NTPC Executive: Shortlisted Doosan, Bharat Heavy For Power Gear

South Korea's Doosan Heavy Industries and Construction Co. (034020.SE) and India's Bharat Heavy Electricals Ltd. (500103.BY) have been shortlisted for supply of an estimated INR90 billion worth equipment to NTPC Ltd. (532555.BY), a senior executive of the state-run power utility said Wednesday.

"The companies have been shortlisted to supply boilers to NTPC," said the executive, who didn't want to be named.

Doosan has been shortlisted for the supply of five boilers of 800 megawatt each and Bharat Heavy for four units of same capacity, the executive said.

Doosan and Bharat Heavy executives couldn't be immediately reached for comments.

NTPC, along with its joint ventures, has a generation capacity of 34.85 gigawatt, or 19% of India's total installed capacity. It is building projects of 14.09 GW and aims to have a total of about 70 GW capacity by March 2017.

Placing orders via bulk tenders will not only help NTPC expedite its expansion plan, but may also give an earnings boost to equipment makers such as state-run Bharat Heavy.

India plans to add 117 GW of power generation capacity over the next six years to fight peak hour shortages and provide electricity to millions of rural households.

Other bidders for the contracts were Alstom SA in a partnership with Bharat Forge Ltd., Larsen & Toubro Ltd. in a venture with Mitsubishi Heavy Industries Ltd., Hitachi Ltd. jointly with BGR Energy Systems Ltd., Thermax Ltd. in partnership with Babcock & Wilcox Co. and Toshiba JSW Turbine & Generator Pvt. Ltd.

Doosan and Bharat Heavy didn't form any joint ventures for the bid.

-By Saurabh Chaturvedi; Dow Jones Newswires; [phone]; [e-mail]