PV january 2015

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Editor Shashikant Hegde Deputy Editors: Sandeep Menezes (Mumbai) Renu Rajaram (Mumbai) Panel of Advisors Vikas Apte, Owner, Vipratech Consultants, Mumbai Himanshu Kapadia, Director, Construction Chemicals - ASEAN BASF South East Asia Pte Ltd (Singapore) Prashant Mahagaokar, Director, SMC Infrastructure Tushar Mehendale, MD, ElectroMech Material Handling Systems, Pune Anand Gupta, Hon Treasurer, Builders Assn of India Pankaj Mehendale, Structural Engineer, Hyderabad Manager - Database Shailesh Khot DESIGN & PRODUCTION Art Director Satish Kamath Graphic Designers Nitin Parkar, Rajendra Vichare, Madhukar Ingavale SALES & MARKETING Senior Vice President Sanjeev Singh Asst. Manager - Sales Vijay Khandale (Mumbai) Senior Executive - Sales Pramod Suryavanshi (Mumbai) Subscription Rosebin Mukadam Head - Circulation Raju Chendavankar

Printed, published and edited by Shashikant Hegde on behalf of Economic Research India Pvt. Ltd., published at Sterling House, 5/7 Sorabji Santuk Lane, Opp. Dr. Cawasji Hormasji Lane, Marine Lines (E), Mumbai - 400 002 and printed at Jayant Printery, 352/54, J. S. S. Road, Murlidhar Temple Compound, Near Thakurdwar P. O, Mumbai - 400 002. Editor: Shashikant Hegde

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Project Vendor January 2015

There can be economy only where there is efficiency.

— Benjamin Disraeli

New year, renewed hope s the new year dawns, we understand that over the next few years, India’s economic growth will be driven by the infrastructure sector and its ancillary industries. While better governmental policies and favourable global monetary conditions can assist the nation’s economic growth, the sheer requirement for better infrastructure facilities and the concomitant mammoth scale of work will be the main growth driver.

A

The HSBC India Manufacturing Purchasing Managers' Index (PMI) rose to a two-year high in December 2014 due to business conditions improving at the quickest pace in two years. Accelerated growth of the manufacturing sector was reflected by faster expansion in output, new business and foreign orders. This clearly shows that the upturn has begun in the economy, although it may take another few quarters for the full beneficial effect to be felt across the economy.

Recently, the UN World Economic Situation & Prospects 2015 (WESP) report stated that India is likely to make progress in implementing economic policy reforms, thus boosting business and consumer confidence. It added that India, which is estimated to record a 5.4 per cent economic growth in 2014, will see its GDP growth improving to 5.9 per cent next year and further to 6.3 per cent in 2016.

Although these growth numbers are much lower than the 8-9 per cent of previous years, it remains much higher than most of the developed world. In fact India remains one of the few growth markets in the world which will ensure that major global companies are inspired enough to consider India as their business growth centre.

India is definitely on the path to higher economic growth in the years ahead. It is only the timing and speed that will be influenced by governmental policies and external monetary factors. But rest assured, India’s economic growth is inevitable in the years to come.

We, at Projectvendor, take this opportunity to wish all our esteemed readers, advertisers and well wishers the very best for 2015.

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08] Content.qxp

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Contents

NEWS WATCH GoI, WB ink $1.1 bn pact for Eastern Dedicated

INTERFACE

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B. Sridhar, Head, SDLG Business, Volvo India felt that it would take another 6-8 months for construction equipment market to grow again.

Freight Corridor Project CEATTyres to set-up `400 cr plant in Butibori

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INTERFACE

Amit Gossain, President - ICEMA, Executive VP

Asia - JCB India stated that growth rate of 15% can be expected for the construction equipment industry.

INTERFACE

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Yutaka Goto, President & Director - Kobelco Cranes India explained that the company was looking towards more localisation.

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INTERFACE Arul Raja, VP, RMD Kwikform predicted a

growth of around 25 per cent in the year ahead for the formwork industry.

INTERFACE

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Pradeep Agarwal, CEO & CFO Mtandt Rentals Ltd felt that the CE sector would see a growth of around 15 per cent in the next two years.

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LEAD STORY Sandeep Menezes tries to gauge the evolving

future growth across the construction equipment industry.

EXPERTSPEAK

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Pankaj Jha explains that one of the main reasons for boom in back-up power market in India is demand-supply gap in power distribution.

SPECIAL REPORT Surge analysis of ethylene cross country

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pipeline

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PHOTO FEATURE bC India 2014 The exhibition concludes but industry sentiment rises

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10-12] News Watch.qxp

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News Watch

GoI, WB ink $1.1 bn pact for Eastern Dedicated

Freight Corridor Project

Indian Railways needs to augment freight routes to meet rising freight traffic.

PV News Bureau

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he Government of India and the World Bank recently signed a $1.1 billion agreement towards the second loan for the Eastern Dedicated Freight Corridor (a freight-only rail line) that will help faster and more efficient movement of raw materials and finished goods between the north and eastern parts of India.

The loan agreement for the Eastern Dedicated Freight Corridor Project was signed by Tarun Bajaj, Joint Secretary, Department of Economic Affairs, Ministry of Finance, on behalf of the Government of India; M.K. Mittal, Director, Finance, Dedicated Freight Corridor Corporation(DFCCIL) on behalf of DFCCIL; and Onno Ruhl, World Bank Country Director in India, on behalf of World Bank. Adesh Sharma, Managing Director, DFCCIL and Girish Pillai, Advisor (Infra), Ministry of Railways, were also present on this occasion.

The Eastern Corridor is 1,839 km long and extends from Ludhiana to Kolkata. The World Bank is supporting the Eastern Dedicated Freight Corridor (EDFC) as a series of projects in which the three sections with a total route length of 1,133 km will be delivered sequentially, but with considerable overlap in their construction schedules. EDFC 2 will build the 393 km Kanpur-Mughal Sarai section in Uttar Pradesh. The Project will help increase the capacity of these freight-only lines by raising the axle-load limit from 22.9 to 25 tons and enable speeds of up to 100 km/hr. It will also help develop the institutional capacity of the DFCCIL to build and maintain the DFC infrastructure network.

“The EDFC will ease congestions choking the railway system and reduce travel-time for passenger trains plying on this arterial Ludhiana-DelhiMughal Sarai railway route. The corridor will add additional rail transport

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capacity, improve service quality and create higher freight capacity,” said Tarun Bajaj, Joint Secretary, Department of Economic Affairs, Ministry of Finance.

The first loan of $975 million for the 343 km Khurja-Kanpur section in the EDFC program was approved by the World Bank Board in May 2011 and is already under implementation. It has awarded its first major contract for about Rs 3,300 crore for this section. Tata- Aldesa JV, comprising Tata Projects India and Aldesa of Spain, won the contract from among 10 other bidders through an international competitive process.

Another major contract, for systems, is under evaluation. Ninety percent of the 1245 ha land needed for the project has been acquired from 22,000 land owners with Rs 336 crore paid off as compensation in addition to agreed resettlement and rehabilitation benefits.

“Implementing the Dedicated Freight Corridor program will provide India the opportunity to create one of the world’s largest freight operations, adopting proven international technologies and approaches which can progressively be extended to other important freight routes throughout the network,” said Onno Ruhl, World Bank Country Director in India. “The project will play a transformational role by reducing greenhouse gas emissions as a result of promoting transfer of freight from road to rail. It will also serve as a catalyst for accelerating economic development in the relatively poor state of Uttar Pradesh through which the line passes. We hope this will lead to communities along the corridor having better access to employment opportunities, health, education and other social services,” he added.

The EDFC is part of India’s first Dedicated Freight Corridor (DFC) initiative – being built on two main routes – the Western and the Eastern Corridors.

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News Watch

SCHWING Stetter India forays into material handling

PV News Bureau CHWING Stetter India with its expertise in concrete construction equipment in India, has brought expertise from group company XCMG, one of the Top 5 World Renowned Construction Equipment manufacturing companies to launch an exclusive range of SCHWING-XCMG Tower Cranes in India. This marks the entry of SCHWING Stetter into material handling industry. SCHWING concrete pumps and SCHWING-XCMG Tower crane will work in synergy to suit customer requirements. The increasing demand for mechanization of construction activities is pushing the requirement of tower cranes in India that are able to lift heavier loads and be more productive yet be affordable to own and operate.

The SCHWING-XCMG Tower Crane can withstand extreme conditions in construction sites. These highly adaptable fast-erecting Tower Cranes are designed with several features to handle high-rise projects. The Tower Cranes made by SCHWING-XCMG comes in various capacities and types ranging between 5 tons and 6 tons.

Speaking on the occasion, Anand Sundaresan, Vice-Chairman & Managing Director, SCHWING Stetter India said, “The launch of SCHWING-XCMG Tower Crane marks a very important milestone in the journey of SCHWING Stetter. This is extremely special for us because we are slowly foraying into the material handling market with the Tower cranes. Moreover, it is our profound objective to be able to constantly upgrade and update our equipment to suit the current needs of the construction industry which will in turn help the customers to grow their business.”

S Devendra Fadnavis - Maharashtra CM, Subhhash Desai - State Industries Minister and Anant Goenka - MD CEAT at the Foundation Stone laying ceremony of CEAT’s new plant in Nagpur.

CEAT Tyres to set-up `400 crore plant in Butibori PV News Bureau

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EAT Tyres recently announced its plans to invest Rs 400 crore in a state-of-the-art tyre plant in Butibori, Nagpur.

In an event organised to commemorate the foundation stone laying ceremony of the new CEAT plant, the Chief Minister of Maharashtra, Devendra Fadnavis laid the cornerstone for the plant that will be set up in three phases.

In the first phase (2014-2016), Rs 400 crore will be invested. The completion of the phase one of the plant and the first tyre rollout from the plant is anticipated by April 2016.

This state-of-the-art tyre plant will be spread across 60 acres of land and is expected to manufacture 1.2 million tyres.

Commenting on the occasion Anant Goenka, Managing Director, CEAT Ltd said, “With this plant we are looking to double our capacities 12

Project Vendor January 2015

within two years. This will give us the added impetus to increase our market share. We are thankful to the Maharashtra Government for the support given to CEAT. Butibori gives us great advantage of reduced logistics cost and a plant in a central location. In addition to that MIDC will support us by providing a great ecosystem and infrastructure for the manufacturing facility.”

The new plant will have the best in its class technology and will manufacture two and three wheeler tyres. The production process will have the certification of ISO 14001 for environment management system and OHSAS 18001 for safety, health and environment.

The new plant will have highly automated manufacturing machinery chosen from the world market.

The two wheeler production volumes are expected to double in the next two years owing to the capacity.

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14-16] Interface - B. Sridhar - Volvo India.qxp

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Founded in 1972, Shandong Lingong Construction Machinery Co., Ltd, located in Linyi, China, is a national large-sized backbone enterprise in construction machinery industry and is ranked among the top five wheel loader manufacturers worldwide. SDLG branded products include wheel loaders, earth-moving scraper and excavator series, road machinery series, mining truck series, and small-sized construction machinery series serve the value market.

