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We strive to be a loyal supplier not a competitor to our customers

EM NEWS BUREAU ,  Monday, January 23, 2012, 15:02 Hrs  [IST]

Prashant Shah— Prashant Shah, Director, Vardhman Stampings Pvt Ltd

Vardhman Stampings Pvt Ltd is amongst India's fastest growing transformer lamination services provider company. VSPL is regarded as India's pioneering company to use CNC machines for transformer lamination, apart from introducing India to modern step-lap technology. Prashant Shah in an interaction with Electrical Monitor tells us on his company's philosophy of being technology-centric and highly quality conscious. Shah feels that use of quality material and manufacturing processes can bring about much needed efficiency in the country's power sector.

Vardhman Stampings, as we understand, is India's pioneer transformer lamination company to use CNC machines. Tell us about your company's philosophy of being an early adopter of new technologies.
We always believe in latest and advanced technology. VSPL, a successful part of its wide established group of companies involved in various business activities since 1972, was established in 1989 with the back up of promoter's reach experience in manufacturing business almost for 17 years.

During the X Plan period (2002-07) India planned to add 41,110 mw of new power generation capacity, which was almost double in comparison to the IX Plan. During the IX Plan most transformer lamination manufacturers in India were processing CRGO by manual shear machines, which was cruel method of processing as CRGO is very sensitive material and must be handled and processed gently. Even during those days in first world countries it was processed by CNC lines.

The advantages of processing CRGO by CNC lines are: low development of stresses; minimizing burr level; precision work; step lap core cutting; low noise level of transformer; and low cost of labour resulting in reduction in NLL (no-load losses) and load current up to 15 per cent.

Looking at the above technical advantages and demand of Indian power sector, VSPL decided to buy CNC line and installed the same around 2003-04. After getting positive response from industry, VSPL has started to install number of CNC lines and as on date we have eight cut-to-length lines, three CNC slitting lines with two lines still in pipeline. With these facilities, we have the highest installed capacity in India to process CRGO on CNC lines.

Today we have proud to say we were the first amongst lamination industry who has spread awareness in market for step-lap core and currently almost 75 per cent of our total production comes in step-lap design. By this our customer always remains competitive and with latest technology. All this could be possible only due to the technological vision of our Joint Managing Director, Mr. Deepak Shah.

Testing and quality control has also been VSPL's forte. Tell us about your testing facilities and how you strive to ensure strict compliance to quality control norms.
Quality of our products and production process is our primary concern, which has been the driving force behind our rapid growth. We conduct numerous quality checking procedures and audits right from material acquisition to packing. We are on the path of TQM almost since 10 years, where we plan the quality improvement by regular analysis.

Training of our production and quality personnel by renowned external agencies on regular intervals facilitates development of skills and knowledge to meet the ever-growing demand of our customers. Not only quality but we also emphasize on safety also and therefore we had adopted OHSAS 18001: 2007. Today VSPL is one and only company among all lamination processor who is accredited with this certification.

It is our endeavor to create a culture of Total Quality where continuous improvement of our people, our processes and our products become a way of life. We had done heavy investment in setting up in house laboratory equipped with latest equipment from Germany to assure consistent quality. Today we are proud to say that we are enjoying fair share in the customer list of the reputed transformer manufacturers in India and overseas.

We gather that VSPL was to install three new CNC lines last year. What is the current status?
Yes. Two CNC cut-to-length line and one CNC slitting line were installed as per target and they are now running at full capacity.

Vardhman StampingsPlease explain in some detail the role of an efficient lamination in a transformer.
Processing of CRGO lamination at an instant looks very casual and uncomplicated but it involves a high degree precision engineering. At VSPL, we are fully equipped with latest state-of-the-art CNC machineries to cut transformer lamination from 5kVA to 765kV class with auto stacking facility. CRGO is a sensitive material and requires gentle or minimum handling during processing.

Hi-b grades are also beneficial but only when transformers are designed at higher flux density. Moreover, step-lap design in which we are the Indian pioneers also helps to reduce core loss and current up to 15 per cent.

