BHEL EXCELS ON ALL COUNTS; BHEL's Turnover surges 29%; Net jumps 44% to Rs.24,150 Million in 2006-07

Bharat Heavy Electricals Limited (BHEL) has completed yet another successful year (2006-07). BHEL added 7,863 MW Power Generation capacity in 2006-07. BHEL achieved an all-time high turnover of Rs.187,390 Million, notching a growth of more than 29% over the previous year. Net profit has soared by 44% to Rs.24,150 Million. BHEL announced to pay a total 245% of dividend on its original equity (dividend of 60% of the enhanced paid-up share capital of Rs.4895.2 Million after bonus issue excluding interim dividend of 125% paid earlier). An issue of Bonus Shares in the ratio of 1:1 has been declared by the company.

Significantly, in the 10th plan, BHEL has commissioned power projects totalling more than 15,000 MW for the benefit of the country (which includes part of Tehri and Dabhol and the 1,020 MW Tala Hydro project in Bhutan). Against a target of 41,110 MW for capacity addition in the country during the 10th Plan, orders for 18,696 MW were placed on BHEL for commissioning in the 10th Plan. However, due to BHEL’s sustained efforts, it was able to achieve 80% of its target for the plan period, while only 53% of the orders placed on suppliers other than BHEL were commissioned during the Plan period. BHEL is confident of commissioning the remaining projects in the first half of 2007-08.

BHEL was set up with a mandate to make the country self-reliant in the manufacture of power plant equipment. Today, the company’s generating equipment (Thermal, Hydro, Nuclear and Gas) forms the backbone of the Indian energy sector. BHEL’s generating sets installed in the country total to nearly 81,000 MW today. Notably, BHEL sets generate 73% of the total power produced in the country while accounting for 65% of India’s installed generating capacity of over 1,25,000 MW (as on 31/3/07). In real terms, this translates into nearly three out of every four homes in India being lit up with power generated by BHEL sets.

BHEL sets have also been consistently achieving higher PLF than National average demonstrating higher level of performance. During 2006-07, BHEL thermal sets achieved an all-time high Plant Load Factor (PLF) of 78.3% which was higher than the national average by 1.5%. Operating Availability (OA) of these sets was also the highest ever at 84.7%. Notably, 75 BHEL sets achieved PLF of over 90% while six BHEL-make thermal sets of various ratings operated at a record PLF of 100%.

Out of the 34 power stations (thermal, nuclear, gas and hydro) awarded with the Govt. of India’s Meritorious Productivity Awards for excellent performance (2004-05 & 2005-06), as many as 29 are equipped with generating equipment manufactured and supplied by BHEL. Significantly, 11 of the 12 power stations awarded with the Gold Shield are equipped with BHEL sets, once again establishing the reliability and quality of BHEL’s equipment.

BHEL is well on its way to achieve 10,000 MW capacity by Dec., 2007. Aimed at equipping itself to meet the country's power capacity addition in 11th plan, BHEL has embarked upon a very ambitious plan of enhancing its manufacturing capacity by a massive 250% from 6,000 MW to 15,000 MW per annum with a total investment of around Rs.32,000 Million. The company has also taken steps for upgradation/introduction of new technologies. It has tied up to acquire new technology to produce thermal power equipment with super-critical parameters for the next higher rating 800 MW sets and above. Introduction of higher rating hydro turbine generator sets and advanced class Gas Turbines has also been planned to cater to upcoming market requirements.

STOP PRESS: BHEL synchronized on 27 May, 2007 one 500 MW unit of Sipat-4 STPP in the state of Chhattisgarh.