a French company Leroysomer. KEL’s engineers subsequently redesigned the product to suit the needs of the power cars of Indian Railways. It is used in fully air-conditioned trains such as the Rajdhani Express and Shatabdi Express.

Under the joint venture being contemplated, additional machinery is to be installed at the Kasaragod unit of KEL for increasing the factory’s production capacity.

The proposal also involves setting up new facilities for the manufacture of traction motors.

“A team of top officials from BHEL recently visited the State to discuss the proposal.

The two sides have identified several areas of synergy,” sources said.

This venture is in line with the new strategy of the State Industries Department to probe the possibility of fruitful partnerships between State public sector undertakings and Union public sector entities. In December last, the India-Russia cruise missile manufacturing company BrahMos Aerospace had taken over Kerala Hightech Industries Limited in Thiruvananthapuram.

Steel Industries Kerala Limited (SILK) and the Indian Railways are working out the details of a joint venture for a wagon manufacturing unit at SILK’s facility at Cherthala in Alappuzha district.

The State public sector Steel Complex Limited in Kozhikode is likewise likely to get a new lease of life under the umbrella of Steel Authority of India.

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Talks under way on BHEL-KEL tie-up

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