| Date: |
21-07-2015 |
| Subject: |
Industry urges banning of sub-standard CRGO steel for Transformers |
New Delhi, July 20 The Indian Transformer industry has approached the DGFT to stop import of sub-standard CRGO steel for transformers. Faulty and sub- standard transformers are the main cause for the high transmission and distribution (T&D) losses of electricity in India. According to industry sources, installation of quality transformers in the entire power distribution system may reduce the loss of electricity by at least 8 per cent or 20,000 MW, thus taking care power produced by 5 Ultra Mega Power Plants.
While Government has issued order for compulsory quality control of transformers through BIS marking, there will remain scope for sub-standard products sneaking into the system through unscrupulous suppliers and buyers. To stop this menace of sub - standard transformers threatening the reliability and efficiency of power distribution system of the country, besides causing huge financial losses, the Indian Transformer Manufacturers’ Association (ITMA) has approached the Government to ban import of sub-standard CRGO sheets, the root cause for faulty transformers.
At the insistence of the Industry, Government has also banned import of non-prime CRGO i.e. seconds/defective/left over’s /mill rejects /used (from dismantled Transformers) CRGO under code HS8504 (as Transformer part) and CRGO scrap under HS 7204. However, it has not stopped the import of scraps CRGO and these are being cleared by the customs at various ports (dry /wet) including SEZs. The material at SEZ is being disposed of in connivance of all concerned authorities as there is no check at all.
In a recent representation, ITMA has requested DGFT to look into the menace of import and clearance of CRGO sheet in the guise of scrap material in the country, in the National interest and has urged his office to issue necessary directions /orders to stop the import of sub-standard/scrap CRGO material; by putting this item of sub-standard/scrap CRGO under the restricted item of import.
Source : knnindia.co.in
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