B. Sridhar, Head, SDLG Business, Volvo India Pvt. Ltd told Sandeep Menezes it will take another six to eight months for the construction equipment market to start growing again.

Interface

We want the government to remain focused

It’s been six months since the new government has taken over the nation’s reign, how do you foresee the construction equipment industry’s performance?

We can’t say that the market has changed completely.

But there is positive sentiment because of the many new initiatives that the government is considering.

Some of the few projects like in the road sector have already started in some locations.

But whatever the decisions have happened at the ministry level – it has to percolate into the market, this has not happened yet. It will take time because major SDLG equipment in action at a project site investments and land acquisitions have to happen.

How long will it take for the construction equipment market to start thriving again?

Our feeling is that it will take another six to eight months for the construction equipment market to start growing again. If most of the stalled projects get kick-started by mid of next year – then it may take another two years but going forward there is only growth ahead.

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Interface

SDLG at bC India 2014

The government has been pushing with its ‘Make in India’ campaign.

Comment.

As of today, we don’t have any plans but going forward if there is a need then definitely we would like to do it. In future if the market grows exponentially, then we have to support that growth – we can’t import everything, therefore we will also have to manufacture here. It all depends on the market growth in future.

Even in importing there are constraints because then we have to depend on vessels and also other issues have to be cleared. Therefore as long as the volumes are less, we will continue to import but if the market grows and volumes pick-up then we will also have to rethink.

Safety during project execution is a big unresolved issue across India.

Comment.

If you look at our products, it complies with all the safety norms of India in terms of emissions and safety. We have safety features incorporated in the products because it is a big concern for us.

In our motor graders, we are supplying with FOPS and ROBS cabins so that even if any accidents happen the operators will not get any injury.

Also these cabins are air-conditioned which leads to extra comfort for the operators.

The interest rates have not softened to the extent expected and most construction equipments are purchased on financing mode. Comment.

We have financing tie-ups with all the leading NBFCs and banks also.

Therefore if the customer profile is good then financing will not be an issue.

As far as interest rates are concerned there is a worry because it is high.

But it also depends on growth and machinery requirements. We feel that going ahead the rates will come down.

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What do you expect from the new government in terms of support for the construction equipment industry?

We want the government to remain focused and action should happen on the ground.

GST delay is a big issue for all the manufacturers. Today all the manufacturers are suffering because of all the various local laws and rules. With the clear majority that this government enjoys, we feel that GST will be implemented within the next one or two years.

We are facing a shortage of trained equipment operators and technicians nationwide. Comment.

We have our own operator training school in Bangalore. When ever we sell machines, we also train the customers’ workers. Few of our dealers get youth from ITIs and we send our trainers to train them.

Over the next two years, how much growth do you foresee for SDLG in India?

We expect a year-on-year growth of around 20 per cent for SDLG in India.

The main drivers for this market growth will be the upcoming infrastructure projects like the proposed bullet train between Mumbai and Ahmedabad. Once all these projects commence then the ancillary segments will be needed to support the execution of these projects – therefore going forward there will definitely be growth.

SDLG and Volvo CE both operate in India, how does a customer differentiate between the two brands?

We want to bring up both the brands in India. Therefore we will not dilute any brand since our strategy is of dual brand. We will grow both the brands and continue offering products as per the needs of the market.

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18-19] Interface - Amit Gossain - JCB India.qxp

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JCB India Limited, Ballabgarh (Haryana) is a fully-owned subsidiary of JC Bamford Excavators Limited, UK, one of the world's leading manufacturers of earthmoving and construction equipment. JCB India manufactures 25 different machines in seven product lines such as backhoe loaders, wheeled loading shovels, tracked excavators, vibratory compactors, telehandlers, skid steer loaders and pick and carry cranes. Amit Gossain, President - ICEMA, Executive Vice President Asia - JCB India Ltd told Sandeep Menezes that a growth rate of around 15 per cent can be expected for the construction equipment industry.

Interface

Construction equipment industry growth in next quarter It's been six months since the new government has taken over the nation's reign, how do you foresee the construction equipment industry's performance?

Currently things are very slow. But there is lot of positive feeling and sentiments are good. But to make things move there must be more projects on the ground - therefore this is the key. While they are talking about projects, I think the government needs to clear the various problems that are there with projects.

So if they are talking about draft for environment clearances or land acquisition - it needs to be hastened so that projects which are already there can take-off quickly.

Has the equipment industry told the government about the industry's problems and submitted a wish-list?

We have given a wish list to the government and told them that the projects which are already there need to move fast. If projects start moving it leads to positivity in the entire system, the contractors are happy and therefore the funds start coming in.

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Interface The interest rates have not softened to the extent expected and most construction equipments are purchased on financing mode.

Comment.

The lower interest rates certainly help. But we need to look at it in two ways. If projects are there and interest rates are high then there are better returns. Yes, right now to move the economy the interest rates should have been lowered. I think projects should start - that will be the key to the future.

The government has been pushing with its 'Make in India' campaign.

Comment.

The 'Make in India' campaign is certainly a fantastic initiative. Most of our equipments are made in India. The quantum of local components in our machines mainly depends on the machine.

Therefore backhoe loaders are mostly all Indian - there are some components that are imported otherwise its mostly Indian. We have five plants in India. At Pune, Ballabgarh and Jaipur plants we make it here.

Vasundhara Raje, The Chief Minister of Rajasthan and Lord Bamford, Chairman JCB at the official opening of JCB's two new plants in Jaipur Currently there are many contractors who are not being paid on time therefore once they start doing the projects and get paid then things will start moving fast.

Of course, the Modi government is doing lots to get investment cycle moving. The government is pushing for Swatch Bharat and other infrastructure projects. From our equipment perspective also, there needs to be lots of implements, attachments and other machinery for Swach Bharat and more infrastructure projects.

Going forward, how much growth do you foresee across the construction equipment industry?

We were expecting a growth now but it has not happened yet. We think that it will happen in another quarter (three months). I think a growth rate of around 15 per cent can be expected for the industry.

Design infringements in the Indian construction equipment industry are happening although it's not as bad as China. Comment.

Infrastructure that India needs is immense therefore we are far behind in terms of infrastructure needs of the country. To meet those needs, we need to do a lot more. We can't compare ourselves to western countries or even China. We have to get things moving and not compare ourselves to other nations.

What are JCB's future plans in the construction equipment industry across India?

JCB is linked to the infrastructure development of the country. We already have a plant that we recently inaugurated in Jaipur which is currently functional. We have two plants at Pune. And also the world's largest backhoe loader plant at Ballabgarh. Therefore we are already ready for the upturn - it's just that the government now needs to implement the projects which they will in the near future. I am sure and positive about the upcoming economic upturn.

JCB's two new plants in Jaipur

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Kobelco Cranes India Pvt. Ltd manufactures hydraulic crawler cranes and started its Indian operations in August, 2010. The company provides crawler cranes in 100 to 250 ton class.

Its products are suitable for applications in the fields of factory plant construction, bridge construction, wind mill construction and other general construction works. The company’s Sri city production unit is spread across 40,000 sq. m with an annual production capacity of 90 crane units in different classes. Yutaka Goto, President & Director - Kobelco Cranes India Pvt Ltd tells Sandeep Menezes that the company is evaluating if more components can be manufactured in India but the most important aspect is maintaining high quality

Interface

CE industry will witness 10-20% growth in forthcoming year What is Kobelco’s future business strategy in India?

We started production of cranes at the end of 2011 in India. Since then we have been producing more than 100 cranes in India. But unfortunately the last three years have seen the market not being very good. In fact, the crane market has been shrinking in India over last three years.

With the new government having taken charge, we hope that the economy starts recovering from early next year. Currently the domestic market demand is not much for us therefore we are looking towards exports.

Which export markets are you targeting?

We are mainly looking at South-East Asia. These will be ‘Made in India’ cranes that will be exported to the South-East Asia market.

Tell us about the current quantum of Kobelco’s exports from India?

Currently we are only manufacturing for the Indian market. But hopefully our products will be exported to the South-East Asia market from next year.

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Interface

Kobelco at bC India 2014 Going forward, does Kobelco have any capacity expansion plans in India?

We are still planning and hopefully will expand in the second half of next year. Therefore we will be looking to enhance the capacity at our existing facility.

It’s been six months since the new government has taken over the nation’s reign, how do you foresee the construction equipment industry’s performance?

We feel that the construction equipment industry will witness a growth

Kobelco manufacturing facility at Sri City 22

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of around 10 to 20 per cent in the forthcoming year.

The main demand for this growth will come from the infrastructure sector.

Does Kobelco assist customers with financing?

We do not really provide any kind of financing solution to the customer by ourselves. But we introduce various financing companies to the customers.

We are facing a shortage of trained equipment operators and technicians nationwide. Comment.

We provide training to the customer’s manpower while selling the equipments. But we don’t have any free training school.

The government has been pushing with its ‘Make in India’ campaign.

Comment.

The main components like engines are imported. Therefore the local content may be around 30 per cent. We are evaluating if more components can be manufactured in India but the most important aspect is maintaining high quality. It is important that good quality components are provided by Indian vendors – otherwise we will lose our reputation. We are proud of our quality and need only good quality components from Indian vendors.

Right now, we are selecting local vendors on the basis of quality and hope that the local components can be increased in near future.

We hope that our products can have at least 50 per cent local content in the next two years. But this depends on the quality of components that the Indian vendors provide us.

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24-26] Interface - Bhupinder Singh - IFAT.qxp

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IFAT India is the nation’s leading trade fair for water, sewage, refuse and recycling. It is organised by MMI India Pvt. Ltd, a wholly-owned subsidiary of Messe München International - one of the world ´s leading trade show companies. Bhupinder Singh, Deputy CEO and CMO, MMI India Pvt Ltd told Sandeep Menezes that water management consisting of watershed management, rainwater harvesting, desalination, effluent treatment, filtration, river-interlinking projects and sewage treatment, has largely received fragmented treatment, bereft of a longterm vision.

Interface

Economic growth is driving increased water usage Everyone in India wants eco-friendly development but hesitate to contribute towards the additional investments that come with it. Is there a low cost alternative to adopt eco-friendly technologies?

New technology, no matter the sector, is indeed mostly quite highpriced which makes it difficult for some nations to acquire the necessary technologies. However, we know that many companies, which exhibit in IFAT India or other IFAT shows around the globe, not only offer modern and high-end technology but also technology which is adapted to the special needs of different markets. We are not talking about low-quality technology but technology which meets the special need of a certain country and takes its specific requirements into account.

Critics claim that most of the environmental technologies in the market have been designed in Western nations and are not suited for Indian conditions. Comment.

As things are now, many of the so called key players indeed have their 24

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Interface

India is the second largest consumer of water but depends largely on rainwater to meet its needs. headquarters and sales focus in Western nations. However, many of those companies also offer adapted technologies which are tailored to the needs of specific markets. For example, some equipment or plants, which can be used in Europe, probably cannot be used in India due to climate conditions or alike. Here, more and more companies adapt their equipment in order to make it usable for other markets, too. Additionally, many companies nowadays have subsidiaries in different countries to be closer to the market and to offer more service locally.

