In less than three years of its incorporation, C P Singh, Chairman and Managing Director of NTPC-BHEL joint venture, has quit amid differences with the promoters, leaving the company headless.
The joint venture — NBPPL (NTPC BHEL Power Projects Private Limited) — was formed in April, 2008 to jointly execute EPC (engineering, procurement and construction) contracts and manufacture and supply power equipment in India and abroad.
Considering the large capacity addition plan in the country during the 11th and 12th Five Year Plans, a need was felt to expand the domestic power equipment manufacturing capability in India and this joint venture firm was formed to cater this demand.
Sources in both camps blamed each other with the promoters (BHEL and NTPC) accusing the firm of non-performing, while CMD Singh alleging lack of support from the two PSUs.
When contacted, Singh confirmed the development and said “Yes, I have tendered my resignation unwillingly”.
He, however, declined to elaborate.
Sources said that Ministry of Heavy Industries and PSUs was also not happy with the performance of NBPPL. This, however, could not be confirmed.
NBPPL, however, claimed that it achieved outstanding performance against the MoU target with the government and said this was a great success story for a JV company conceived under a new concept on public-private partnership by the government.
According to data available, NBPPL achieved a record turnover of Rs 115 crore during 2010-11 as against the target of Rs 90 crore, thus exceeding the target by 28%.