China power major eyes transmission projects in India, alarm bells ringing

[Markus]

China power major eyes transmission projects in India, sets alarm bells ringing​

The country’s grid managers have been forced to look at rewriting rules in the country’s power transmission business, following a formal move by the State Grid Corporation of China (SGCC) to set up base in India.

The government-owned Chinese firm — the world’s largest electrical utility and ranked seventh in the 2011 Fortune Global 500 list of the largest global companies by revenue — has already conducted a preliminary recce for a transmission link project in the country. It has also put in a bid for another corridor through the competitive bidding route.

Current rules provide foreign players unfettered access in the strategic transmission sector. The show of interest by the China firm, however, has prompted calls for a rethink, according to government officials involved in the management of the Indian grid. Internationally, most countries do not allow foreign participation in their grid networks.

Currently 100 per cent FDI is allowed through the automatic route in the power sector in India, including transmission. A couple of players from Spain already have a presence.

The worry with the Chinese firm is more to do from the strategic viewpoint. While the Beijing-headquartered grid major is still to bag a project in India, it had been technically disqualified for the only section where it put in a bid in March this year (the Rs 1,400-crore 765-kV Vemagiri-Hyderabad package) as the information format submitted by it was deemed “incomplete”.

In its meetings with top central government officials here, SGCC has indicated that apart from bidding for corridors, it is keen on outright purchase of grid operations, if sections are on offer.

Re-look at rules

* SGCC is among world’s largest electrical utilities

* Has conducted preliminary recce for a transmission link project

* Foreign players currently have unfettered access in transmission sector

China power major eyes transmission projects in India, sets alarm bells ringing - Indian Express

 

[Chinese-Dragon]

India needs to improve its power infrastructure, and fast, considering the recent nation-wide blackout.

However, having a rival country setting up your power infrastructure doesn't seem to be the best idea.

(Even though Indians are already using Chinese firms to build roads and railways in India.)

 

[Yogi]

India needs to improve its power infrastructure, and fast, considering the recent nation-wide blackout.

However, having a rival country setting up your power infrastructure doesn't seem to be the best idea.

(Even though Indians are already using Chinese firms to build roads and railways in India.)

care to explain which Chinese firm is laying Railway lines in India

 

[humanfirst]

care to explain which Chinese firm is laying Railway lines in India

Not railway lines but metro trains..

 

[DARIUS]

care to explain which Chinese firm is laying Railway lines in India

He might be referring to the Metro coaches that have been procured from a Chinese Firm for the Mumbai Metro!!

 

[bhisma]

Why Ashok chauhan gov is not buying the coaches from Vadodara based factory ?? There coaches looks much better.. May be it is busy with current order from Delhi metro and some orders from Australia..

 

[bhisma]

India needs to improve its power infrastructure, and fast, considering the recent nation-wide blackout.

However, having a rival country setting up your power infrastructure doesn't seem to be the best idea.

(Even though Indians are already using Chinese firms to build roads and railways in India.)

If it is cheap,

If it employes 99% Indian in its work force,

If it is transparent with its activity,

then I don't think GOI will stop them, infact chinese firm will to the job efficiently and fast as well..

 

[kawaraj]

If I were China, I won't let our contractors help building up India(A potential enemy)'s infrastructure.

 

[JayAtl]

If I were China, I won't let our contractors help building up India(A potential enemy)'s infrastructure.

you should write to them for citizenship and stop wasting that great mind in Japan, yet another enemy of China.

 

[JayAtl]

The problem stems from a simple issue that every country worth a dime and with security concerns disallows China from entering such bids.

The issue is of no red lines between private and govt owned companies in China. i.e. their companies are known to be beholden to the CCP leadership. Unlike western countries where the private companies challenge and even take to court its govt if they see a breach in their right to be separated from the govt.

China's companies are a huge security risk to other other govt's national security for this reason.

 

[StingRoy]

Why Ashok chauhan gov is not buying the coaches from Vadodara based factory ?? There coaches looks much better.. May be it is busy with current order from Delhi metro and some orders from Australia..

It is purely Reliance's choice...They are building the Mumbai Metro .. and Reliance has traditionally been in favor of Chinese technology because of the lower costs. Hope this project is a success which can prove a cheaper alternative to the Bombardier and Hyundai Rotem rolling stock.

 

[INDIC]

India needs to improve its power infrastructure, and fast, considering the recent nation-wide blackout.

However, having a rival country setting up your power infrastructure doesn't seem to be the best idea.

(Even though Indians are already using Chinese firms to build roads and railways in India.)

Which railway line CD.