o&m presentation

© Wärtsilä

OPERATIONS & MAINTENANCE

2© Wärtsilä

TheTotal Service

Provider

4© Wärtsilä

Mission Statement

WOM MISSIONTo create added value for our Stakeholders by applying competent management, skilled resources and a structured, systematic and environmentally friendly approach to plant operations and at the same time enchance Wärtsilä to become a Total Solution Provider for the Customer.

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Business Development

2001E-business andOnline servicesOperations & MaintenanceCo-operation with associated service providersEPCFinancing

Worldwide Integrated Services

’90s’80s

Plants, systems, parts & maintenance contracts

Diesel engines & parts

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Plant Operations Overview

MOBILISATION

TRAININGSOFTWARE

INSURANCEAUDIT

OPERATION

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Internal Responsibilities

Sales Construction & Commission Operation

Power Sales

O & M Sales

Power Projects

O & M Mobilisation

Sales Support Construction Commission Warranty

Commissioning AssistanceSales Support

Customer

O & M Operation

Service Support

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The Phases - Mobilisation

Assist with Permitsand Licensing

Design and ImplementManagement Information Systems

Hire & TrainPersonnel

Establish Plant andSupportOrganisations

Manage Procurementof Spare Parts/Supplies

Customise OperationalPolicies and Procedures

Performance Testing

Punchlist and Warranty Administration

Establish Maintenance Requirements

Provide Technical & Design Feedback to Product Company

9© Wärtsilä

The Phases - Plant Operations

Covers all Aspects of Plant Operations andMaintenance for Owners of Power Plants,Including:

Complete Plant Management

Manage Energy Production

Management of other Project Agreements

Planning and Reporting

Complete Human Resource Administration

Preventive, Predictive and Corrective Maintenance Planning

Plant Performance and Efficiency Monitoring

Safety, Regulatory and Permit Compliance

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The Phases - Plant Operations

Covers all Aspects of Plant Operations andMaintenance for Owners of Power Plants,Including:

Logistics and Inventory Management

Customs Brokerage

Operational Audit Assessments(administrative, financial, technical, management)

Insurance Management

Capital Improvement Reviews

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Definition of Plant Operations

Planning

Manage Engine & Auxiliary Maintenance

Reporting

Inventory Management

Human Resources Management

Financial Management

Productivity Improvement

Dispatch Management

PlantEnergyProductionManagement

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The Tools

Standard Policies and ProceduresCustomised for Site Specific ConditionsManuals Include Policies and Procedures Related to the Following Issues:

AdministrativeFinancialHuman ResourcesTechnicalOccupationalHealth & SafetyEnvironmentalManagement System

Integrated ProductPlant OperationalReporting ProgramFinancial ProgramHuman Resources SoftwareMaintenance Management Software

Local and Remote Monitoring

Continuous TrainingTechnical and Procedural TrainingSafety and Environmental TrainingTechnical Qualifications Programme

Operations Package Plant Management Software Training

Pool of PersonnelPlant Managers with International ExperienceTechnical / Financial / Logistics Managers

Maintenance CrewsAll together over 1 000 dedicated and trained persons

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The Tools - Operations Package

Human ResourcesJob DescriptionPosition QualificationStandardsEntrance Level TestingSalary StructureTrainingPerformance EvalutionEmployee HandbookComprehensive HR Software

OperationsSystem DescriptionsSafety Prevention ManualAudit FunctionData CollectionEnvironmental Management System

AdministrativePower Plant PoliciesPower Plant ProceduresMonthly Reporting Package

Start UpStandard AgreementsStaff SupportMobilisation PlanPurchasing PackageBudget & Operating PlanOperating Cost Estimates

MaintenanceCommon Software- Inventory Contol- Preventive ProceduresTechnical Procedures

AccountingStandard Chart of AccountsCommon SoftwareStandard Financial ReportingEstablish Operating CompaniesAudit FunctionInternal Controls

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Our Added Value

Credibility: OEM Operator; Global experience; Proven Track Record. Recognised by major financial institutes.

Cost Benefit: We have the economy of scale which can be passed on to you(2 278 MW contracted worldwide).

