Central Electricity Authority wants indigenous development of critical goods

In a landmark step that aligns with the Government of India’s vision of Atmanirbhar Bharat, the Central Electricity Authority (CEA) under the Ministry of Power has issued a public notice dated 24 April 2025 seeking comments and suggestions from industry stakeholders for the indigenization of 29 critical items currently being imported in large quantities by the Indian power sector.

This initiative is aimed at reducing import dependency and strengthening the domestic supply chain for advanced components used in power transmission, generation, smart grid infrastructure, and electrical automation.

Objective of the CEA Notification

The CEA has identified 29 critical items that are not currently manufactured in India at scale or are being imported due to high technological complexity, lack of raw materials, or absence of precision manufacturing capabilities.

The aim is to:

Create a priority list of such imported items;
Seek stakeholder input on volume, cost, and criticality;
Understand the nature of support required for their domestic manufacture;
Facilitate policy or fiscal support measures, such as PLI schemes, technology collaborations, and testing infrastructure.

Snapshot of the 29 Critical Items Identified

The items include components and sub-systems used across power generation and transmission equipment:

Category	Examples of Critical Items
Switchgear	Gas Insulated Bus Ducts (GIBDs), SF6 Gas-filled RMUs
Insulation	XLPE / SEMICON insulation, High Voltage Bushings
Electronics	Super Capacitors, Semiconductors, PCBs
Sensors & Measurement	Optical Current Transformers (OCT), Voltage Transformers
Conductors & Materials	Oxygen-free Copper, Insulating Coatings, Magnetic Core Material
Automation & Protection	Relays, Control Units, SCADA Interface Modules

The major source countries for these items include China, South Korea, Germany, Switzerland, France, and Japan.

Key Aspects Open for Stakeholder Feedback

The CEA has sought inputs from:

Power utilities, including NTPC, PGCIL, SEBs;
Electrical manufacturers, including MSMEs and OEMs;
Industry associations like IEEMA, EPC contractors, and R&D bodies.

They have been asked to provide:

Import volume & value data over the last three financial years;
Cost significance of the imported item in the total equipment;
Feasibility of domestic manufacturing, including:
- Time to indigenize;
- Machinery & precision tool needs;
- Raw material challenges;
Specific support required, such as:
- Fiscal incentives (PLI, R&D subsidy);
- Testing facility creation;
- Tax/duty waivers;
- Skill development programs.

Submission Process

Deadline: 20 June 2025
Email: ce-rndcea@nic.in
Reference Document: CEA-PS-61-24/4/2025-ETI

Stakeholders are requested to use the Annexure template attached in the notice and provide clear, quantified responses to aid policy framing.

Relevance to India’s Power Sector

The Indian power sector is undergoing rapid modernization:

Increasing focus on high voltage GIS substations;
Expansion of green energy corridors;
Integration of smart metering and SCADA systems;
Rising demand for energy-efficient, IoT-enabled automation solutions.

However, 70–90% of key components for such systems are still being imported.

By identifying and indigenizing these critical components, the country can:

Enhance national energy security;
Reduce project costs and import bills;
Create domestic jobs in electrical engineering, electronics, and manufacturing;
Build global competitiveness in the electrical capital goods sector.

Expert View

This is a rare opportunity for Indian manufacturers, developers, and industry bodies to shape the roadmap for localizing future-ready electrical infrastructure. The initiative also reflects the CEA’s proactive stance in aligning standardization, innovation, and industrial policy to ensure that the next decade of power sector growth is driven from within the country.

Conclusion

The CEA’s consultation initiative is not just about reducing imports; it is about building resilience, capability, and confidence in India’s power equipment manufacturing ecosystem. It’s a call to engineers, entrepreneurs, researchers, and investors to join hands in shaping a more self-reliant energy future. All stakeholders are encouraged to respond proactively before 20 June 2025.

Listen to this on our #YouTube Channel

In case you face any issues related to Indirect Tax-Customs, GST, Foreign Trade Policy (FTP), Arbitration matters and Central Licensing and related advisory matters in India then please feel free to get in touch with SJ EXIM Services.

We offer Legal advice and litigation support in matters related to Indirect Tax-Customs, FTP, other Indirect Tax matters & Arbitration law, all sorts of Central licensing and related matters. Come and explore the new way of doing business with us!

Source: Central Electricity Authority, Ministry of Power

Disclaimer

Handy Download:

CEA Stakeholders Meeting OMDownload

Connect with us for more-

@ Team S J EXIM SERVICES, New Delhi, IN

CP: Ms. Shubhra Jha, Founder

Tel: +91-11-4999 2707 I +91-9999005693

Web: www.sjexim.services

EMAIL: operations@sjexim.services I shubhra@sjexim.services

Facebook: www.facebook.com/sjeximservices

LinkedIn: https://www.linkedin.com/company/90794255/admin/feed/posts/

YouTube: https://www.youtube.com/@sjeximIndia

Subscribe our WhatsApp Channel: https://whatsapp.com/channel/0029VaTxDT8JZg4CHEOSoK47

Subscribe our Telegram Channel: https://t.me/sjeximindia

S J EXIM Services