projects in vijaywada

ciry · Posted: Fri May 09, 2008 11:54 am Post subject:

BHEL takes over BHPV, inks pact for power plant at Vijayawada

Visakhapatnam, May 10 Bharat Heavy Electricals Ltd (BHEL) took over Bharat Heavy Plate and Vessels Ltd (BHPV) on Saturday; it also signed a memorandum of understanding with AP Generation Corporation for setting up a 125-MW integrated coal gasification combined cycle power plant at Vijayawada.

At a public meeting at the BHPV attended by Mr P. Chidambaram, Union Finance Minister; Mr Santosh Mohan Dev, Union Heavy Industry Minister; Mr S. Jaipal Reddy, Union Minister for Urban Development; and Dr Y.S. Rajasekhara Reddy, Andhra Pradesh Chief Minister, the authority letter relating to the takeover was handed over by Dr Satyanarayana Dash, Secretary of the Union Department of Heavy Industry, to Mr K. Ravi Kumar, Chairman and Managing Director of BHEL.

Mr Ravi Kumar said BHPV would be developed as a dedicated centre for industrial boilers; Rs 236 crore would be spent on the unit during the next three years and its turnover would touch the Rs 1,000-crore mark in five years.

Mr Jairam Ramesh, Union Minister of State for Commerce and Power, hailed the MoU for the 125-MW integrated coal gasification combined cycle power plant at Vijayawada. He said the power plant would cost Rs 950 crore, of which BHEL would bear Rs 450 crore and AP Genco the rest. The power plant would employ clean coal technology and would be a great step forward, he added.

Mr Chidambaram said it was a memorable day both for BHEL and BHPV. “The UPA Government is committed to the revival of ailing PSUs and we have so far revived 29 PSUs during the past four years, incurring more than Rs 13,000 crore,” he said and exhorted the BHPV workers to work harder for the revival.

Referring to the workers’ demand for wage revision, he said the Government was sympathetically considering it.

Mr Santhosh Mohan Dev said there were “significant similarities in the product mix and businesses of BHEL and BHPV, and this has been the guiding factor for the takeover.” The synergy would make the marriage a success but hard work should be put in by both partners, he said.

Stating that he was aware of the pending issue of wage revision for the BHPV staff, he said it would be taken up. “First, however, BHPV should be pulled out of the red and then a package can be prepared for the BHPV staff,” he promised.

Dr Rajasekhara Reddy said it was a red letter day in the history of BHPV. “The State Government has parted with 375 acres of land, and waived so many tax dues by BHPV, to enable the takeover by BHEL. Now I am sure there will be a turnaround in the fortunes of the unit. I am sure the issue of wage revision will also be taken up and resolved,” he said.
Revival of HSL

Hailing the takeover, Mr Jaipal Reddy said the UPA Government was also committed to the revival of Hindustan Shipyard Ltd (HSL) at Visakhapatnam and added that he would personally do his best to achieve the objective.

Mr Sitaram Yechury, CPI(M) leader, said the takeover was a very good move and the UPA Government would have the support of the Left for all such steps. There should be a level playing field for the PSUs with the private sector, he said.

He also urged speedy wage revision for the BHPV staff.

Mr G. Sanjiva Reddy, INTUC leader, Mr N. Janardhana Reddy, local MP, Mr T. Subbarami Reddy, Rajya Sabha member, and several others spoke.

Source: http://www.thehindubusinessline.com/2008/05/11/stories/2008051150900200.htm
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Bezawada Bebbuli