ABB to transfer technology to Indian arm to boost exports

Swiss-Swedish power equipment and robotics company ABB Ltd will transfer new smart-grid technologies to its Indian arm and ramp up local production to make the country an export hub for high-end power transmission systems and microgrids, according to ABB India Ltd chief executive officer and managing director Sanjeev Sharma.

The idea is to capitalize on the growing market in India for energy-efficient equipment in the entire electricity value chain and for microgrids capable of addressing power deficit in far-flung areas where supplying power from the grid is not feasible. The expanded local capacity will be used to supply to global markets. The power equipment industry is benefiting from the capital spending that utilities are making to add capacity and efficiency and manage the peak power demand with the use of data analytics.

In 2016, exports accounted for about 16 per cent of ABB India’s revenue of Rs 8,648 crore, showing a 23 per cent YoY growth. Further, the company registered 13.4 per cent YoY growth in the quarter ended December 31, 2016.
“Our average investment in the last five years has been over $100 million a year. That is the minimum we will make in the coming years, and it could only accelerate. We are a long-term player. We will continue to expand as the market expands,” said Sharma.