Mumbai May 7 (UNI) JSW and Toshiba today announced a joint venture to manfuacture and market steam turbines and generators in India with an initial capital of 50 million US Dollars.
JSW in a release here said that Japanese partner would have a 75 per cent stake in the JV to be established in June with JSW Energy having 20 per cent and JSW five per cent. The scope of the JV includes design, manufacture, marketing and maintenance services of mid- to large-sized steam turbines and generators, ranging in size from 500 mega watts (MW) to 1,000 MW, that would be deployed in highly efficient super-critical thermal power plants.
The Project would involve a capital expenditure of USD 250 mn and planned to go on stream from September next year.
The companies were now deciding the location of the headquarters and manufacturing facilities, and will announce the details in due course.
Toshiba had already established a strong presence in the Indian market, and in August 2007, won a major contract to supply five large super-critical steam turbines and generators to Tata Power, India's largest private power sector utility.
The joint venture would further enhance Toshiba's presence and, by deploying Toshiba's cutting-edge technology for steam turbine generators, would become a cost-efficient, strategic manufacturing site for the growing steam turbine and generator market.
Commenting on the joint venture, JSW Energy Joint Managing Director and CEO S S Rao said, ''This alliance is aimed at giving us an advantage in the Indian energy sector. The JV is aimed at responding to expanding electricity demand in tandem with India's economic growth.'' ''This investment is a significant step for Toshiba, one that will give us a firm foothold in the rapidly growing Indian market for thermal power generation,'' said Atsuhiko Izumi, Executive Vice President of Toshiba's Power Systems Company.
The release said Keihin Operations, Toshiba's power equipment production facility in Yokohama, Japan, would complement the JV's effort to ramp-up the manufacturing process in the begining, as the JV aims to establish an independent production scale of 3,000 MW a year. Marketing activities will start in June 2008, it added.
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