Contrary to popular belief, India manufactures all except 4-5 critical items used for generating, transmitting and distributing electricity, a power ministry dossier shows. Power minister R K Singh is expected to use this to persuade states against importing Chinese equipment or components at the state power ministers’ conference on Friday.
This is part of the government’s strategy to deploy economic measures to hit back at China for the deadly border transgression by its army and the ongoing standoff in Ladakh. It will also create an opportunity for local manufacturing capacity to be fully utilised.
“For the last 6-7 years, Indian industry has been sitting on 30-40% of overcapacity. Export of Indian electrical equipment has grown not only to developing countries but also to the developed world,” said Sunil Misra, director-general of electrical equipment manufacturers association IEEMA. US, Germany and UAE are among the top developed economies buying India-made power gear.
Government officials reckon the Indian power sector imports equipment and components, including for renewable energy projects, worth over Rs 70,000 crore last year. There are 272 items that are manufactured in India but are still imported.