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Home arrow Power and Energy arrow Hitachi and SFO Technologies float JV for Thermal Power Control Systems

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Hitachi and SFO Technologies float JV for Thermal Power Control Systems
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Written by Arjun   
Wednesday, 28 September 2011

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Bangalore: Hitachi Ltd and SFO Technologies Pvt. Ltd., a NeST Group Company, have agreed to establish a joint venture in the field of advanced control systems for thermal power plants. The joint venture company, Hitachi NeST Control Systems Pvt. Ltd. is scheduled to be established in October 2011 and to be based in Bangalore, India.

Hitachi and SFO Technologies will form a 70:30 Joint Venture to engineer, manufacture, commission and after-service advanced control systems for thermal power plants. This Joint Venture is aimed to capitalize these opportunities and talent that Indian market will provide.

Hitachi has been using SFO Technologies’ engineering services in thermal power control systems field for the last 10 years for projects both inside and outside India. In the Joint Venture, Hitachi will bring in advanced control technology for thermal power plants. SFO Technologies will merge its existing 10 years experienced control systems division with the new joint venture company and offer its manufacturing space and expertise in Bangalore for localizing the technology in India.

Based on this agreement, Hitachi and SFO Technologies will promote to expand their control systems businesses in India. This will be achieved by converging the strengths of each company—Hitachi’s leading edge control technologies, advanced manufacturing technologies, wealth of experience and expertise in plant control systems and SFO Technologies’ 10 years experienced control systems and its highly skilled employees, as well as its nationwide sales and service network in India. Hitachi NeST Control Systems Pvt. Ltd. is targeting sales of approximately 1.5 billion INR (2.6 billion yen) in the fiscal year ending in March 2015.

The market for information and control systems for social infrastructure is expected to grow in step with economic development in India. Power is a critical infrastructure on which socio-economic development of the country depends. India is expected to add 200 GW in the next 10 years.  Major portion of the investment would be in thermal power plants especially in large sized supercritical units. Hitachi has made significant investments in India, including BGR Energy Systems Limited, to manufacture super-critical turbines, generators and boilers in Chennai.

Hitachi has identified India as a fifth key management area for further business expansion in India. Hitachi has decided to establish this Hitachi NeST Control Systems Pvt. Ltd., a joint venture with SFO Technologies, to build up control system engineering capability, starting with thermal power control systems.

Last Updated ( Thursday, 29 September 2011 )
 
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