TSOs and transformer manufacturers

[FPelec]

dear all,
the TSO I work for has recently acquired a large power transformers firm; To my knowledge, this is the first example of vertical integration between utilities and transformers manufacturers. Do you know any other similar case?

Si duri puer ingeni videtur,
preconem facias vel architectum.

 

[Desrod2]

I believe that one distribution transformer manufacturer in Mexico is partly owned by the utility.

 

[jkristinn]

FPelec: I assume you are referring to Terna and Tamini Group. If not, that is the obvious example.

 

[prc]

In India NTPC (National Thermal Power Corporation ) the major generation utility took control of TELK a couple of years back. TELK is a major transformer manufacturer, started in 1963, as a joint venture with Japanese transformer manufacturer. But this type of vertical integration goes against the cardinal management principle -stick to your core competence.

 

[FPelec]

Thanks everybody for the answers!
Yes jkristinn, I'm referring to Tamini Group.
Yes, the vertical integration between manufacturers and TSO/DSO could sound weird, especially in this period of liberalization and privatization. That's why I was curious to know if this already happened with other utilities. However it seems that this is not an unique case. TELK is a quite big firm; although NTPC is an almost completely state-owned company this case seems very similar to ours.
I'm curious to know which procurement strategy is now used by NTPC: do they purchase the transformers directly from TELK or do they still uses different manufacturers?

Si duri puer ingeni videtur,
preconem facias vel architectum.

 

[prc]

NTPC took over TELK in 2009. Since then,they hardly purchased anything from TELK. No special preference. Real liberalization!!