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Demand for power will boost demand for DG sets



Madhu Chittora speaks to Sanjay Jain, Marketing Manager, Greaves Cotton Ltd 

What is the manufacturing capacity of your company (with respect to generators)? Under which brand name are they sold? And what capacity generators do you manufacture?
Our company manufactures around 2,500 DGSETS (diesel engine generators) per annum. We are mainly (80 per cent) into genset applications. We manufacture generator sets of 7.5 KVA to 500 KVA capacity and diesel engines of 12 hp to 1000 hp. We have 20-25 per cent of market share in generators. Our products are sold under the 'Greaves' brand name. Another product, DG set, with acoustic encloser (sound proof container) is sold under the brand name WHIS POWER. 
Do you face competition from imported generators, especially Chinese?
We don't have any threat from Chinese products. In fact, we are exporting to China. The Chinese are doing well in less capacity generators i.e. less than 7.5 KVA, which we don't manufacture. We are more concerned with the domestic market and we do educate people regarding the benefits of using our gensets. 
What are your future plans for this division? 
In the next six months, we will come out with 625 KVA to 750 KVA capacity generators; in a year's time we will come out with 1000 KVA generators. We import diesel engines for 625 KVA to 750 KVA capacity generators from our German partner, MWM gmbh. We want to increase our market share at least by 10 per cent in the next year and we are also finding new applications for our diesel engines.
What are your strengths as compared to your competitors?
Our products are equipped with special features such as autostart, computer controlled PLC (Program Logic Control) and remote control based. We do offer syncronisation of two or three gensets. We regularly conduct contractors, consultants and customers meet and a lot of promotional activities. We offer complete gensets from Indian manufacturers so we offer single window warranty services as compared to our counterparts, and we also offer our generators through assemblers. Our spare parts products cost is low and our products have better field consumption. We also have an all India network of service and spare parts dealers. We have regional offices in four metropolitan cities and they are taking care of their respective regions and under these regions we have branch offices that offer prompt after-sales service. We are trying to make our presence felt in all the potential areas by increasing locations (company employed sales and service engineers who supports our dealers). 
Government has come out with new regulations. 
Our products are equipped with acoustic encloser and ours is the first company to get all our products (generators) approved from ARAI (Automotive Research Association of India) in June 2004. Previously, the law was supposed to come into effect on July 1 but since other players were not ready it will be implemented from November 1, 2004, onwards. Under the law it will be mandatory for all the players to have environment-friendly DG sets. The law says generator sets up to 176 KVA should be equipped with acoustic encloser and exhaust emission or they should be free from noise pollution as well as emissions from November 1, 2004; generators above 176 KVA capacity should be equipped with the above norms from July 1, 2005. 
What are the future prospects for the industry?
Previously, only industries found the need for DG sets. Now many commercial establishments such as call centres and hotels are looking for stand-by power. Moreover, there is a huge gap between demand and supply of power. In India, demand of power is increasing and it will result in increase in demand for the DG sets.


(Sept 16-30, 2004)



 

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