Lok Sabha Question No. 2597 (UNSTARRED), answered on 2017-08-01
Subject: MoU Signed by BHEL
Ministry: HEAVY INDUSTRIES AND PUBLIC ENTERPRISES
Asked by: INNOCENT

## GOVERNMENT OF INDIA MINISTRY OF HEAVY INDUSTRIES AND PUBLIC ENTERPRISES DEPARTMENT OF HEAVY INDUSTRY

## LOK SABHA UNSTARRED QUESTION NO.2597 TO BE ANSWERED ON 01.08.2017

MoU Signed by BHEL

## 2597. SHRI INNOCENT:

Will the Minister of HEAVY INDUSTRIES AND PUBLIC ENTERPRISES be pleased to state:

- (a) the details of MoU signed by Bharat Heavy Electricals Limited (BHEL) during the last three years; and (b) whether the Government is taking initiatives to increase the orders received by BHEL and if
- so, the details thereof?

## ANSWER

## MINISTER  OF  STATE IN THE MINISTRY OF  HEAVY INDUSTRIES AND PUBLIC ENTERPRISES (SHRI  BABUL SUPRIYO)

(a)  :  The  details  of  various    Memorandum  of  Understanding  (MoU)  signed  by  Bharat  Heavy Electricals Limited (BHEL) during the last three years viz. 2014-15, 2015-16 and 2016-17 are given at Annexure .

(b) : Department of Heavy Industry (DHI), Ministry of Heavy Industries & Public Enterprises undertakes  review  meetings  with  BHEL  on  regular  basis  and  through  suitable  interventions provides required support in taking up issues of the Company with other Government Agencies/ Departments/  Ministries/  customers  etc.  on  case  to  case  basis.  In  this  regard,  various  interministerial interventions by DHI have been taken up to enhance the competitiveness of BHEL and also aimed to improve its order book position, besides facilitating the domestic industry in general  which  operate  in  a  globally  stiff  competitive  environment.  These  interventions  in  the recent past inter-alia include :

- -Taking  up  the  issue  for  modification  of  Central  Electricity  Authority  (CEA)  advisory  on 'Sourcing  of  supercritical  units  from  indigenous  manufacturers'  in  order  to  provide  a qualifying  route  for  domestic  manufacturers.  CEA  issued  the  modified  advisory  on 27.01.2017.
- -For grant of Environment Clearance (EC) with MoEF&CC for 4x270 MW Bhadradri project of  TSGENCO, and 5x800 MW Yadadri supercritical project of TSGENCO, the orders of which were placed on BHEL. The EC has since been granted to these projects.
- -For  grant  of  Environment  Clearance  (EC)  with  MoEF&CC  for  1x660  MW  Panki  power project of UPRVUNL, where BHEL is the lowest bidder. The EC to this project has been granted on 29.06.2017.
- -Taking up with the Ministry of Power (MoP) for award of alternate project(s) to BHEL in lieu  of  DVC's  2x660  MW Raghunathpur project, which was awarded to BHEL under the 660 MW Bulk tender. The Raghunathpur project subsequently stalled after award of order to BHEL.
- -Efforts  for  revival  of  various  stressed  power  projects  where  BHEL  is  involved  as  a contractor.
- -Taking  up  with  the  Ministry  of  Railways  for  supply  of  mainline  electric  locomotives  by BHEL to the Indian Railways.
- -Taking up with the Ministry of Petroleum & Natural Gas for sourcing of Onshore land Rig equipment from BHEL.
- -Providing need based interventions in respect of funding support for overseas power projects including through Govt. of India Lines of Credit/ grants.

Major Memorandum of Understanding (MoU) signed by BHEL during 2014-15, 2015-16 and 2016-17

## A. MoU between BHEL and Department of Heavy Industry, Ministry of Heavy Industries and Public Enterprises

| Year    | Month of signing   | Brief details / Remarks                                                         |
|---------|--------------------|---------------------------------------------------------------------------------|
| 2014-15 | 05/2014            | A negotiated agreement and contract based on the Guidelines of the              |
| 2015-16 | 09/2015            | Department of Public Enterprises (DPE) inter-alia containing the                |
| 2016-17 | 08/2016            | performance parameters and targets for the respective financial years for BHEL. |

