Amara Raja Power Systems, a unit of Amara Raja Group, on Friday said it has tied up with Schneider Electric India to manufacture and sell prefabricated substations. Under the partnership, Amara Raja Power Systems will be manufacturing the range for the end consumer while Schneider India would pitch in with back-end technology support.
"The package substation solution not only helps one to save on cost of land but also removes the need for coordination with different suppliers," Amara Raja Power Systems MD and CEO Vikramadithya Gourineni told reporters here.
The solution also helps in minimising cost pertaining to separate civil structures, reduces cost of cable laying between each equipment and other transportation, he added.
The company will start sales of packaged substations in five southern states and two Union Territories in the first stage before scaling up in other regions , Gourineni said.
"In coastal districts where cyclones impact power supplies, these substations along with underground cables could help in speedy restoration of power," he added.
The company plans to sell around 300-400 units to start with catering to residential buildings, hospitals, hotels etc.
Commenting on the tie up, Schneider Electric India Managing Director Anil Chaudhry said the partnership allows the company to establish its footprint in the the Southern states.
Schneider has an installed base of more than 1 lakh package substations all over the globe.
Amara Raja and Schneider Electric also inked a memorandum of understanding (MoU) to study feasibility of a collaboration in the field of micro grid and energy storage.