The new government is keen for economic development with higher emphasis on environmental concerns. How do events such as IFAT India assist in achieving economic development through an ecofriendly route?

Trade fairs are traditionally a great occasion to strengthen existing business contacts or to establish new ones – especially for companies from different countries. In this respect, shows like IFAT India offer the best possible conditions to strengthen trade relations between various business partners. Moreover, trade fairs are events where companies present their products and innovations for the first time. The novelties presented there serve as guidance for upcoming and future projects.

Huge economic growth is happening in Asia especially India & China vis-Ă -vis Europe. Going forward, do you feel IE Expo China and IFAT India can emerge bigger than the original IFAT (Germany)?

IFAT in Munich has a very long tradition - the first IFAT took place in

1966. So, this show is extremely well-known among companies and visitors alike – its reputation is simply outstanding. However, we are very happy that IE expo and IFAT India are also highly accepted by exhibitors and visitors and are continuously growing. I am confident that both shows will not only grow further and but also further establish themselves as the leading trade fair for environmental technology in China and India.

Can a developing nation like India afford to spend on eco-friendly technologies when meeting the survival needs of its people must be its first criteria?

One of the biggest fall-outs of an accelerated pace of development is actually deteriorating quality of the environment which could eventually affect the very survival of mankind. The World Health Organisation (WHO) estimates that of the 67 risk factors studied in the Global Burden of Disease project, outdoor air pollution is ranked fifth in mortality and seventh in health burden in India, contributing to over 627,000 deaths and 17.7 million healthy years of life lost in 2010. It would be a veritable recipe for disaster, if we continue at this rate for the next 10 to 15 years, without bringing in awareness and spending on eco-friendly technologies. Hence eco-friendly technologies and the very survival of the common man are actually closely linked. In fact we need to go beyond mere technological transfers and evolve pathways for pollution control as there are cobenefits of reducing greenhouse gases and reducing the health benefits. Our nation needs to develop larger frameworks to mobilise resources and invest in technological innovations thereby Project Vendor January 2015

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Interface

India has traditionally been endowed with large freshwater reserves. developing on the principles of ‘green buildings’ to eventually look at the concept of ‘green cities’ which would be the essential foundation for the government’s ambitious plan of building 100 smart cities.

Inefficient wastewater treatment is a major irritant across urban India. Have we as a nation failed with regards to planning long term urban wastewater treatment infrastructure?

Since independence and post partition, there has been a rapid influx of population into cities. Hence the nation saw a period of accelerated urbanization, but which was largely without any planning, barring a silver lining like the planned city of Chandigarh. The haphazard growth of cities, bypassing of environmental laws and existing master plans by the private sector-driven land development industry had precipitated a crisis of sorts, in the overall habitat scenario in the country. Town planners went further off the mark vis-à-vis, the urban scenario with their lopsided approach to urbanisation, which was variously being redefined and reinvented by all kinds of interest groups. The situation was further exacerbated by abject lack of coordination between private players and state agencies. Not just wastewater treatment, water management consisting of watershed management, rainwater harvesting, desalination, effluent treatment, filtration, river-interlinking projects and sewage treatment, has largely received a fragmented treatment, bereft of a long-term vision. However, growth of the Indian economy in recent years is driving increased water usage across sector, generating increased wastewater, calling for immediate measure in wastewater treatment technologies. Also, many foreign water management companies are foraying into India offering efficient technologies and consulting services, building more awareness into this sector.

Increasing population and overexploitation has resulted in water scarcity.

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There were recent reports which stated that over a third of wastewater treatment facilities in India violate environmental protection rules. Is it the problem of inadequate regulations or inefficient implementation of norms?

Traditionally India has been endowed with large freshwater reserves, but increasing population and overexploitation of both surface and ground water over the years has resulted in water scarcity. It is but an anomaly of sorts that India being the 2nd largest consumer of water depends largely on rainwater to meet its needs. Systemic breakdown of water management could be attributed to a combination of policy failures along with institutional weakness, technological loopholes, multiple Governmental organisations and inadequacy in generation of revenues to meet costs. This has led to a situation where environmental protection rules are repeatedly being flouted. The situation has seen an improvement with successive governments tightening the screws both on regulations and implementation of norms. Even events like IFAT have played a major role in bringing the industry stakeholders under one roof, ironing out policies and bringing in regulations which resolves the wastewater treatment facilities in India and also creates awareness in improving the effluent treatment by industries.

What is the current & future market size for environmental technologies and services in India? Tell us about the main growth drive?

India has a growing demand for modern environmental technologies and services. The country has approximately 36.5 million tonnes of waste generated annually and will see a rise in waste generation from less than 40,000 metric tonnes per year to over 125,000 metric tonnes by the year 2030. IFAT India 2014 provided a platform to the industry from relevant environmental sectors in water: sewage, refuse, recycling and energy conservation management in India. Now you have products like MF, RO, UF, NF, Micro filtration, MBR, CEDI, in the filtration and membrane space which is fast replacing resin technologies and to give a number to the vastness of this market would be a bit difficult for me at this point in time. Purification and disinfection technologies like activated carbon, UV and ozone is another space which has come to stay and will continue to grow not only in the WTP and WWTP but also in the process side too. Reactivation of Activated carbon which will reduce the carbon foot print by reducing CO2 emission by 30% will play a vital role in India. All developed nations have already well entrenched into this space. WTP and WWTP are the common factor cutting across the hydrocarbon, coating , automobile, F&B, electronics, pharmaceuticals, textiles, etc. As we progress into the next phase of growth we need to have products and technologies in place to create a Cleaner India.

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RMD Kwikform is involved in every stage of the project, consulting with customers in order to fully understand their requirements, develop tailored design solutions, assist with planning and implementation, and offering dedicated technical site service to support the project. By combining design and engineering expertise, world leading systems and high service levels, RMD Kwikform has become a leader in the formwork and falsework market.

Arul Raja, Vice President, RMD Kwikform told Sandeep Menezes that he foresees a growth of around 25 per cent in the year ahead for the formwork segment nationwide.

Interface

We expect 30% year-onyear revenue growth for our company With the new government coming in and policy clarity happening, how has the market sentiment improved nationwide?

Currently the sentiment of the market is very positive mainly because of the various infrastructure project announcements. The nation also requires lots of infrastructure development to happen. The new government is keenly looking into infrastructure development therefore the market sentiment is very positive.

What is the current market-size of India’s formwork segment?

It is very difficult to give an estimate for a market like India. We do lots of business planning but most of it is done on educated guess. It’s not easy to put a number to it because most of the formwork requirement is not fulfilled by foreign companies but smaller local players. Only 15 to 20 per cent of the formwork market is catered by the larger companies like us.

How much growth do you foresee in the formwork sector nationwide?

I foresee a growth of around 25 per cent in the year ahead for the 28

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Interface

RMD Kwikform at bC India 2014 formwork segment nationwide. The main driver for the growth will be the infrastructure development that will happen nationwide.

Technologically, how does the Indian formwork segment compare with other nations?

India is adapting well to the new technologies – its adoption has been faster when compared to Middle East but yes technologically Europe is far ahead.

There has been lots of change in India since last three years. Now more people in India are adopting new formwork technologies.

In India not everything is driven by price. The customers do look into productivity and product lifecycle while willing to pay more for better quality.

India is a price sensitive market while new technologies has a higher costs attached to them. Comment.

It’s not necessarily higher priced. India is a cost sensitive market.

But if you compare any other part of the world then everybody is price sensitive.

What do you expect from the new government in terms of support for the industry?

The new government wants to invest in roads, railways, power etc.

These are the infrastructure segments that have a lot requirement for formwork. In case of buildings, the formwork can be done with anything but for these infrastructure projects they need companies like us to support them.

Cable stay bridge - Hyundai - Rajastan, India

What is the future business strategy of RMD in India?

We are going to invest in equipments and on people. We are providers of engineering solutions and equipments but don’t do it ourselves but this service is going to be extended in the coming years therefore more people will be added for site services.

We are expecting at least 30 per cent year-on-year revenue growth for our company in the next few years.

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Sai Infraaequipments Pvt Ltd works in the field of construction equipment hiring for the past 15 years. It deals with RMC Batching Plants, Transit Mixers, Concrete Pumps, Tower Cranes, Mobile and Hydra Cranes, Wheel Loaders and Passenger Hoist. It also holds the largest fleet of Tower Cranes in the hiring segment, and the third largest fleet in the overall construction industry in India.

K. Ilango, Managing Director - Sai Infraaequipments told Sandeep Menezes that the construction equipment industry will witness a growth of around 20 to 25 per cent over next two years.

Interface

Everyone wants only newer machines from rental companies It’s been six months since the new government has taken over the nation’s reign, how do you foresee the construction equipment industry’s performance?

It will take more time. The announcements of new projects and its implementation will take some time. After the implementation of new projects, it will take minimum one more year for the finance flow to get improved. Currently the finance flow is very tight across the market – in fact we are not receiving payments.

Therefore based on the markets current situation, we have not planned anything new yet.

Definitely, the market will turn successful I am confident about it but it will take some more time.

Going forward, how do you foresee the industry evolving?

We were expecting industry growth to happen in the first six months but it has not happened there have only been announcements.

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Interface

Contractors prefer outsourcing their equipment division to hirers.

In the coming financial year, the currently announced plans may start showing results. But over the next two years, I expect the construction equipment industry to witness a growth of around 20 to 25 per cent. Next year should witness an industry growth of around 8 per cent.

Tell us about the main demand drivers for the future growth across the construction equipment industry?

The current announcements will definitely be implemented in future – this will drive demand across the construction equipment industry.

Most of the construction equipment demand will come due to the massive infrastructure development needed nationwide.

The interest rates have not softened to the extent expected and most construction equipments are purchased on financing mode. Comment.

These days even if orders come in – the financing is not easily available. The main reason for this situation is tight money flow and market is not good. Therefore even financers are scrutinizing our accounts very deeply.

Earlier financiers used to only check our balance sheet and track record. But today, the financiers are checking our money flow, outstanding and client profile, even sectors wherein the machinery

will be deployed. In fact they are checking everything.

What are the main challenges facing the construction equipment rental segment in India?

Infrastructure developers have multiple divisions involved for a construction project like planning, plant & machinery, engineering, site inspection and accounting. Adding an additional division is like adding an additional cost. Hence most companies prefer outsourcing their equipment division to hirers who have an in-depth knowledge of the technology trends in the equipment.

Everyday new technologies are coming. Now based on these technologies, new equipments are being launched. Therefore everyone wants only the newer machines. The older machines even if it’s in good condition and efficient – the clients are not ready to analyze it, they only want the newer machines for rental.

What is the future business strategy of Sai Infraequipments?

As the industry grows in the years ahead, we want to expand our services to more customers and emerge as the preferred choice for construction companies across India.

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Founded in 1974, Mtandt is a professionally managed group having all India presence – it is the largest AWP rental company of India. Key activity of the group is to provide safe and economical solutions to the industrial and infrastructure segments.

Pradeep Agarwal, CEO & CFO Mtandt Rentals Ltd told Sandeep Menezes that the construction equipment sector will see a growth of around 15 per cent in the next two years.

