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Suzlon-Tulsi Tanti’s four rules for Cleantech startups to make it big

Suzlon Group, the world’s third largest wind power company, announced last December that they have crossed 15,000 MW of cumulative installations world wide and have 10,500 turbines covering over 1,800 customers across 25 countries. According to the company that accounts for nearly nine per cent of the world’s total wind installations.

The Suzlon’s Group’s 15 GW of worldwide installations includes 10 GW by Suzlon Energy Limited and 5 GW by REpower Systems AG – in which Suzlon Energy Limited is a majority shareholder with a holding of over 90 per cent. It covers Group onshore and offshore installations worldwide.

Tulsi Tanti, the chairman and managing director of Suzlon, speaking last week at The Wall Street Journal’s ECO:nomics conference in Santa Barbara, California, said cleantech companies have to follow four rules to make it big.

According to the report, he said:

First, “they should be dependent on several geographies,”

Suzlon has been following this in the last few years and holds a market leading position in countries like Australia and Brazil apart from India. In the recent months, as Panchabuta has noted (here , here ,here and here) Suzlon has signed major orders in various countries.

The second rule is that their supply chain, not necessarily main manufacturing, should be in low-cost countries. Suzlon buys components globally, but each component for the lowest price possible, he said.

Third, clean-tech companies must invest in innovation and technology — to ensure growth.

In past the 15 years, Suzlon has grown from strength to strength. From a small India-based operation in 1995, the Suzlon Group has grown to be a leading wind power company with manufacturing facilities, supply chain operations, project management.

And the fourth rule is “continuous investment it its people,” said Tanti.

This is one of the reasons that Suzlon has been extremely successful in markets like India and something that has attracted Gamesa to Suzlon and keeps the rumor mills going. Towards end of last year, Suzlon appointed He Yaozu as CEO and country manager of its China operations, Suzlon Energy Tianjin Limited. With this appointment Suzlon has become the first wind energy company in China to appoint a Chinese CEO and Mr. He Yaozu has an ambitious road map set ahead of him by the company in the worlds largest market.

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