BHEL seeks cooperation from vendors to overcome stress

Kolkata: Bharat heavy Electricals Ltd (BHEL) has sought cooperation from its leading vendors to overcome the stress in power sector that resulted into locking of funds for the company. "A large number of projects in power sector have become non-performing assets, resulting in locking up of funds. Mutual cooperation with business partners is the only way out to overcome these hurdles," BHEL PSER executive director, Amitabh Mathur told a vendors meet held recently in the city.

Sources said power sector eastern region (PSER) of BHEL has a gross debt of around Rs 2500 crore. Mathur said power sector was facing tremendous difficulties due to pressure on basic infrastructure requirements like coal, land and water and on top of that the economic crisis.

Mathur told the business partners that there was need to brace up with shrinking margins without compromising on quality to remain in business. Meanwhile, BHEL-PSER was continuing with an impressive outstanding order book position which includes new EPC project of 3x660 MW in North Karanpura, Jharkhand, and 2x660 MW BTG job in Odisha.