Interface

We have targeted revenue growth of 100% in next three years It’s been six months since the new government has taken over the nation’s reign, how do you foresee the construction equipment industry’s performance?

Actually, I feel it’s too early to measure the performance of the new government. The sentiments are positive, the vibrations and feel is totally positive. I feel that after two years the construction equipment market will have good future.

What is the quantum of expected growth across the construction equipment industry in next two years?

We feel that the construction equipment sector will see a growth of around 15 per cent in the next two years. The sentiment is positive and if infrastructure growth happens like in China then we should be looking at a good growth rate of around 15 per cent.

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Interface

mtandt at bC India 2014 What will be the main growth drivers for the construction equipment industry in the years ahead?

There has to be investment and focus on infrastructure development. The nation is way behind in terms of infrastructure facilities and things need to become better.

What do you expect from the new government in terms of support for the construction equipment industry?

First of all, the government needs to bring in GST. I feel that GST has to be implemented and interest rate issue needs to be looked into. The issue of legal movement of equipments needs to be sorted out. They are looking into labour issues which are a good sign.

We are facing a shortage of trained equipment operators and technicians nationwide. Comment.

We have our sister concern – The Academy of Safe Work Practices to work at heights. Here we impart training to work at heights. Every month we train approximately 30 to 40 people. There is no shortage of manpower but yes there is shortage of trained manpower – it is everybody’s problem.

The interest rates have not softened to the extent expected and most construction equipments are purchased on financing mode. Comment.

Interest rates softening will boost demand for construction equipments. But it’s not happened to the extent expected – this

does not mean that business will stop. But yes, the softening of interest rates will lead to spurt of construction equipment sales.

The interest rates have not softened but it may soften in next three months. It is bound to happen. The government’s focus is to develop the country, develop infrastructure, and spurt industrial growth – ultimately GDP growth comes from these sectors only.

The government has been pushing with its ‘Make in India’ campaign. Comment.

Earlier we were importing machines from Germany but now we also manufacture equipments in India. We also take care of environmental issues while manufacturing our products. Our company strongly believes in the idea of ‘Make in India.’

We are trying for technology transfers so that more machines can be made in India. We have started a facility for manufacturing smaller machines and three years down the line may also start manufacturing the bigger machines in India.

Going forward, tell us about MT&T’s capacity expansion plans?

We intend to go for continuous growth in India. We will develop our capacity for aluminum scaffold within the span of next one year. We are not looking at exports currently since we want to first cater to the Indian market. In the years ahead, our company will continue in its endeavor to bring new technologies and machines to India.

We have targeted a revenue growth of 100 per cent within the next three years for MT&T as a company in India.

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Lead Story

Reading the future of

CE industry

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With the government keen to push through industry friendly policies to spurt revival of stalled infrastructure projects while opening avenues for new projects being implemented, Sandeep Menezes tries to gauge the evolving future growth across the construction equipment industry.

T

ill few years ago, the construction sites nationwide used to be hugely dependant on manual labour with least usage of mechanized equipment. But now contractors have realized that manual labour leads to projects getting delayed and also the rise in manpower wages nationwide have made mechanization inevitable.

As specialized products are slowly gaining acceptance compared to products with general applications, the gap in technology between Indian made products and imported equipment us becoming narrower. As we can now witness mechanization becoming inevitable with respect to precision of improvement in product, the need of specialized high-capacity equipment is catching up.

CHALLENGES AHEAD Going forward, if India has to successfully constitute 10 per cent of the global market by 2018, construction equipment players need to take key strategic actions such as design and build equipment suitable to the Indian market apart from looking at a unique export business approach. Thus, India is expected to see more competition among the existing players in the construction and mining equipment industry with such aggressive growth strategies.

There are of course challenges that the construction industry has been facing for a long time now. These need urgent government intervention. For example, there has been delay in infrastructure projects due to time and cost overruns. Shortage of funds, environmental concerns and delay in government clearances have contributed further. Land acquisition challenges are causing project execution delays, in turn resulting in major investment deferrals by companies. There is also a lack of structured regulatory and policy framework for PPP models which needs to be addressed.

Another aspect to look into is ensuring constant upgrade of technologies and method specifications along with introducing new technologies.

Increasingly, machines will have to be designed to give better efficiency in terms of fuel consumption and productivity.

MAKE IN INDIA Currently most of the bigger equipments are imported into India while the smaller ones are

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India can potentially become the 4th largest global market for heavy equipments.

What is CE? Construction equipment (CE) can be classified into four groups – Earthmoving, Road Construction, Concrete and Material Handling Equipment. Earthmoving equipment is by far the largest group, followed by concrete equipment and material handling equipment.

CE industry usually grows twice as fast as the infrastructure industry.

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locally manufactured. Even key equipment components like engines are imported while the insignificant ones are locally manufactured. Most OEMs who manufacture locally still have significant proportion of components being imported.

The major reason for OEMs avoiding localization is that most local component vendors have yet to match international quality standards offered by their global counterparts. In the absence of good quality local vendors, the OEMs find it better and easier to import rather than help local vendors to scale up their quality.

The government has launched its ambitious ‘Make in India’ campaign that promotes local manufacturing but there is

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RIGHT OF VIEW

We were expecting a growth now but it has not happened yet. We think that it will happen in another quarter (three months). I think a growth rate of around 15 per cent can be expected for the industry..

— Amit Gossain, President – ICEMA, Executive Vice President Asia JCB India Ltd

We feel that the construction equipment sector will see a growth of around 15 per cent in the next two years. The sentiment is positive and if infrastructure growth happens like in China then we should be looking at a good growth rate of around 15 per cent.

— Pradeep Agarwal, CEO & CFO - Mtandt Rentals Ltd In the coming financial year, the currently announced plans may start showing results.

But over the next two years, I expect the construction equipment industry to witness a growth of around 20 to 25 per cent. Next year should witness an industry growth of around 8 per cent.

— K. Ilango, Managing Director - Sai Infraaequipments Pvt Ltd Our feeling is that it will take another six to eight months for the construction equipment market to start growing again. If most of the stalled projects get kick-started by mid of next year – then it may take another two years but going forward there is only growth ahead.

— B. Sridhar, Head, SDLG Business, Volvo India Pvt. Ltd

We feel that the construction equipment industry will witness a growth of around 10 to 20 per cent in the forthcoming year.

— Yutaka Goto, President & Director Kobelco Cranes India Pvt Ltd

Specialized products are slowly gaining acceptance in India.

also an urgent need to strengthen intellectual property laws in India. While patent infringements or design copying in construction equipment sector are not a key irritant across India vis-à-vis China – it still remains an area of concern.

OEMs invest significantly into R&D to improve equipment productivity and launch new variants. The rampant design infringements have led to fear amongst many OEMs that their intellectual property needs to be better protected. If intellectual property laws are strengthened then OEMs will not hesitate to shift their manufacturing operations from high cost overseas centers to Indian locations.

EVOLVING SCENARIO The short-term economic outlook in India may seem grim, however the medium to long-term economic prospects look encouraging. In fact, consensus has been building among various global banking institutions that India will witness higher economic activity and foreign fund inflows within next few quarters. Sectors such as infrastructure, ports, mining will hopefully see a resurgence and healthy growth in the next 5 to 6 years up to 2020.

CONCLUSION The future growth of the construction equipment industry nationwide will not be decided by beneficial governmental policies or lower pricing alone. Though these would definitely assist the market to grow, real growth in the Indian construction equipment industry will take place because of the sheer need for expanding and upgrading the nation’s dilapidated infrastructural facilities.

The quantum of the industry’s growth will be decided by the speed with which the government clears bottlenecks hampering existing projects and opens avenues for new

projects.

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Expertspeak

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asily accessible, clean, reliable and efficient power is a key requirement for any rapidly developing country. Today, India is an important market for back-up power as people, public services and businesses across sectors strive to deliver services and protect livelihoods.

One of the key reasons for the boom in the back-up power market in India is the demand-supply gap in power distribution. The power deficits hover between the 3 to 10 per cent in various regions and in various seasons. Also the reliability of the grid is one of the drivers for the back-up power in the country. The back-up power sector can be broadly categorised into four segments - UPS, Diesel Generators, Inverters and Batteries. The UPS segment has witnessed a consistent rise in demand owing to the rapid development of the IT sector coupled with a growing consciousness among individuals to protect costly electronic equipment which can be adversely affected by sudden power failures. Demand for diesel powered generator sets come from various sectors such as IT, telecom and construction, while inverters are primarily used in households, shops and commercial establishments.

The northern region in India is the manufacturing hub of the Indian back-up power industry, while the recent power deficit in the southern region, in particular from Tamil Nadu, Karnataka and Kerala has triggered demand for reliable back-up power solutions. A shortage in coal and gas, often considered the primary raw materials for power generation, has

Back-up power solutions at construction sites Pankaj Jha explains that one of the main reasons for boom in the back-up power market in India is the demand-supply gap in power distribution wherein power deficits hover between the 3 to 10 per cent in various regions and in various seasons.

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also had an impact on the situation, as consumers become increasingly concerned about the duration of power cuts and seek alternative, reliable solutions.

This situation is providing tremendous growth opportunities for back-up power providers, with some industry commentators suggesting the market in India is about `3600 crore and had seen a growth of nine percent over the previous year. This shortfall in power requirements has driven increased demand for and reliance on back-up power, delivered through a range of generator sets powered by reliable, dependable and cost effective diesel engines.

India's 12th Five Year Plan has also identified the investment, development work and delivery programme for a new wave of power plants required to meet the ever growing domestic demand for power.

However, in the interim, demand for a reliable source of power continues to provide growth opportunities for reliable and cost effective suppliers of back-up power solutions.

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Expertspeak

4000 series

4006-23TAG2

PERKINS 1206F-E70TA Reliability and durability are essential features for any trusted supplier of backup power. The engine and generator set must be a dependable and reliable source of power; able to function at a moment's notice. The engine must be efficient in terms of running and maintenance costs and be supported by an aftermarket service network that can respond quickly.

This has resulted in the market for diesel engines within EP, whether for prime or back-up power requirements, witnessing a significant growth. Peak power shortages across the country and the business development that is being seen, have driven a previously unprecedented demand for generator sets as a source of back-up power.

While each and every installation has its own unique challenge there are some common themes. Reliability, cost-effectiveness and product support are messages are at the forefront of people's thoughts, and while each of these are synonymous with most global markets, there are situations that are distinct to the Indian continent.

In the usage pattern of gensets in the market there is a continuous downward trend. From the recent trends of average usage of >1000 hrs/ year the usage pattern is migrating to the 500 to 1000 hrs usage / year. While the markets still remain primarily a 'prime' market in genset

sector, there are pockets where the 'standby' genset options are being looked at.

For instance, back-up power in India is very different to that in a more mature market, with generator sets in standby mode running for eight or more hours a day when brown-outs occur; a much longer period than normally associated with that mode of operation.

From a technological point of view that means the engine has to overcome the challenges posed by its application, its location, its installation and its on-going maintenance.

