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Toshiba Enhances Hydro Power Equipment Production Capability in China

Toshiba Hydro Power (Hangzhou) Co., Ltd. completes expansion of assembly and machining shop and construction of an advanced hydraulic research laboratory
12 Oct, 2010
Image of assembly and machining shop after expansion, Toshiba Hydro Power (Hangzhou) Co., Ltd. 

Tokyo—Toshiba Corporation (TOKYO: 6502), one of the leading global suppliers of hydro power generating equipment, today announced that its Chinese consolidated subsidiary, Toshiba Hydro Power (Hangzhou) Co., Ltd. (THPC), a joint venture with Sinohydro Corporation of China, has completed an expansion of its assembly and machining shop and the construction of an advanced hydraulic research laboratory equipped with a cutting-edge hydro turbine model test facility.

The plant expansion allows the company to manufacture 600MW class hydro power generation equipment, the world's largest class of equipment, and to double its manufactured output. The expansion positions THPC to meet growing demand for hydro power in China and the world market, most notably India and Southeast Asia.

Alongside the expansion, THPC has also constructed China's first[1] hydro power R&D facility built by a joint venture, and is now positioned to supply high-quality products by drawing on Toshiba's rich expertise in R&D, design and high-quality manufacturing skills.

THPC celebrated its fifth anniversary of operation and the new additions to its facilities with a completion ceremony at its facility today, attended by representatives from the JV partners. Since it was established in January 2005, THPC has supported a successful business expansion by supplying approximately 100 hydro turbines and generators, mainly to Chinese projects. Most notably, in May this year THPC won a major contract to supply a 4x320MW pumped storage hydro power plant system at the Qingyuan Pumped Storage Power Station in Guangdong Province.

THPC's manufacturing operation includes casting, welding, assembly and machining and a coil shop. Since fiscal 2006, the company has invested a total of 170-million RMB (approximately US$25 million) in building up its production capability and facilities. Recent investments include the November 2008 expansion of the coil shop and installation of advanced equipment for production of world-class electrical components for hydro turbine generators parts, including coils and poles.

Toshiba Group will continue to seek to secure more contracts in China, and to expand its hydro power business in other key markets, including North America and South America, India and Southeast Asia, where demand for hydro power systems is strong.

Strong Growth for Hydro Power Generation Equipment in the Chinese Market

Hydro power generation is the world's most widely used renewable energy source. In respect of energy strategy and achieving an optimized energy generation mix, stable output and balanced operating costs, Toshiba recognizes hydro power generation as equal in importance to nuclear and thermal power, including geothermal energy. China leads the world in the scale of hydro power plant construction, and half of all new projects now underway are in the Chinese market[2]. Growth is expected to continue, driven by China's continued economic expansion and increasing need for environmentally friendly renewable energy. The installed capacity of hydro power generating equipment is expected to reach 300GW in 2020, approximately double the current level[3]. There are now many plans to build large scale hydro power plants around the world and, where possible, customers are mobbing toward employing large scale machine in the 600MW class in these projects.

Outline of THPC's New Assembly and Machining Shop

- Structure: Steel frame concrete, one story
- Building Area: Approximately 14,000 m2(Before expansion: Approximately 9,000m2)
- Products: Assembly and machining of hydro power generation equipment

Outline of THPC

- Established: January 2005
- Capitalization: US$25 million
- Holding: Toshiba Group: 80%, Sinohydro Corporation: 20%
- Location: 1, Gongren Rd., Fuchunjiang, Tonglu, Zhejiang 311504, China
- Chairman and President: Tatsuya Hirota
- Site Area: Approximately 180,000 m2
- Building Area: Approximately 75,700 m2(Before expansion: Approximately 66,000 m2)
- Employees: Approximately 1,000 (as of the end of September, 2010)
- Business: Manufacture, marketing and maintenance services for hydro power generating equipment

As of October 12, 2010.
Source: Toshiba

Information in the news releases, including product prices and specifications, content of services and contact information, is current on the date of the press announcement, but is subject to change without prior notice.

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