The power ministry is set to establish three manufacturing hubs all over the country to produce critical energy and transmission equipment, which is currently fully imported from other countries including China, under the Atmanirbhar Bharat plan announced by Prime Minister Narendra Modi.
According to authoritative government officials, the Indian power sector in 2018-2019 imported Rs 71,000 crore of equipment, of which Rs 21,235 crore came from China, according to the Directorate General of Commercial Intelligence (DGCI). While the government has managed to push down imports from China, the numbers are still humongous considering that a several of these equipment were being manufactured in India.
Yearly Chinese imports in the power sector have been worth Rs 17,289 crore (2009-2010); Rs 22,114 crore (2010-2011); Rs 34,000 crore (2011-2012); Rs 29,062 crore (2012-2013); Rs 22,679 crore (2013-2014); Rs 19,658 crore (2014-2015); Rs 19,301 crore (2015-2016); Rs 19,757 crore (2016-2017), and Rs 19,682 crore (2017-2018).
In order to be self-reliant and cut down imports, particularly from China, the ministry has prepared two lists.
The first or the mandatory list has 239 items in which India has zero capacity to manufacture and, hence, must rely on imports till such time the manufacturing hubs come up.
The second or the embargo list contains 95 items which are being imported by the power sector despite being manufactured in India. It has been decided that no power sector company, PSU or private, will be allowed to import items on the embargo list. Both these lists will be annexures with the Atmanirbhar Bharat policy.
While the Centre will ask states to bid for manufacturing hubs for the mandatory items, it plans to give budgetary grants for creation of common infrastructure in these hubs including 24×7 water, power, roads and common testing facilities. A special purpose vehicle will be created for these hubs, which are expected to be set up in the next three to four years.
The power ministry has already informed major PSUs such as NTPC, NHPC, PGCI and power sector associations about their plans to limit imports to the minimum and enhance domestic capacities.
The ministry has also decided to not only prepare its own designated laboratories for testing of imported power equipment but also coin own references and protocols for other countries. This is being done to ensure that imported equipment does not contain malware that gets activated by the country where the equipment was manufactured in times of a national security crisis.
Cyber attacks through activating embedded malware by country from where the power equipment was imported can lead to crippling of Indian power grid in adverse times, experts say.