Reliability is a key requirement and that is why mechanical engines are so predominant. These engines offer simplicity yet are extremely robust and capable of withstanding the challenging environment and conditions often imposed on them, while being technologically advanced.

The independent power sector has an important role to play in helping India to meet its energy needs, both now and in the future. There are situations where it can complement the grid; times where it can take its place and occasions when standby power is the only option available.

Consumers become increasingly concerned about the duration of power cuts and seek alternative, reliable solutions.

(The author is South Asia Marketing Manager, Perkins India.)

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Doctors Diagnosis

Port traffic increases 10 per cent in November Dr. M.S.Kapadia

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he seaborne traffic at the country’s 13 major ports increased 10.4 per cent in November, against 7.4 per cent in October, 11 per cent in September and a decline in November 2013. The improvement was across the ports, barring New Mangalore which had to endure 15 per cent drop in business volume during the month and 5 per cent during April-November due to reduced POL and iron ore loading. Seven ports enjoyed double-digits business growth: Mormugao recorded 33 per cent growth and Kandla 30 per cent. Mormugao which was reeling under reducing business volume till recently due to vanishing iron ore business also recorded 22 per cent increase during April-November due to thermal coal and general industrial

SEABORNE CARGO AT MAJOR PORTS DURING APRIL-NOVEMBER 2014 000 tonnes Kolkata Dock System 9,045 Haldia Dock Complex 19,115 Total: Kolkata 28,160 Paradip 47,308 Visakhapatnam 38,938 Kamarajar (Ennore) 19,896 Chennai 35,462 V.O. Chidambaranar (earlier Tuticorin) 20,836 Cochin 14,589 New Mangalore 24,383 Mormugao 9,044 Mumbai 40,647 JNPT 42,739 Kandla 62,584 Total 384,586 Classification by cargo CPOL 125,245 Iron ore 10,970 Finished Fertilser 5,556 Raw fertiliser 5,839 Thermal Coal 55,826 Coking Coal 20,995 Containers 79,767 Other cargo 80,388 Total 384,586 40

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% increase 10.56 -0.78 2.60 6.47 3.62 16.02 4.29 10.33 1.81 -5.19 22.17 6.35 5.72 5.15 5.33 1.36 -29.20 16.80 24.39 17.52 -4.60 5.87 12.05 5.33

cargo and return of iron ore loading. The 30 per cent increase in business volume at Kandla during November on the back of increased POL, finished fertilizer and thermal coal, was after around 9 per cent increase during the preceding two months. However, because of subdued volumes in H1, the cumulative increase was contained at 5 per cent.

Among the cargoes, barring iron ore that went down 60 per cent and coking coal that declined 15 per cent, other commodities showed y-o-y expansion during November.

These two commodities are also showing cumulative decline over April-November Finished fertilizers shot up 92 per cent, thermal coal 58 per cent and POL 12 per cent pushing the cumulative growth for the commodity into positive zone.

Taking April-November period of the ongoing fiscal 201415, seaborne traffic at the ports increased 5.3 per cent annually, against 1.4 per cent in this period a year ago.

Only two ports, Haldia Dock Complex and New Mangalore recorded decline in volumes. The decline in freight at Haldia was widespread, barring general industrial cargo, while that at New Mangalore was concentrated in POL and iron ore. Among the eleven ports recording positive growth, three ports enjoyed doubledigits growth in business: Mormugao recorded 22 per cent increase on the strength of other industrial cargo, iron ore and thermal coal. Kamarajar (Ennore) recorded 16 per cent increase due to better thermal coal and POL. Kolkata and V.O.Chidambaranar recorded 10.3/10.6 per cent increase.

Among the cargoes, raw/finished fertilizer volume increased 20 per cent, other industrial cargo 12 per cent and thermal coal 18 per cent, even as iron ore showed 29 per cent drop adversely affecting performance of Paradip, Visakhapatnam and New Mangalore. Coking coal declined 5 per cent during April-November.

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Photo Feature: bC India 2014

The exhibition concludes but industry sentiment rises T

he BAUMA CONEXPO SHOW - bC India, which took place from December 15th to 18th, 2014 in the India Expo Centre in Greater Noida / Delhi, has held a steady course as regards key figures. The show consolidated its position on the market.

A total of 26,000 visitors and 635 exhibitors from 25 countries attended the third edition of this International Trade Fair for Construction Machinery, Building Material Machines, Mining Machines and Construction Vehicles. Igor Palka, CEO of the organizer, bC Expo India, is very satisfied "that our exhibitors have so much trust in our brand and are continuing to support bC India in what is still a difficult economic environment. The event is now a firm date in the calendar for many companies and it has established itself. We have had a lot of positive feedback – and of course we are delighted about that." Tanmay Majumdar, Associate Vice President of Gmmco/Caterpillar stated that “the quality of visitors was very high, including good buyers, contractors and the like. bC India is a good opportunity to meet new customers.” bC India also enjoys a very high status as a presentation platform for companies, as Sandip Choudhuri, General Manager & Head Kansbahal Works at Larsen & Toubro, confirmed: “We had many customers and very serious enquiries. The visitors were very seriously interested in our products. We launched a new product here and in that respect it was very important for us to be here to use bC India as a platform.” For Wirtgen, too, bC India is a must. Ramesh Palagiri, Managing Director & CEO of Wirtgen India, commented: “bC India is very important for the Wirtgen Group. Here in India, bC India is the most professional trade fair. We’ll 42

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participate in the next bC India, too.” As well as high quality, bC India also provided an excellent opportunity for signing up new business as Rajesh Shrivastava, General Manager – Marketing & Dealer Development of Terex India, confirmed: “We had customers coming and buying equipment right off the booth. We are very excited about the profile of the customers here at bC India.” And this is how S. Baskar Babu, General Manager of Schwing Stetter India, summed up his company’s experience: “bC India as usual came out very well. The quality and the delivery of bC India is unbeatable. We will definitely participate in every edition of bC India.”

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Over 26,000 business visitors visited the exhibition.

635 exhibitors from 25 countries participated.

There were new products launched at the exhibition.

This is the first time that bC India was held in Greater Noida / Delhi.

PHOTOGRAPHS BY ANTHONY AZAVEDO Project Vendor January 2015

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Update

RIL, PEMEX ink MoU for potential upstream oil & gas business opportunities PV News Bureau

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eliance Industries Limited (RIL) and the Mexican state owned company, Petroleos Mexicanos (PEMEX) have entered into a Memorandum of Understanding (MoU).

As per the MOU, RIL will cooperate with PEMEX for assessment of potential upstream oil and gas business opportunities in Mexico and jointly evaluate value added opportunities in International Markets.

RIL and PEMEX will also share expertise and skills in the relevant

areas of oil and gas industry including for deep-water oil and gas exploration and production.

The MoU envisages sharing of RIL’s pioneering expertise in deepwater development and best practices in East Coast of India and RIL’s experience in shale gas in United States. RIL will also provide technical support and share experience with PEMEX for refining value maximisation and other technical optimization strategies.

RIL and PEMEX will also collaborate to exchange experiences

Mitsubishi to build factory in Bengaluru

on environmental and social responsibility front.

The signing of the MoU marks further strengthening of the long standing relationship between RIL and PEMEX. RIL’s cooperation with PEMEX is in line with its growth strategy to explore opportunities to expand its international asset base in regimes having internationally attractive competitive terms. The company hopes to leverage its organizational capabilities and expertise to create long term value for Exploration and Production Business and for RIL on the whole.

BEML launches India’s biggest excavator

PV News Bureau itsubishi Electric Corporation announced that its Indian subsidiary Mitsubishi Electric India Pvt. Ltd. will build a factory to produce electrical equipment for rolling stock, aiming to expand its transportation-systems business in the Indian market. Construction is planned to finish in September 2015, followed by the start of production in December that year.

The factory, which is expected to cost around $8 million, will have a perimeter measuring 4,605 square meters. Located in the suburbs of Bengaluru, it will produce traction inverters, motors and other electrical equipment for rolling stock, and it will also have equipmentmaintenance facilities. Initial staffing will total about 50 people.

Takahiro Kikuchi, Executive Officer and Group President of Public Utility Systems of Mitsubishi Electric, said: “The Indian market is growing rapidly, fueled by the country’s increasing population and rising demands for eco-friendly mass transportation systems. Several major infrastructure projects are under consideration in India, including some with yen loan, and we plan to support them in an effort to expand our transportation-systems business.”

The factory launch is a part of a growth strategy under which Mitsubishi Electric aims to achieve transportation-systems annual revenue of $2.7 billion, by 2020.

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PV News Bureau EML Limited, a premier domestic manufacturer of Mining & Construction equipment, has launched the biggest Made-inIndia Electrical Excavator BE1800E for large mining operations.

At a recent event, P. Dwarakanath, Chairman and Managing Director has launched the Equipment in the presence of Directors, Executives and Employees of BEML. BEML BE1800E electrical excavator matters a lot in mega mining projects where low-cost electric power is available.

This excavator is packed with leading-edge technology, offers a host of advantages, including superior controllability, mobility, durability, maintainability and operator comfort.

BE1800E Excavator is a cost effective alternative to the 10 cum Rope Shovels currently in operations. BEML electrical excavator comprises of proven electrical system, hydraulic system, undercarriage and work attachment which enables high reliability.

With the thrust for ‘Make in India,’ this indigenously developed pollution-free Excavator will help to increase productivity in Mining Operations both domestically and globally.

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Orders & Contracts midfield airport terminal building and car park at Abu Dhabi against stiff international competition. The scope involves the construction of a multistorey structure with extended at-grade parking to accommodate approximately 3,400 parking spaces with provisions for future development. The project also includes overall MEP systems comprising HVAC, MV, LV, plumbing, fire-protection, IT, security systems and a decorative PTFE facade with associated framework.

On the domestic front, an order has been secured from one of the world’s leading two-wheeler manufacturers for the construction of various buildings for their upcoming manufacturing plant in Gujarat. The scope involves civil, structural and other associated works.

L&T Hydrocarbon Engineering

Oil & Gas Sector: Rs. 894 crore.

L&T Hydrocarbon Engineering (LTHE), a fully owned subsidiary of Larsen & Toubro, has bagged an offshore contract valued at `894 crore from the Oil & Natural Gas Corporation (ONGC) for additional development of the Vasai East project.

The contract, won against international competitive bidding, includes total ‘EPCI’ solutions – Engineering, Procurement, Construction and Installation of two wellhead platforms, subsea pipelines and modification of existing facilities in Heera-Panna-Bassein Block of Mumbai Offshore. The project, part of ONGC’s strategy to improve recovery factor of Vasai East field where production started in 2008, is scheduled to be completed by April 2016.

L&T has been serving the upstream hydrocarbon sector since the early ’90s. This contract reiterates the long term association of ONGC with L&T in the development of offshore fields in India. The Company’s offshore track record includes successful completion of several challenging projects for domestic and international clients.

LTHE provides complete ‘EPCI’ solutions for the offshore Oil & Gas industry. It combines customized engineering, procurement, fast-track project management and world-class fabrication, and sea installation capabilities meeting stringent timelines and conforming to global safety standards.

