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Siemens to expand steam turbine production in India for EUR40 million

Siemens is to continue the expansion of local value creation in growth markets

The company is to expand its steam turbine production in the state of Gujarat for approximately EUR40 million. A new production facility with a surface area of 14,000 square meters is planned. Production capacity for high-efficiency industrial steam turbines will thus triple by 2010. In addition to the Indian market, the turbines will also be exported throughout Asia and Africa, where they will contribute to providing extensive power supply.

“For emerging countries like India efficient, eco-friendly power generation is enormously important,” said Armin Bruck, Managing Director of Siemens India. “By tripling our local production capacity we will strengthen our global manufacturing network and be well prepared to utilize the good growth prospects in India.” Industrial turbines with ratings up to 45 megawatts have to date been produced in Vadodara. The location is part of Siemens manufacturing network for industrial turbines, which is managed from Görlitz.

Only recently the company inaugurated a new production facility in Görlitz to be able to better meet the demand for medium-size steam turbines. The additional production capacity in Vadodara will provide the basis for even better serving the markets in Asia and Africa. There are currently still high energy deficits in many emerging countries during peak load periods. However, adequate energy supply is a fundamental prerequisite for moving economic and social development forward in these countries.

High-efficiency industrial steam turbines are an important feature of Siemens environmental portfolio, with which the company posted revenue totaling almost EUR19 billion in fiscal 2008. That is equivalent to around a quarter of the company’s total revenue and makes Siemens the world’s leading green infrastructure provider. Industrial steam turbines are deployed above all in cogeneration plants, combined heat and power plants, and small combined cycle plants, which are among the most efficient forms of power and heat generation. Small and medium-size steam turbines are also deployed, for example, in sugar and pulp mills or in the chemical industry to make even better use of process steam.

The Siemens Energy Sector is the world’s leading supplier of a complete spectrum of products, services and solutions for the generation, transmission and distribution of power and for the extraction, conversion and transport of oil and gas. In fiscal 2008 (ended September 30), the Energy Sector had revenues of approximately EUR22.6 billion and received new orders totaling approximately EUR33.4 billion and posted a profit of EUR1.4 billion. On September 30, 2008, the Energy Sector had a work force of approximately 83,500.

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