Electronics manufacturers across the country are very happy with the government’s decision of starting a new procurement norm for the power sector. This was announced by Central Electricity Authority (CEA) last week. According to the new norm, “any equipment or material for government-funded power projects will have to be procured locally through domestic competitive bidding.” The decision also emphasised, if any international competitive bidding is necessary then the quoted price has to be in India Rupees only.
According to Babu Babel, president, The Indian Electrical & Electronics Manufacturers’ Association (IEEMA), “This decision will go a long way to address the underutilisation of existing manufacturing facilities of domestic electrical equipment manufacturers. The decision will also address the concern of large scale penetration of foreign equipment in the sensitive power sector.”
This move of the also expected to help the government’s ‘Make in India’ initiative as manufacturers will now be encouraged more to make in India.
Sunil Misra, Director General, IEEMA said, “Domestic manufacturers have invested heavily in technology transfer from their principals or have developed technology indigenous for creating and expanding manufacturing capacities, manpower and skill development to meet the growing demand.”
By Atanu Kumar Das