L&T Ltd

Multi Sector: `2008 crores The construction arm of L&T has won orders worth Rs. 2008 crores including two new international orders in the months of November and December 2014.

POWER TRANSMISSION & DISTRIBUTION BUSINESS The Business has secured new orders worth `1058 crores.

An international EPC order has been won from an Algerian transmission utility company - SONELGAZ – GRTE (National Society for Electricity and Gas). The order is for engineering, procurement, construction, testing and commissioning of 220/60 kV EHV substation at Bougzoul. The scope includes the construction of an air insulated substation comprising 220/60 kV bays, protection and substation automation systems, a DC system and auxiliaries. The contract encompasses design and construction of civil buildings with a complete set of utilities such as air-conditioning, fire protection and lighting systems. This is a second order in Algeria after breakthrough award of 400kV Substation.

BUILDINGS & FACTORIES BUSINESS The Business has secured orders worth `920 crores.

A major international order has been bagged for the construction of a 50

Project Vendor January 2015

HEAVY CIVIL INFRASTRUCTURE AND WATER & RENEWABLE ENERGY BUSINESSES Orders worth `30 crores have also been received from various ongoing jobs of Heavy Civil Infrastructure and Water & Renewable Energy Businesses.

Siemens Ltd

Power Sector: `317 crore Siemens Ltd. said it recently won an order worth approximately `317 crores from Bihar Grid Company Ltd., a joint venture between Bihar State Power Holding Company Ltd. and Power Grid Corporation of India Ltd. This is Siemens’ first GIS substation order from BGCL and also marks the establishment of the first 220 kV GIS in the state of Bihar.

Bihar Grid Company Ltd. was formed by the Bihar Government in a joint venture with PGCIL, for strengthening and augmenting the transmission system in the State. It is expected that more than 6000 MW electricity will be available to the state from different sources by 2017. The state-wide transmission of this bulk power will require construction of new transmission grids, sub-stations and transmission lines of 400/220/132 kV levels.

Proper handling and transmission of bulk power is important for state utilities to maintain a stable and assured supply of power, which is crucial for attracting industrial investments. Siemens’ cost-effective solutions for transmission and distribution of bulk power such as Gas Insulated Switchgear provide a trouble free and reliable service to state utilities.

Alstom T&D India

Power Sector: `1800 million Alstom T&D India has secured an order worth around €23 million (INR 1800 million) from NTPC Limited to supply a 765 kV switchyard at the 2x800 MW Darlipalli Super Thermal Power Project (STPP) in Sundergarh, Odisha.

The 765 kV switchyard will facilitate evacuate the 1600 MW of power produced by STPP to the state grid of Odisha.

Alstom T&D India will design, engineer, manufacture, install and commission eleven 765 kV bays and fourteen 132 kV bays. All equipment will be manufactured and supplied from Alstom T&D India’s manufacturing facilities located in Padappai, Hosur and Pallavaram.

Rathin Basu, Managing Director, Alstom T&D India said, “After establishing India’s first 765 kV substation at Sipat, we are pleased to earn the confidence of NTPC to execute the switchyard for the Darlipalli project.

Alstom T&D India, with its repertoire of high-end, localised extra high voltage products and solutions, is playing a significant role in the evolution of the country’s transmission landscape.”

ABB Ltd

Power Sector: `334 crore ABB has won orders worth `334 crore from public utilities, Bihar Grid Corporation Limited (BGCL) and West Bengal State Electricity Transmission Company Limited (WBSETCL), to build new transmission and distribution substations that will boost power supplies in the region.

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Orders & Contracts IN BRIEF VA Tech WABAG has won another Sewage Treatment Plant (STP) order in Valenzuela, Philippines. The contract value is about `175 crore and the project is funded by World Bank. As per the contract, WABAG will design and build the 60 MLD Valenzuela Sewage Treatment Plant for Maynilad Water Services Inc, using the activated sludge process. In addition, the company needs to operate and maintain the plant as part of performance-proving period of one year. WABAG is already executing the largest sewage treatment plant (100 MLD) at Illugin, in Philippines. With this new STP order in Valenzuela, WABAG Philippines has an order backlog of `450 crore in just three years of its operation in Philippines.

Alphageo (India) has successfully bagged a contract worth `10.42 crore from Oil India, Duliajan, Assam. The contract has been awarded to Alphageo for 3D Seismic Data Acquisition (SeisloopBased Survey) in the State of Mizoram. Alphageo (India) is engaged in providing seismic survey services to the oil exploration and production sector. With its comprehensive service range, it enables oil and gas exploration companies to identify subterranean deposits with efficiency and effectiveness. In September 2014, the company had been awarded a contract for 3D Seismic Data Acquisition in Cauvery Basin of the state of Tamil Nadu. The value of this contract was about `11 crore excluding taxes and duties.

Bharat Heavy Electricals (BHEL) has marked its maiden entry into the Turkish Power Market by securing an order worth Euro 16.96 million (approx `130.8 crore). BHEL has bagged the contract for rehabilitation of three units of Electrostatic Precipitators (ESPs) for the 430 MW Tuncbilek Thermal Power Project in Turkey, on EPC basis. The order has been placed by Electricity Generation Company, which is the largest electric power company in Turkey. It is owned by the Turkish government and it generates and supplies electricity throughout the country. For this contract, the Electrostatic Precipitators will be manufactured and supplied by BHEL's Ranipet unit; motors and other auxiliaries by its Bhopal facility; and Controls by the company's Bengaluru unit.

Avantha Group Company CG has received a contract from the Belgian offshore wind farm operator, Northwind. As per the contract, the company will provide operation and maintenance services for the 216 MW wind farm offshore substation on the Lodewijk bank, 40 km off the Belgian coast. CG will provide complete end-to-end services for effective monitoring, maintenance and repair of the offshore substation, and will ensure optimal availability along with safety for ten years. It will also provide preventive and corrective maintenance through its dedicated offshore specialised service team.

The two east Indian states of Bihar and West Bengal regularly face significant power shortfalls and demand is rising, fuelled by mining, agriculture and increasing urbanization. Both states have ambitious plans to significantly enhance their power-generation capacity, which in turn needs complementary transmission infrastructure.

As part of a turnkey contract in Bihar, ABB will design, supply, install and commission 220/132/33 kV (kilovolt) gas-insulated switchgear (GIS) substations across four locations. These substations will deploy ABB’s compact high-voltage GIS technology which can reduce the substation footprint by up to 70 percent compared with conventional air-insulated switchgear (AIS) substations. Other equipment includes medium-voltage switchgear, state-of-the-art IEC 61850-compliant protection and substation automation systems, as well as fiber-optic telecommunications systems.

In West Bengal, ABB will design, supply, install and commission a 220/132/33 kV AIS substation to help meet the growing demand for electricity in the Sadaipur region. Other ABB product supplies include IEC 61850-compliant substation automation, power-line communication carriers (PLCC) and fiber-optic telecommunications systems.

IVRCL Ltd

Irrigation & Water: Rs 1,255.67 crore.

IVRCL’s Irrigation & Water Division has bagged orders worth `1,255.67 crore.

IRRIGATION DIVISION IVRCL has bagged an order of `1,022.58 crore from Karnataka Neeravari Nigam, Government of Karnataka, for TUBCHI BABALESHWAR Lift Head Works. The work entails Survey, Investigation, Design, Supply, Installation, Testing and Commissioning of head works including all required structures, pipe line and motors with pumps and electro-mechanical works along with operation and maintenance requirements for five years.

The scope of the project includes construction of gravity type intake channel of 1.40 km length. Jackwell-cum-Pump House, Delivery Chamber, Panel Room, Control Room, a substation of 220kV/11 kV capacity with all accessories and 11 km Transmission Line with required volute pumps to deliver a total discharge of 20.03 cumecs of water with a head of 194.50 mtr.

The project is to be executed in 24 months.

WATER DIVISION IVRCL has bagged an order of `137.49 crore from Bharat Heavy Electricals (BHEL) for the work of Package-5: Civil, Structural and Architectural works etc, of complete Raw Water reservoir intake Water Pump House, Desilting chamber, Civil work for piping from intake Water Pump House to Raw Water Pump house, Gas Chlorination Plant, Raw Water Pump House, Road to intake Pump House, Boundary wall (part), Road and Drain along boundary wall (part).

Project Vendor January 2015

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Advertorial

DURAmembrane: A high performance waterproofing membrane from Supreme

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upreme Industries, which has been providing durable, cost effective and environment friendly products for construction industry across the country for over six decades, offers ‘DURA’ range of civil products that truly represents the word ‘durable.’ All the products manufactured by the company have been developed after strenuous interactions with experts in the field, studying current requirements and emerging trends to cater to the fast changing demand scenario of new generation in the sector. Supreme Industries always strives to offer products that are best suited to the clients’ requirement like its latest offering ‘DURAmembrane’.

The company manufactures products in the most environment–friendly manner and constantly upgrades the products to meet the current challenges to recommend the best solutions, always. All its products help in reducing consumption of available resources thereby helping the environmental cause.

DURAMEMBRANE Among its various innovative products, the Supreme Industries has added DURAmembrane, a new offering in the portfolio of competent and ‘DURAble’ products for the Construction Accessories Division.

DURAmembrane is a new generation, cost effective solution for waterproofing of basements and roofs. It is a versatile material, capable of retaining the dryness of concrete, masonry, metal and wood structures. It is also resistant to salts, alkalis and various types of acids. In 52

Project Vendor January 2015

fact, the product is a high performance, composite polymeric membrane offering a quick and easyto-apply system, ensuring hassle-free maximum productivity.

The company launched the new product as there was a continuous demand from innumerable satisfied customers to develop waterproofing solutions to solve the leakage problems in their factories and offices. They were not satisfied with the current waterproofing systems available in the market after which company's research and development team started working full-fledged on the project to develop a composite of various polymers cross linked and fused resulting in this exclusive high performance membrane. The most striking advantage of the product is that it can be used in new constructions and also at the time of repairing old structures. The Supreme Industries, which is the only manufacturer of this type of waterproofing membrane in India, has planned to use DURA membrane for applications including concrete roof waterproofing, basement waterproofing, water proofing of bathrooms, and terrace gardens.

STRIKING FEATURES DURAmembrane is a high performance composite polymeric membrane, which is durable, lightweight, non-deteriorating, punctures resistant, is available in length stretching up-to 50 meters. It is now crystal clear that bitumen disintegrates after contact with water and also catches fungi after which it starts melting during summer due to lessening of its puncture resistant strength. In contrast,

DURAmembrane has a very good puncture resistance of 199 N (Test method - ASTM E154: 1999) and because it is polymer based it won’t deteriorate. That apart, none of the waterproofing solution systems provide any added advantage except waterproofing whereas DURAmembrane is not only 100% waterproof but also an excellent insulating material. Other treatments have a tendency to absorb moisture and conduct heat but DURAmembrane does not absorb water at all. Its ‘K’ value does not deteriorate because its inherent closed cell structure ensures truly effective thermal insulation and waterproofing for a life time.

