Areva T&D

Source: Exec Digital Canada

Date :22/11/2007 06:54:20

Consolidation and Restructuring?

Areva T&D Canada is about to embark on a development program and ambitious restructuring strategy. Alain Berthier tells ExecUS how Areva T&D is positioning itself strategically in the Canadian market

Written by Ian Armitage and Produce by Pat Harlow

Areva T&D, one of the top three global players in the transmission and distribution of energy, knows exactly how to keep the juices flowing. The manufacturer provides industrial equipment and services for companies engaged in electric power production and distribution.

Products include circuit breakers, transformers, rectifiers and switchgear. The company also offers a wide range of services, including asset and operation management, consulting, maintenance, repair, customer support, retrofits and refurbishments, training, and turnkey construction.

With manufacturing facilities in 41 countries and a sales network in more than 100 countries, Areva offers customers reliable technological solutions for power generation and electricity transmission and distribution. It is the world leader in nuclear power and the only company to cover all industrial activities in this field. Globally, its 61,000 employees are committed to continuous improvement on a daily basis, making sustainable development the focal point of the group’s industrial strategy.

Areva's T&D division is an active player around the globe. It designs, manufactures and supplies a complete range of equipment, systems and services for all stages in the transfer of electricity, from the generator to the large end-user.

Connecting Canada

Areva is heavily involved in Canada, which is seen as a strategically important market for the group. Areva T&D Canada’s Alain Berthier tells Exec US more about the company’s activities, and why, strategically, the Canadian market is so important: “Areva T&D Canada sells products such as connectors, switches and substations and counts Hydro Québec as a big customer, but also sells to utilities in Ontario, Alberta and British Columbia.” Formerly Alstom Canada Inc. / GEC Alstom Canada/ Cegelec Industries, it was established in 1964 and manufactures a complete range of HV electrical equipment for transmission and distribution networks.

The company's product line includes SF6 circuit breakers, as well as different types of disconnect switches, solid and hollow type insulators, gas insulated switchgear, instrument transformers and power transformers. Recent developments include the low temperature SF6 circuit breaker, capable of interruptions of 50kA at -50 degrees Cent. or 63kA at -40 degrees Cent., as well as disconnect switches with breaking capacity for series compensation applications in high voltage transmission lines, and ground interrupter switches.

“We have the full scope of products from high voltage, medium voltage, automation, service and turnkey. We can really respond to any customer requirements,” says Alain.

Greatest challenge

In Canada, Areva is engaged in the 21st century's greatest challenge - making energy available to all, protecting the environment, and acting responsibly for the benefit of current and future generations. It is taking a lead role in developing and providing highly reliable solutions.

Canadian operations are broken down into four divisions including the front end division, the reactors and services division, the back end division and the transmission and distribution division. Alain is part of the transmission and distribution division, which supplies products, systems, service automation and information systems for the medium- and high-voltage electricity markets. “Our products are used to transmit and distribute electricity,” he explains.

Headquartered in Le Prairie, Areva T&D Canada is currently bringing all its operations onto this one site. This move is seen as part of the company’s attempt to offer a better service to customers in an increasingly important market place.

The consolidation will see all Areva T&D Canada’s industrial activities located in Le Prairie, southwest of Montreal. The Le Prairie site will be expanded to accommodate increased activity. “This will enable us to better meet the needs of our customers, while improving our responsiveness and response time to their demands. We will also further develop and deliver faster integrated solutions or turnkey with a mix of products from several business units,” explains Alain.

Once all the operations have been brought onto the one location, the Le Prairie plant will comprise more than 300 employees. To support this growth the company has undertaken an extensive recruitment program to bring more specialists into the organization.

The company has a complete range of products to meet any customer requirement, and this is supported by high levels of service. “Our local representatives build close relationships with clients and can respond quickly to their needs. We have local people who understand local issues, and that approach has proved successful for our company,” continues Alain.

Times are changing

The industry is evolving; customers realize that the purchase price is just one factor to consider when buying equipment. Reliability is essential as the cost of failure or shutdown is huge. Customer support plays a vital role in this, because should the worst happen, the customer is safe in the knowledge the situation will be resolved as soon as possible.

There is also an increasing shortage of knowledge within the sector, forcing utilities to look more closely at the services offered by companies like Areva. Alain comments: “Much technical expertise is being lost as people retire. This is forcing many utilities, as well as other organizations, to outsource work that they would have once performed in-house. Consequently, we have seen a rise in the number of customers requesting full turnkey solutions. We launched the systems division to cater for this demand, so strategically, that division will be very important to us going forward.”

Despite this, there will always be utilities which retain their expertise, and will never go full turnkey. It is therefore important Areva T&D continues to offer a comprehensive range for services from the supply of a single piece of equipment to full turnkey solutions.

The company is on target, looking to the future with optimism.

The growth strategy is in place and Areva T&D is excited by the challenges which lay ahead. “The Canadian market is very important to Areva and we look to offer customers a more comprehensive service. We are been able to adapt to customer needs through product development and R&D and we have created the services group to bolster that. We offer customers high levels of support and have a novel approach of constant innovation,” he concludes.