## B. MoU  between BHEL  and BHEL-Electrical Machines Limited (BHEL-EML), Kasaragod (subsidiary of BHEL)

| Year    | Month of signing   | Brief details / Remarks                                                                                                                                                                                                                       |
|---------|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 2014-15 | 06/2014            | A negotiated agreement and contract based on the Guidelines of the DPE inter-alia containing the performance parameters and targets for the respective financial year for BHEL-EML, Kasaragod - a CPSE in which BHEL is majority shareholder. |
| 2015-16 | 05/2015            | A negotiated agreement and contract based on the Guidelines of the DPE inter-alia containing the performance parameters and targets for the respective financial year for BHEL-EML, Kasaragod - a CPSE in which BHEL is majority shareholder. |
| 2016-17 | 08/2016            | A negotiated agreement and contract based on the Guidelines of the DPE inter-alia containing the performance parameters and targets for the respective financial year for BHEL-EML, Kasaragod - a CPSE in which BHEL is majority shareholder. |

## C. Other MoUs

| Sl. No.   | Month/Year of signing         | Other Agency / Organisation                            | Brief details / Remarks                                                                                                                                                                                                                        |
|-----------|-------------------------------|--------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 2014-15   | 2014-15                       | 2014-15                                                | 2014-15                                                                                                                                                                                                                                        |
| a)        | Business related co-operation | Business related co-operation                          |                                                                                                                                                                                                                                                |
| 1.        | 10/2014                       | Telangana State Power Generation Corporation (TSGENCO) | Setting up of 6,000 MW of Thermal Power Plants in the State of Telangana                                                                                                                                                                       |
| 2.        | 11/2014                       | GE Global Sourcing India Pvt. Ltd.                     | Revalidation of earlier MoU for association as an equity partner and supply of equipment and sub-assemblies to new mainline diesel locomotive factory at Marhowra, Saran District, Bihar for supply of diesel electric locomotives to Railways |

| Sl. No.   | Month/Year of signing           | Other Agency / Organisation                                                | Brief details / Remarks                                                                                                                                                                               |
|-----------|---------------------------------|----------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 3.        | 12/2014                         | Mishra Dhatu Nigam Limited (Midhani) and Hindustan Shipyards Limited (HSL) | To form a consortium to jointly stake claim with the Ministry of Defence for being considered as a prospective bidder for the proposed P-75 (I) project of the Indian Navy for building of submarines |
| 4.        | 01/2015                         | Gujarat Energy Research & Management Institute (GERMI)                     | For promoting training of contractors for rooftop installations                                                                                                                                       |
| 5.        | 02/2015                         | NEC India Pvt. Ltd.                                                        | Jointly undertake market study related to: 1. Smart Energy; 2. Smart Water Solutions (including Water Treatment solutions); 3. Security &Surveillance Solutions                                       |
| 6.        | 04/2014                         | Skipper Electricals India Limited, India                                   | For prequalification in a Transmission Line Project in Kenya                                                                                                                                          |
| 7.        | 04/2014                         | McNally Bharat Engineering Company Limited, India                          | Setting up of 300MW Thermal Power Plant in South Africa                                                                                                                                               |
| 8.        | 04/2014                         | A Government Agency of Yemen                                               | Setting up of 50 MW and 1-2 MW Solar Photovoltaic Power Plants at different locations in Yemen                                                                                                        |
| 9.        | 06/2014                         | A Government Agency of Burkina Faso                                        | For Electro-mechanical package for a 21 MW hydro-power project in Burkina Faso                                                                                                                        |
| 10.       | 08/2014                         | Tabas Coke Company, Iran                                                   | Setting up of a Waste Heat Recovery Steam Power Plant (of minimum 40 MW) in Iran                                                                                                                      |
| 11.       | 10/2014                         | PT Merlasakti Abadi & PT Feedback Infra, Indonesia                         | Setting up 30-45 MW Solar Power Project in Indonesia                                                                                                                                                  |
| 12.       | 12/2014                         | A Government Agency of Rwanda                                              | Setting up of a Hydro Power Plant in Rwanda                                                                                                                                                           |
| 13.       | 03/2015                         | A Government Agency of Kyrgyzstan                                          | Setting up of Hydro Power Plants in Kyrgyzstan                                                                                                                                                        |
| 14.       | 03/2015                         | PT Multi Fabriodo Gemilang, Indonesia                                      | Setting up of 2 x 150 MW/ 2 x 100MW Coal Fired Power Plant in Indonesia                                                                                                                               |
| b)        | Technology related co-operation | Technology related co-operation                                            |                                                                                                                                                                                                       |