We understand that India is a dumping ground for substandard CRGO steel. How does this affect the quality of transformers produced in the country?
Today utility are demanding star-rated transformers to reduce loses which requires Hi-b grades of CRGO. Source for prime grade CRGO is either directly from mill or through authorized channels. As on date there is huge dumping of secondary grade/used material through traders, which gives adverse impact on national quality standard. Nowadays government has already taken action to stop importing such kind of secondary grade material by imposing BIS standard. So we hope after implementation of BIS standard there will be a full stop on import of secondary grade CRGO in India.

What do you feel about India's dependence on imported CRGO?
We do feel that foreign currency should be saved and that India should be liberated from the dependency of overseas suppliers. Indian government should force steel giants of the country to produce complete range of CRGO to satisfy domestic demand.

In China, Europe and USA the demand of CRGO gets satisfied with local manufacturers to the extent of 70 per cent. India is the second fastest growing economy in the world and as a major growing economy we should reduce dependency on import and also exercise control over import of secondary grade material.

Being in the business of transformer lamination for over 20 years now, do you see the group manufacturing transformers or offering any other transformer-related services?
At VSPL we believe our bottom line is customer satisfaction and the faith the repose on us. We believe that our customer is a stakeholder of our company. We strive to be their loyal supplier not competitor.

We are dedicated to the transformer industry for last twenty years. The transformer lamination industry is very wide and there is still a big pool of requirement. Naturally, wide gap between supply and demand in organized industry still exists. We are continuously making our efforts to fill the gap by adding our capacity every year. To deliver value-added services, we also manufacture radiators, assembled cores and wound core for power & distribution transformers.

How is VSPL gearing up to meet the demand from India's power transmission infrastructure that is moving to the EHV and even UHVAC class?
Keeping this in view, we have enhanced our capacity and adopted latest technology to meet the future demand. We have added new CNC machines of 1,000mm width with auto-stacking facility and upgraded our existing CNC machines to meet the ever-growing demand of quality conscious customers. We are fulfilling regular requirement of Areva, BHEL, Bharat Bijlee, CGL, GE Prolec, Siemens and many more. Our facilities are also approved by NTPC and PGCIL.

Vardhman StampingsComing back to BEE's mandatory star labeling for distribution transformers, do you think this move will promote the use of prime (H1-b) material and edge out marginal players that use inferior material?
Yes, the demand for used or secondary grade material among transformer manufacturers has decreased, resulting in a corresponding increase in demand for prime as well as HI-b grade CRGO. To get maximum advantage of Hi-b grade material, transformers should be designed at higher flux density and lamination should be processed on CNC machines to retain the magnetic property of CRGO.

We urge utilities to take initiative on revision of IS standards that were made almost 2-3 decades ago. Today all CRGO manufacturers have improved their product standards. We all are aware that Government may miss the target of adding 62,347 mw, which is revised from 78,577 mw in the XI Plan due to paucity of power generation equipment and coal supplies. Coal deficit has widened from 4 million tonnes in 2004-05 to 40 million tonnes in 2010-11. We therefore believe that the government should make it mandatory for all utilities to use energy efficient transformers to bring down load and no-load losses. Today most of transformer manufacturers are geared up to produced energy efficient transformers.

Do you think of any further measure than 'Star rating' will help in building energy efficient transformer?
Yes, currently the market is flooded with various lamination suppliers who provide cheap material at the stake of quality. There is no standard of quality, material traceability, material storage, and cutting pattern. There is always chance of receiving sub-standard material than committed. World renowned companies like PGCIL and NTPC have very strict norms for CRGO lamination processing. The CRGO lamination companies who are approved from PGCIL and NTPC confirm the usage of prime material and high standard of material processing right from raw-material storage to CNC cutting and quality material delivery.

As discussed earlier, government boards and utilities should enforce transformer suppliers to purchase CRGO lamination from these approved companies to ensure energy efficient and quality transformers, which will be in true national interest.
 
                 
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