Suzlon joint venture starts generator production in India

Indian wind turbine supplier Suzlon Energy reports that its joint venture, Suzlon Generators, founded in April 2004 with Austrian company Elin EBG Motoren for the manufacture of slip ring generators, is starting production at Pune in Maharashtra, India. Elin, with 25.1% in the joint venture, is responsible for the initial start-up and commissioning of the manufacturing plant and providing the necessary technology and know-how, while Suzlon provides management support and procurement services. Elin EBG Motoren is part of VA Tech, which was taken over by the Siemens Group earlier this year. "Upon commencement of production we plan to purchase the generators at a fixed mark-up to the cost of production," says Suzlon. Another joint venture named Suzlon Structures began manufacture of towers in March. The Suzlon subsidiary was founded together with India's Kalthia Group, a large 45-year-old company of diversified interests, which has 25% stake in Suzlon Structures. Both joint-venture companies are part of Suzlon's drive to increase "backward integration" in manufacture of wind turbines. Suzlon also reports that Winergy, part of the German Flender group that was acquired by Siemens in the spring, is now supplying Suzlon with gearboxes from Winergy's newly constructed Indian production facility.