| Sl. No.   | Month/Year of signing         | Other Agency / Organisation                                          | Brief details / Remarks                                                                                                                                                                                                                                                                                 |
|-----------|-------------------------------|----------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 15.       | 03/2015                       | Central Institute for Plastics Engineering & Technology, Bhubaneswar | Consultancy in R&D projects in the areas of plastics, thermoplastics, nano-composites, fibres, ceramics and other relevant areas - as per the need of BHEL                                                                                                                                              |
| 16.       | 03/2015                       | Indian Institute of Technology - at Chennai, Kanpur and Delhi        | Consultancy in R&D projects in the areas of advanced materials for super-critical applications, nano-materials, surface coatings, robotics, acoustics, noise control, turbo machinery, Computational Fluid Dynamics (CFD), electrical machines, cryogenics and similar other areas of relevance to BHEL |
| a)        | Business related co-operation | Business related co-operation                                        |                                                                                                                                                                                                                                                                                                         |
| 1.        | 10/2015                       | Bhabha Atomic Research Centre (BARC)                                 | Design, Development and Supply of Steam Turbine, Generator and Steam Cycle Auxiliaries for 300 MWe Advanced Heavy Water Reactors (AHWR)                                                                                                                                                                 |
| 2.        | 10/2015                       | Singareni Collieries Company Limited (SCCL)                          | Setting up of 1x600 MWin Adilabad by BHEL on EPC basis                                                                                                                                                                                                                                                  |
| 3.        | 02/2016                       | Megha Engineering &Infrastructure Limited (MEIL)                     | For participating in tenders (of different packages) for Palamuru RangaReddy Lift Irrigation Scheme (PRLIS) - as per tender conditions                                                                                                                                                                  |
| 4.        | 07/2015                       | GE Global Sourcing India Pvt. Ltd.                                   | Revalidation of earlier MoU for association as an equity partner and supply of equipment and sub-assemblies to new mainline diesel locomotive factory at Marhowra, Saran District, Bihar for supply of diesel electric locomotives to Railways                                                          |
| 5.        | 08/2015                       | Kawasaki Heavy Industries Limited and Toshiba Corporation            | To set forth the understanding and interpretation of Joint Bidding Agreement which was submitted to Ministry of Railways for prequalification in Procurement-cum- maintenance tender of EMU trainsets                                                                                                   |
| 6.        | 09/2015                       | Abengoa, Spain                                                       | Revalidation of the earlier MoU for jointly bidding for CSP projects                                                                                                                                                                                                                                    |

| Sl. No.   | Month/Year of signing           | Other Agency / Organisation                                                                 | Brief details / Remarks                                                                                                                                                                                                                                                              |
|-----------|---------------------------------|---------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 7.        | 10/2015                         | Bharat Pumps and Compressors Ltd.                                                           | For mutual co-operation to manufacture Mud Pumps ordered on BHEL                                                                                                                                                                                                                     |
| 8.        | 01/2016                         | Kawasaki Heavy Industries Limited                                                           | For association through transfer of technologies and the indigenised manufacture rolling stock for Mumbai-Ahmedabad High Speed Corridor in line with provisions of Memorandum of Cooperation on high speed railways executed between Govt. of Japan and Govt. of India on 12.12.2015 |
| 9.        | 03/2016                         | Kawasaki Heavy Industries Limited                                                           | To set forth the understanding and interpretation of Consortium Agreement for prequalification in tender for rolling stock floated by Mumbai Metro Rail Corporation for Mumbai Metro Line 3                                                                                          |
| 10.       | 04/2015                         | Steel Mont Trading Co., Ukraine                                                             | R&M of Thermal Power Plants of Ukraine Govt. Utility                                                                                                                                                                                                                                 |
| 11.       | 04/2015                         | INTMA, Russia                                                                               | Co-operation for Power Projects in Russia                                                                                                                                                                                                                                            |
| 12.       | 06/2015                         | State Production Association (SPA) Belenergo, Belarus                                       | Setting up of Combined Heat & Power Plants in Belarus                                                                                                                                                                                                                                |
| 13.       | 06/2015                         | Sol Group, U.K.                                                                             | Setting up of 400MW Combined Cycle Power Plant in Ghana                                                                                                                                                                                                                              |
| 14.       | 07/2015                         | Samruk Energy, Kazakhstan; Kazakhstan Utility System, Kazakhstan; KAZNEX Invest, Kazakhstan | Co-operation for Power Projects in Kazakhstan                                                                                                                                                                                                                                        |
| 15.       | 12/2015                         | Petrochemicals (Cambodia) Refinery Limited and AMG Mekong Resources Pte. Ltd. Singapore     | Setting up of 4 x 125 MW Coal Fired Power Plant in Cambodia                                                                                                                                                                                                                          |
| b)        | Technology related co-operation | Technology related co-operation                                                             |                                                                                                                                                                                                                                                                                      |
| 16.       | 04/2015                         | Indian Institute of Technology, Kharagpur                                                   | Consultancy in R&D projects in the areas of advanced materials for super-critical                                                                                                                                                                                                    |