DEMAND SCENARIO Shortly after the on-set of monsoons, problems like leakage and seepage in roofs, walls, basements, bathrooms both in commercial and residential buildings including factories, is a common feature. After every shower of rain, structures tend to expose their limitations and flaws the monsoon rains, in fact, test buildings and reveal the defects that are not normally observed during sunny days. To avoid huge losses to the buildings and other structures people increasingly pay attention to the leakage related problems prior to the next rains. As it is being the first of its kind concrete roof and basement waterproofing product, specially designed to withstand the hot and humid Indian conditions, DURAmembrane is a perfect blend to solve problems and avoid huge losses arising out of leakages to both individual and contractors. The entire construction industry in India will benefit because of the fact that the product will not only help them to overcome complex challenges, but also enhance their productivity and durability.

For further details, please contact: Mr. Ajay Mohta: +91-9831020808 / 9810495550 E-mail: dura@supreme.co.in

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Special Report

Surge analysis of ethylene cross country pipeline

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ransient and surge situations occur when fluid flow velocity changes abruptly because of various scenarios like sudden closure of Emergency Shutdown Device (ESD), Pump tripping, Slamming shut of a non-return valve etc., causing a pressure wave that moves from one end to another end at the sound speed inside the fluid. The wave therefore potentially subjects the pipe to pressure values exceeding the limits of pipe line design values and leads to pipeline damage, pump casing crack, pipeline leak, contamination and environmental damage. Pipe line system design without surge study and proper surge protection will result in significant downtime in the process plant and the reduced life expectancy of the pipeline.

P. Srinivasan and A. Mohan discuss the importance of surge study and illustrate few case studies from previous project experience on how sudden closure of ESD leads to pressure surge in the pipe line. From one of the previous projects involving 5.5km long ethylene cross country pipe line, transient simulation study was carried out for several cases of the ESD closing time and finalized the closing time of ESD at which surge pressure was less than the design pressure of the pipe line. The pressure profile graph generated from computerized simulation study at various closing time of ESD are illustrated and discussed in this paper.

Figure:1 Part of Ethylene unloading Pipeline system (extracted from piping 3D model) INTRODUCTION Most of the petroleum products are transported from production storage facility to export facility or from import facility to production storage facility through a system of longer distance pipe lines. Also considering the development in engineering of fluid flow systems, the 54

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increase in flow rates and transfer to longer distance of fluid using larger capacity pump is a common practice now a days. In such systems, ESD is used to safe guard the storage facility and pipe line system in case of any emergency scenario like fire or leakage or over filling in the system. During such emergency scenario, the sudden closing of such ESD in a pipeline leads to pressure rise in the pipeline network.

In the case of ethylene unloading pipe line project executed, there are many scenarios which will necessitate abrupt stoppage of flow in the unloading pipe line namely ethylene storage tank pressure high, storage tank level high, fire hazard nearby area, any leak detection etc. In these circumstances, abrupt closing of ESD is initiated by various trip interlocks and this sudden closing will create surge pressure exceeding the design pressure of the pipe line system. If proper mitigation is not considered to limit the surge pressure below the design pressure, it will cause pipe line rupture and may attribute to fire situation as the fluid is highly flammable. In this project, ethylene is unloaded through 5.5km long pipe line from ship vessel to storage tank located in the production facility and Emergency shut down valves are provided at both ends of the pipe line.

In the event of emergency scenario near the jetty area, emergency shutdown of the ESD system located closer to the jetty area is initiated from the PLC located closer to the Unloading arm.

In the event of emergency scenario near the storage tank, emergency shutdown of the ESD system located closer to the storage tank is initiated from the control room.

Simulation study of this scenario is taken as case study in this article and presented.

The design pressure of the pipe line was 13bar (A). In the subsequent section, it is described that how the pipeline surge pressure changes with respect to valve closure time and how quick closing of valve increases the line pressure above the design pressure of the system. Finally, the closing time of valve is finalized in such a way that the surge pressure is limited with in the design pressure of the system.

As per ASME31.3, it is permissible to exceed the pressure rating or the allowable stress above the design pressure at the temperature of increased conditions for a short time with limited conditions subject to owner's approval based on the designer determination / confirmation on safe service life of pipe line system. However, this code credit is not taken in to accountat this design stage of the project as

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Special Report this could be of usage at later date in case of any revised operating case.

IMPACT OF HSE STUDY ON VALVE CLOSURE TIME IN THE TRANSIENT STUDY The valve closure time is dictated by two criteria as mentioned below; HSE studies and its consideration of maximum valve closure time for estimation of fluid leakages for consequence analysis and mitigations.

Pipe transient surge studies to arrive at acceptable minimum valve closure time in order to protect integrity of the pipeline.

However, the valve closure time should not exceed the allowable time as dictated by HSE studies. In case, the minimum time of surge study fails to meet the maximum time dictated by HSE studies, the hydraulic study needs to be re-iterated with pipeline of higher design pressure till both converges. This article highlights the hydraulic transient surge study only, on the basis the valve closure time as indicated in HSE study report is respected, although the HSE Study details are not elaborated in this article.

DESCRIPTION OF THE CASE STUDY Technip India Chennai has executed Ethylene unloading pipe line system (refer figure1) on EPCM contract basis starting from concept stage.

This Unloading pipe line is to facilitate unloading of ethylene from ship vessel to storage tank located in the production facility. The ethylene unloading pipeline network consists of; 5.5km long stainless steel transfer line Unloading arm Storage tank of 10,000MT, Boil-off compressors and Ethylene vaporizer at shore Emergency Shutdown Device (ESD) one at closer to the shore storage tank and one at closer to the ship to protect the system in case of emergency.

Pipeline data and Valve data are fed in the simulation software. These input data details are described below; a)Pipeline isometric data for simulation study The distance between Jetty unloading arm and storage tank in the production unit is 5.5km.The pipeline consists of many expansion loops. Hence, the total length of the pipe line including loop is 5.7km.The entire pipe line is on racks and in the elevated position. The pipeline details like pipe line routing, elevation, bends, fittings, etc., were fed in the transient simulation software based on piping general arrangement drawings and isometric drawings.

Figure 2, shows the piping configuration modeled in the simulation software indicating pump and ESD in the each end of the pipeline. b)Fluid properties Temperature is an important input data for surge pressure because it has a direct influence on fluid viscosity and density. Bulk Modulus is required to calculate the wave speed through the pipes. Vapor pressure is also necessary to model cavity formation in vertical pipes.

Fluid Temperature Fluid density Fluid viscosity Vapor pressure Bulk modulus

Liquid Ethylene 104 degree C 568 kg/m3 0.18 cp 1.04 bar(A) 0.6GPa

c)Pump data Since this pipeline system is meant for unloading of Ethylene liquid from ship, the unloading pump is part of ship vessel and below is the pump vendor data as given by the ship crew.

Flow rate of the pump: 300m3/hr.

Pump Head: 120 meter liquid column

BASIS FOR THE SURGE ANALYSIS The surge analysis was carried out with the help of Transient simulation software. The required inputs such as Pipeline isometric data, Fluid properties, Pump data,

Figure 2: Ethylene pipeline configuration modeled in the Transient simulation software

d)Pipe data The design pressure of the pipeline was considered as 13bar (A) Material specification: ANSI B3619-10S Pipe Size: 10inches e) Valve data In the beginning of the project, the valve closing time was considered as 30secwhich would be confirmed after surge study.

Type of valve: Ball Flow coefficient, Kv value: 785m3/hrbar1/2 Project Vendor January 2015

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Special Report SIMULATION OUTPUT AT VARIOUS CLOSURE TIME OF THE ESD The simulation run at various valve closing times like 10sec, 30sec, 40sec and 50sec was carried out and result in the form of pressure profile graph is illustrated below.

d) Valve closure time 50sec In this case when valve is closed in 50sec, the surge pressure is limited to 12.5bar (A) and this is below the design pressure of the pipe line. Hence, the valve with 50sec closing time was recommended.

a) Valve closure time10sec In this case when valve is closed in 10sec, the surge pressure goes up to 15bar (A) and it is more than that of design pressure 13bar (A) of the pipe line.

b) Valve closure time 30sec In this case when valve is closed in 30sec, the surge pressure goes up to 14bar (A) and it is more than that of design pressure 13bar (A) of the pipe line.

c)Valve closure time 40sec In this case when valve is closed in 40sec, the surge pressure goes up to 13.5bar (A) and it is more than that of design pressure 13bar (A) of the pipe line.

CONCLUSIONS Surge pressure as the results of hammering effect or transient phenomena is the momentary increase in pressure, which occurs in a liquid system when there is a sudden change of velocity of the liquid. This momentary surge pressure can lead to catastrophic failure of pipeline when it is higher than design pressure of the pipe line.

To prevent catastrophic failure of pipe line, devices and measures such as defining the valve opening/closing times, pressure relief valves, surge tanks, increased pipeline diameter and increased pipeline wall thickness can be used as surge mitigation measures. The final selection of the surge control system depends on cost optimization as well as the emergency needs of the system.

Based on the surge analysis carried out, the pressure fluctuation along the transfer pipe line is due to instantaneous closure of the ESD and the increasing valve closure time shows a decreasing peak pressure.

In this case study, a valve with closing time of 50sec was selected to limit the surge pressure below the design pressure of the pipe line as a mitigation measure.

P. Srinivasan is Chief Engineer, Chennai Process at Technip India Ltd. He has 25 years of experience in the areas of Conceptual study, Plant scale-up, Process Design, Project control, Project Execution & Management and Technical support to proposal / project group. His areas of specialization are Petrochemicals, Oil &Gas, Chemicals, Pharmaceuticals and Refrigerated Storages.

A.Mohan is VP, Chennai Process & Technology Head at Technip India Ltd. He has 33 years of experience in the areas of Plant Operation, Commissioning, Process Design, Project Execution & Management, PMC consultancy, Plant Due Diligence. He is part of Management's Operation Committee supporting in the areas of Marketing, Proposals, Technology coordination, Business associations, Client relationship and HR activities.

His areas of domain are Oil & Gas, Fertilizers, Petrochemical and Refrigerated storages. He is also member of Expert Network within Technip Group in the field of Ammonia Technology, design and operation.

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Company Watch

Liebherr at the bC India 2014 Trade Fair

Liebherr wheel loader L 580 representing the expanded wheel loader product range for the Indian market at bC India 2014.

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ailor made solutions for the construction industry of the Indian market were the focus of the Liebherr showcase at bC India 2014. The trade fair was held from December 15-18, 2014 in the India Expo Centre, Greater Noida / Delhi.

At the third edition of this "International Trade Fair for Construction Machinery, Building Material Machines, Mining Machines and Construction

Vehicles", the Liebherr Group presented wheel loaders as well as mobile and tower.

WHEEL LOADERS L 550 AND L 580 At the 2014 bC India, Liebherr presented the wheel loaders L 550 and L 580, two models representing the expanded wheel loader product range for the Indian market. Liebherr manufactures these wheel loaders in

The Liebherr mobile crane LTM 1220-5.2 which is on display at bC India 2014 is engineered for maximum lifting performance.

