According to reports in Financial Chronicle, the $2.5 billion (Rs 11,337 crore) Kalyani group, which owns Bharat Forge and has interest in sectors ranging from steel to specialty chemicals, is betting big on wind energy and is taking on multinationals such as GE and Siemens besides Vestas and Suzlon in the wind turbine manufacturing business.
Amit Kalyani, head of group strategy and infrastructure business at Kalyani group, told Financial Chronicle that the group was focusing on wind energy.
“Our renewable energy business will be clocking $400 million strong and is growing very fast by catering to large quality and technology-conscious customers,” he said.
The focus on wind energy follows growing government and private sector interest in renewable energy development in India, in which wind is the most popular segment. “The Indian market for wind power equipment is doing very well but the global market for the same is in a pathetic state,” said Sumant Sinha, former chief operating officer of Suzlon, India’s largest wind power company.
Kenersys, which designs, manufactures and markets onshore wind turbines, was founded in 2003 as a German engineering and consulting company focused on wind industry, providing turbine expertise, technical due diligences, turbine design and strategies for well-known manufacturers and component suppliers. In 2007, it forayed into wind turbine manufacturing.
Sinha, who is now chairman of SaVant Advisers, has also set up a renewable energy firm that has placed orders for wind turbines with the company promoted by Bharat Forge.
The company claims to have the most experienced and innovative specialists who were closely associated with the highest selling turbine globally and have designed a range of wind turbines that can generate 1-3.6 mw. “We don’t have a fear of technology. Rather, in our group, we like the challenge of technology,” said Amit.
“In the last three years, we built the wind energy plant. We are selling 2 mw and 2.5 mw wind turbines this year. Next year, the business will be almost four times over. At present, we have an order book for 600 mw. In the old days, wind turbines had incentives based on capital cost and now it is based on generating power and that’s where our Kenersys Synerdrive technology comes in,” Baba N Kalyani, chairman of Kalyani group told Financial Chronicle.
The wind turbine manufacturer has developed two platforms — K82 2.0mw and K100 2.5mw. Kenersys says its turbines are the first “open source solution” in the wind power industry. They provide all relevant turbine data and an easy access to spare parts, allowing customers to service turbines with external partners or by themselves.
Amit Kalyani said Kenersys was catering to large quality-conscious customers and counts firms such as Tata Power among its clients.
A senior Tata Power executive said the firm had placed orders for turbines aggregating to almost 90 mw to be delivered in phases. “Kenersys has one of the largest turbines being sold in India. We find their equipment good and working well and competitive on price too,” said the executive.
As Panchabuta has earlier reported, Tata Power and Reliance Power have announced ambitious renewable energy plans with aggressive targets and have wind as a major contributor towards the targets. Caparo energy a wind focused IPP with a target 5000MW by 2017 also has a business partnership agreement with Suzlon Energy Limited (“Suzlon”), for its phase one, to acquire up to 3,000 MW of wind power generation farms.
Just recently, ACCIONA Energy has closed the long-term financing of the 56.1-MW Tuppadahalli wind farm that it is building in Karnataka state (south-west India) with Infrastructure Development Finance Company Limited (IDFC), a leading Indian infrastructure finance company. The agreement has been completed in three months, a record for this type of operation.
Suzlon seems to continue unabated with orders, as Suzlon Group REpower just concluded a 300MW first contract under a 954 MW framework agreement with Saint-Laurent Énergies. A couple of days ago they announced a joint venture with St. Louis based Affinity Wind to develop 150MW projects in Illinois.
Just a couple of days before that Suzlon Group, the world’s third leading wind power company, announced a memorandum of understanding (MoU) with the Government of Gujarat to develop 1,000 megawatt (MW) of new wind power capacity in the state over the next three years a few days back.
A couple of weeks ago Suzlon had signed an agreement with Hindustan Zinc Limited, a Vedanta Group company and the world’s largest producer of zinc, to set up, operate and maintain 150 megawatt (MW) of wind power projects across the states of Karnataka, Maharashtra, Rajasthan and Tamil Nadu.