| Sl. No.   | Month/Year of signing   | Other Agency / Organisation                                                                                      | Brief details / Remarks                                                                                                                                                                                               |
|-----------|-------------------------|------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 17.       | 05/2015                 | Indian Institute of Technology - at Guwahati, Bombay and Hyderabad                                               | applications, nano-materials, surface coatings, robotics, acoustics, noise control, turbo machinery, Computational Fluid Dynamics (CFD), electrical machines, cryogenics and similar other areas of relevance to BHEL |
| 18.       | 07/2015                 | Indian Institute of Engineering Science and Technology, Shibpur                                                  | applications, nano-materials, surface coatings, robotics, acoustics, noise control, turbo machinery, Computational Fluid Dynamics (CFD), electrical machines, cryogenics and similar other areas of relevance to BHEL |
| 19.       | 11/2015                 | Indian Institute of Technology, Roorkee                                                                          | applications, nano-materials, surface coatings, robotics, acoustics, noise control, turbo machinery, Computational Fluid Dynamics (CFD), electrical machines, cryogenics and similar other areas of relevance to BHEL |
| 20.       | 11/2015                 | International Advanced Research Centre for Powder Metallurgy and New Materials (ARCI), Hyderabad                 | Consultancy in R&D projects in the areas of Nano-materials, Carbon Nanotubes, Solar Energy, Engineered Coatings, Solgel Coatings, Ceramics, Laser Processing, Fuel Cells, Structural Characterization etc.            |
| 21.       | 12/2015                 | Mishra Dhatu Nigam Ltd. (MIDHANI), Hyderabad                                                                     | Consultancy in R&D projects in the areas of Super alloys, Special Steels, Investment cast products etc. and similar other areas of relevance to BHEL                                                                  |
| 2016-17   | 2016-17                 | 2016-17                                                                                                          | 2016-17                                                                                                                                                                                                               |
| 1.        | 12/2016                 | Mishra Dhatu Nigam Limited (Midhani) and Hindustan Shipyards Limited (HSL)                                       | Revalidation of the earlier MoU for jointly addressing P-75 (I) project of the Indian Navy for building submarines                                                                                                    |
| 2.        | 01/2017                 | National Environmental Engineering Research Institute (NEERI)                                                    | For jointly working on identified projects of water and waste water treatment in Municipal Segment                                                                                                                    |
| 3.        | 03/2017                 | Reliance Defence and Engineering Limited (Formerly Pipavav Defence & Offshore Engineering Company Limited) India | Co-operation to leverage respective strengths and competencies for the mutual benefit - provide solutions to customers in various businesses having synergy of operations                                             |

| Sl. No.   | Month/Year of signing           | Other Agency / Organisation                 | Brief details / Remarks                                                                                                                                                                                                                                                                                 |
|-----------|---------------------------------|---------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 4.        | 07/2016                         | NHPC Ltd., India                            | Co-operation in overseas hydro power projects                                                                                                                                                                                                                                                           |
| b)        | Technology related co-operation | Technology related co-operation             |                                                                                                                                                                                                                                                                                                         |
| 5.        | 06/2016                         | Indian Institute of Science, Bangalore      | Consultancy in R&D projects in the areas of advanced materials for super-critical applications, nano-materials, surface coatings, robotics, acoustics, noise control, turbo machinery, Computational Fluid Dynamics (CFD), electrical machines, cryogenics and similar other areas of relevance to BHEL |
| 6.        | 08/2016                         | Indian Institute of Technology, Bhubaneswar | Consultancy in R&D projects in the areas of advanced materials for super-critical applications, nano-materials, surface coatings, robotics, acoustics, noise control, turbo machinery, Computational Fluid Dynamics (CFD), electrical machines, cryogenics and similar other areas of relevance to BHEL |
| 7.        | 12/2016                         | National Institute of Technology, Warangal  | Consultancy in R&D projects in the areas of advanced materials for super-critical applications, nano-materials, surface coatings, robotics, acoustics, noise control, turbo machinery, Computational Fluid Dynamics (CFD), electrical machines, cryogenics and similar other areas of relevance to BHEL |

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