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Liebherr exhibited product ranges of wheel loaders, mobile cranes and tower cranes technology Equipment displayed represents tailor made solutions for the construction industry of the Indian market

Dalian, (P. R. China), in close cooperation with the wheel loader competence centre in Bischofshofen (Austria).

The Liebherr wheel loader L 580 displayed is driven by a 209 kW / 284 HP diesel engine. Equipped with a 5 m続 excavation bucket with bolt-on teeth, the machine achieves a tipping load of 18,000 kg at an operating weight of 24,720 kg. The Liebherr wheel loaders are robust standard machines with the familiar high performance and the low operating costs for which Liebherr is wellknown. The combination of the hydrostatic travel drive and the special mounting position of the diesel engine enables movement of high load-weighs. Thanks to the robust design the machines are ideal for the most challenging of conditions. The Liebherr wheel loaders offer exceptionally low fuel consumption and require up to 25 per cent less fuel than comparable models from other manufacturers.

Mobile Crane LTM 1220-5.2 The Liebherr mobile crane LTM 1220-5.2, displayed in Delhi is engineered for maximum lifting performance. The total weight of the five-axle mobile crane is fully utilised to optimise load capacities. With its 60 m telescopic boom, lattice extensions and a 22 m long folding fly-jib system, the LTM 1220-5.2 offers a hook height of max. 101 m and a working radius of max. 88 m.

The crane is remarkably compact for its performance and the 10X8X10 drive, combined with active rear axle steering, provides an agility and manoeuvrability for even the most restricted sites. The carrier is powered by a Liebherr engine developing 370kW and the ZF 12speed gearbox features the ASTRONIC automatic control system.

The hydraulically operated four-point outriggers are self-levelling with an electronic indicator. The crane itself

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Company Watch

The Liebherr flat-top crane 85 EC-B 5i specially adapted to the Indian market, on the job in Delhi is also powered by a Liebherr made engine which has an output of 180kW. Electronic control is provided

by Liebherr’s own LICCON computer system via twin selfcentering joysticks located in the operator’s seat armrests, with

LICCON also incorporating safe load indication and a diagnostic and testing system. The ergonomically designed, state-of-the-art cab is comfortably appointed with full instrumentation and can be tilted backwards hydraulically for optimum

visibility during lifting operations.

Flat-top Crane 85 EC-B 5i At the 2014 bC India Liebherr presented the 85 EC-B 5i Flat-Top crane which is being assembled at Liebherr's Pune plant. The 85 EC-B 5i has a maximum load capacity of 5000 kg and can lift 1300 kg at the jib end, up to a maximum working radius of 50 m. The successful 85 EC-B 5i is specially adapted to the Indian market and inner-city needs. When the 85 EC-B 5i was developed, the emphasis was not only on the superstructure but also on the lowwidth 85 LC tower system, which has been optimally matched to the new crane and has new pin connectors among the many features that qualify it ideally for inner-city operation.

A typical situation when working in town and city centres is limited space. A decisive advantage is that the dimensions of all the assemblies of the new 85 EC-B 5i are so compact.

The new 85 LC tower system has a cross-section of only 1.2 x 1.2 m, which simplifies both transportation and erecting work if the inner-city site is small or access is difficult. The 85 EC B 5i City Crane can be erected quickly and safely in just about every gap in the building line.

Proud to be Indian, Powered to be Global

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he theme of Aquarius Engineers stall at the bC India 2014 event was “Proud to be Indian, Powered to be Global.”

With extensive presence in the domestic market, Aquarius is fast spreading its wings across the continents. Proud of its “Made in India” product range, the company is setting new horizons with its mark on many of the prestigious projects globally.

On the occasion of the launch of its new concrete pumps and batching plant models at the bC India show 2014, Aquarius announced its tie-up with Elematic Oy, a Finnish world-leading manufacturer of precast concrete plants and production lines for walls, floors and frames. The cooperation agreement is for development and supply of batching and mixing plants for the precast industry.

Elematic will provide their state-of-the-art technology to Aquarius for manufacturing of twin-shaft mixers and tower batching plants. Further more, Elematic will include Aquarius’ batching and mixing plants into their offering for the Indian market, and later on, for selected markets globally.

The new tower batching plant solution will offer great value to precast factories or ready-mix companies working in the fast growing Indian metropolitan cities.

Considering the rapid changes in the construction techniques and growth in high-rise building construction, Aquarius is launching the high capacity concrete pumps’ range. This range will feature pumps, viz. 1410 D and 1400 HPD+, with a dual advantage – Higher reach in vertical pumping blended with high pumping output.

The new launched concrete batching plant, model MP 19 will provide a site based solution for production of quality concrete. The plant has a high quality planetary mixing technology with facility of discharge into the concrete pump directly, facilitating quick placement of concrete. The plant is equipped with the state-of-the-art microprocessor based control system – SMART, minimizing overhead costs for the user.

Aquarius also exhibited its wide range of concrete line pumps, batching plants and boom pumps along with the concrete recycling unit – concrete wash, at the exhibition.

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Company Watch

Concrete Reclaimers: Solids-Liquid Separation Innovative, cost-saving reclaiming during washing of truck mixers, concrete pumps or compulsory mixers

T

he CONSEP速 5000 is used for the recovery of residual concrete and wash water from truck mixers/concrete pumps returning to the plant.

The CONSEP速 5000 is the answer to the latest environmental standards concrete manufacturers need to

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comply with today, in particular regarding: Environmental impact Pollution prevention Recirculation of waste water Recycling of separated aggregates Maximum recycling capacity (of normal diluted concrete) up to

20m3/h Separation of solid fines up to 0.15mm

ABOUT COMPANY The Italian WAMGROUP is a worldwide leader in developing and manufacturing equipment and plant components for bulk solids handling and processing, has been represented in India by its own subsidiary since 1996.

Apart from being responsible for distribution of the WAMGROUP product range in India, Sri Lanka, Bangladesh and Nepal, WAM India is the Group's manufacturing hub for the subcontinent.

It is the goal of WAM India to provide a vast customer base with attractively priced products in industrial quality, specifically tailored to the different needs of a variety of industries. Customer satisfaction through professional advice, comprehensive service and constant availability backed up by a vast stock of equipment and spare parts are an expectation WAM India is ready to fulfill day by day.

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Company Watch A PARTNERSHIP AS STRONG AS CONCRETE

A reliable partner in a challenging environment A SUCCESS STORY

I

ndia is the third-largest producer of coal in the world and has the fourthlargest reserves, with coal accounting for about 67 % of the total energy consumption in India. Since coal plays such a significant role in supporting India’s energy needs, its efficient mining assumes great importance for mining companies.

One such organization is Karamjeet Singh & Company Limited, (KJSL) an ISO 9001:2000 certified organization that was founded in 1975. Primarily engaged in overburden removal, excavation of coal and other minerals and ores, KJSL mines an average 20 million Cubic MT of Overburden and Coal for both Public and Private sector companies.

From the very beginning KJSL understood that the equipment used would play a critical role in their day to day operations because fuel efficiency, maintenance and safety are of paramount importance. In fact, fortunes are made or lost when these variables are at play! That is when Volvo CE became the preferred choice.

SUPPORT WHEN YOU NEED IT Mr. Akbal Singh minces no words when he says, “Mining is tough business. When you are working 12 hours shifts with heat and humidity for companions and in extremely inhospitable terrain, you need a partner like Volvo CE whose machines are designed, built and supported in different ways.”

For a core mining company, after sales service and ready availability of genuine

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“If there’s one thing that is critical in our line of work, it is the reliability and uptime of the machines. With an army of 55 service personnel from SVP Mining Technologies and Volvo CE standing by, we are confident of reclaiming any lost ground, if ever” Mr. Akbal Singh Bhullar, Managing Director, KJSL

spares and safety are of paramount importance. “With Volvo CE’s global support network dedicated to helping people accomplish more, one is assured of safety, comfort and productivity. As we like to put it: More care. Built in.”

KJSL operates one of the most modern fleet of Volvo wheel loaders, excavators and articulated haulers like : EC700, EC460B, EC480D & L90F, L120F, L120E, G930. The complete range of Volvo equipment were introduced by SVP Mining Technologies Pvt. Ltd. - an exclusive dealer for Volvo CE in Chhattisgarh. With more than 150 highly qualified and trained engineering professionals with extensive hands on experience in sales, marketing and after sales support of machinery and equipment, SVP provides sound technical and economical solutions to their clients.

This March 2014, KJSL has successfully completed 10 years of Customer Support Agreement with SVP at Jindal Open Cast Mines.

DESIGNED TO BE EFFICIENT & RELIABLE The management team at KJSL reiterates that from the time they invested in Volvo machines, there has been no looking back for KJSL as the machines are designed and constructed to work together in perfect harmony for more effective loading and shorter cycle times. Moreover they exceed the mining industry’s demand for dependability, serviceability, cost efficiency and safety.

While the mining business often throws challenges out of the blue, KJSL is confident that Volvo is always on their side to meet them head on.

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ADVERTISERS’ INDEX C O M P A N Y N A M E ......................................................................................... .................................................................................................... . P A G E N O .

Berco Undercarriages (India) Pvt. Ltd. .............................................................................................................................................................................7 Balkrishna Tyres Ltd .......................................................................................................................................................................................................15 Bekaert Industries Pvt. Ltd. ..............................................................................................................................................................................................9 DNS Automotive Pvt. Ltd. ..............................................................................................................................................................................................13 Electromech Material Handling Systems Pvt Ltd............................................................................................................................................................23 Electromech Zoomlion India Pvt Ltd...............................................................................................................................................................................27 Linnhoff India Pvt. Ltd. ..................................................................................................................................................................................................41 P i d i l i t e I n d u s t r i e s L t d . ....................................................... .................................................................................................... ........................... B a c k C o v e r Power Build Limited .........................................................................................................................................................................................................5 P r e m i u m t r a n s m i s s i o n L t d . ................................. .................................................................................................... ...................................................... I F C Prince SWR Systems Pvt. Ltd. .......................................................................................................................................................................................21 Sanctum Work Wear ......................................................................................................................................................................................................63 Shalimar Engineering Company.....................................................................................................................................................................................63 STP Ltd .........................................................................................................................................................................................................................45 The Supreme Industries Ltd ...........................................................................................................................................................................................17 U L I n d i a L t d . ............. .................................................................................................... ............................................................................................... I B C Ultratech Cement Ltd. ....................................................................................................................................................................................................11 V E C o m m e r c i a l V e h i c l e s L t d . ........................................................................ .................................................................................................... .. G a t e F o l d

Readers are recommended to make necessary enquiries before acting upon or entering into any commitment in relation to any advertisement published in this publication. Economic Research India Pvt Ltd does not vouch for any claims made by advertisers of products and services. The Directors, Printer, Publisher and Editor of Economic Research India Pvt Ltd shall not be held liable for any consequences, in the event such claims are not honoured by the advertisers.

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Published on 1st of every month W.P.P. Lic No. MR/TECH/WPP-59/SOUTH/2015 Reg. No. MCS/029/2015-17 Posted at Mumbai Patrika Channel Sorting Office, Mumbai - 400 001 on 5th & 6th of Every Month