New Delhi, Dec 13 (UNI) Finolex Cables Ltd (FCL) today said it has inked a joint venture agreement with Japanese firm J-Power Systems Corporation (JPSC) for complete turnkey solutions in extra high voltage (EHV) cable systems in the country and abroad.
The JV -- Finolex J-Power Systems Pvt Ltd -- is expected to be established in January 2008 near Pune in Maharashtra for manufacture and sale of high voltage power cables up to 500 kV grade, a company statement said.
The JV will also offer complete services of turnkey installation and connectorisation of the complete circuit alongwith the supply of power cables and accessories (jointing kits), it added.
JPSC, a cable manufacturer, specialises in high voltage power cables and systems. Formed in 2001, the company is an equally-owned joint venture between Hitachi Cable Ltd and Sumitomo Electric Industries Ltd.
''The consumption and hence the requirement of power is ever increasing in all the cities. This is leading to a high demand for cables for bulk power transmission. HV and EHV cables are mostly used for carrying power in populated urban areas where overhead transmission is impossible due to non-availability of corridor,'' said FCL Managing Director Deepak Chhabria.
The Planning Commission and the Kohli Committee have pegged investment targets in the power generation sector at about Rs 2,48,800 crore, which will be needed to create 62,213 MW of new power generation capacity during the 11th Plan (2008-2012).
Investment in power transmission is pegged at Rs 69,500 crore in the 11th Plan. Distribution and rural electrification would generate investment of Rs 1,10,000 crore and additional requirement coming from APDP (Accelerated Power Development and Reforms Program) to upgrade the existing network would generate further demand for cables.