India has emerged as the "capital" of fire-related incidents in the world and witnessed the highest number of per-capita deaths due to it, with almost 80% of these cases being related to faulty wires, cables and switchgears, according to Shreegopal Kabra, managing director of RR Kabel Ltd.
More than 70% of the wires and cables that are sold in the market fail to comply with the Bureau of Indian Standards' regulation of zero-smoke and zero-erosion wires that should be used for buildings above 15 metres, Kabra told NDTV Profit in an interview. "The electrical market is 75% organised, and if 70% of the wires and cables sold don't comply with the BIS standards, that means even organised players are involved in the sale of these products."
Even major projects like the Noida international airport are not using zero-smoke fire resistant cables and wires, according to Kabra. "The government should come out with strict rules by empowering the BIS with financial muscle and allowing them to recruit more people for specific segments on the lines of UK-based certification body Basec."
Shreegopal Kabra, MD, RR Kabel & president, RR Global. (Photo source: company)
Shreegopal Kabra, MD, RR Kabel & president, RR Global. (Photo source: company)
Kabra underscored that the Ministry of Finance should grant around Rs 3,000–4,000 crore to the BIS, which should also charge companies more to undertake large-scale audits. He said SEBI should approach the ministry to make quality a part of corporate governance to ensure proper implementation.
All government and public projects like the Central Vista, airports, hospitals and hotels must mandatorily have zero-smoke and fire-resistant electrical products like wires, cables and switchgears, he said.
The Real Estate Regulatory Authority must ensure that quality of electrical equipment, elevators, firefighting arrangements, parking and plumbing in all buildings are not compromised. "The difference between a PVC-based electrical work in a three-bedroom-hall and kitchen and the zero-smoke-based high fire-resistant products is only Rs 16,000," he said. "People should focus on health and wealth instead of saving on poor quality products that can have far grievous consequences."
RR Kabel Capex
The company plans to spend Rs 500 crore in FY25 to expand the wires and cables segment of the business that constitutes 88% of the total revenues, Kabra said, adding that 30% of this revenue comes from exports.
The other section of the business that constitutes switches, switchgears, fans, lights, geysers, irons and heaters is currently struggling. The company plans to increase focus on premium products in the coming years to increase its performance, he said.
Watch The Interaction Here:
As a Subscriber you get
Stories
RECOMMENDED FOR YOU
Jammu And Kashmir Bank Launches Virtual ATM To Boost Digital Access In Rural Areas
Nov 23, 2024
RBI Amends Forex Regulations To Ease Startup Recognition And Align With DPIIT's Definition
Nov 21, 2024
Gargi Chaudhuri On Impact Of Trump's Victory And Investing In India
Nov 19, 2024
Shyam Metalics Q2 Results: Profit Drops 55% Despite 23.6% Growth In Revenue
Nov 07, 2024
POPULAR