Suzlon's Pondicherry Rotor Blade and Control Panel manufacturing facility
The Largest Wind Turbine OEM in India and the 5th largest in the World, Suzlon has revealed it's plan to shut down it's Rotor Blade and Control Panel manufacturing facility in Puducherry.
The Management took this decision mainly due to the issues faced in industrial
relations at the facility, increased logistic issues, as Multi MW Turbines are getting more popular and is creating issues in handling these components of
increasing size and the current financial position of the Company.
This, however, does not include the Nacelle unit at the same facility,
which could see utilisation as a service centre. This would also help
the Company in reduction of opex and working capital intensity as well
as rationalise capacity in the Company's supply chain.
Also Suzlon had reported it's third quarter results on 14th this month. The results were not surprising. Suzlon reported a consolidated net loss of Rs 1,154.5 crore in the third
quarter of FY13, an increase of 4-fold compared to a loss of Rs 286.5
crore in a year ago period due to lower total income.
But Mr. Tulsi Tanti, Chairman – Suzlon Group remains optimistic, he says “This has been a significant quarter for the Group; even as our operating performance was negatively impacted by liquidity constraints, we achieved the major positive step regarding the approval of our Corporate Debt Restructuring (CDR) package. This not only underscores the long-term viability of our business, but is a catalyst towards normalizing our operations."
“Looking back, 2012 was a challenging year for the wind energy sector at large; macro-economic conditions and policy challenges affected markets worldwide. While we anticipate that near-term challenges will continue to impact the industry over 2013, there are some green-shoots across global markets. For example, the continuation of the Production Tax Credit (PTC) program for wind energy in the US; the likely reinstatement of support mechanisms for renewables in India; a stable outlook for Europe; and, continued growth in the offshore segment. This, combined with our global presence and order book of US$ 7.7 bn, gives us confidence in the medium-term outlook for the Group, and for the sector overall.”