Asset Management: Maximise the lifetime of your Power Plant.

Flexibility: From a ManagementContract up to a full O&M Contract.

Customers can concentrateon their core business

Risk mitigation: Availability; Reliability;Heat Rate; Output; Mean Time Between Overhauls; Life-Cycle Cost Guarantee

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Our Added Value

Latest Wärtsilä logistics support system used (Eldoc, MAMA, Spares on line etc.)Regional Support: Sales support in all regions and implementation in major areasOptimised delivery and commissioning processDirect line to Wärtsilä’s technical expertiseInsurance: We can assist in a competitive package for the Owner’s and Operator’s insurance

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Quality Assurance & Environmental Friendliness

Standardised Operating routines enabling certification according to applicable laws and regulations. (Integrated Quality Assurance Systems, Environmental Management System and Occupational Health & Safety)

ISO 14000 Ongoing (1) ISO 14000 Certified (2)

ISO 9000 Certified (3)ISO 9000 Ongoing (3)

Antigua

Guyana

Colombia

Ecuador

Brazil

Bangladesh

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Quality

“CERTIFICATE NO. 1110-2001-AQ-HEL-FINAS

This is to certify that

THE MANAGEMENT SYSTEM

of

WÄRTSILÄ OPERATIONS & MAINTENANCEin Vaasa, Finland

has been found to conform to the Quality System StandardSFS-EN-ISO 9001 ED. 2000

This certificate is valid for the following product or service ranges:

GLOBAL MANAGEMENT SERVICES OF OPERATIONAND MAINTENANCE BUSINESS.”

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Operations & Maintenance References

Wärtsilä currently operatesover 133 plants, with a totaloutput of some 2 278 MWReferences in 28 different countriesPlants operating on all variety of fuels- HFO- Furnace Oil- Crude Oil- LFO- NGOver 1 000 plant employees

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Facts & Figures

Total MW: 2 278

25%

22%

17%

14%

12%

8% 2%

IndiaSouth AmericaEuropeNorth AmericaAsiaAfricaMiddle East

Mobilisation + Marine & Offshore MW included in the areas.

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Facts & Figures

Plants totally: 133


44%

32%

9%

8%3% 2%2%

IndiaEuropeSouth AmericaAsiaNorth AmericaAfricaMiddle East

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Total 2 278 MW under contract

North AmericaNorth America312 MW312 MW

EuropeEurope397 MW397 MW

Middle EastMiddle East39 MW39 MW

IndiaIndia551 MW551 MW

AfricaAfrica191 MW191 MW

South AmericaSouth America507 MW507 MW

AsiaAsia281 MW281 MW


19/04/2004 Page 1 of 5

Reference List - Sold O&M AgreementsIn Operation 2003

Plant Name LocationCapacity

MWOperation Start Date

Hind Lever Chemicals Ltd West Bengal 11.4 24-JanSterling Gelatine Gujarat 5.6 14-Feb Nos. of PlantsHindustan Zinc Ltd. Rajasthan 29.6 5-Apr 48ITPL Bangalore 3.4 24-MarKirloskar Toyota Karnataka 7.7 14-AprSouth Asian Petrochem West Bengal 12.8 19-AprIndo Rama Synthetics Maharashtra 52.6 1-Jun MWGloster Jute West Bengal 3.0 21-Jun 555.5 Asarwa Mills Gujarat 4.1 1-JulBhilwara Group (7 Sites) Rajasthan / MP 37.0 1-JulEnnore Foundries Tamilnadu 4.0 15-JulHZL - Zavar Mines Rajasthan 6.0 13-AugTechnocraft Industries Maharashtra 4.2 19-Dec

Total 181.4 In Operation 2004



Ester Industries Uttaranchal 4.1 21-JanSterlite Tuticorin Tamilnadu 23.0 21-JanOPG Energy Tamilnadu 18.0 15-MarKaraikal Chlorates Tamilnadu 4.0 30-MarAmbuja Eatern - Rawan Chattisgarh 22.0 1-Apr

Total 71.1

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Reference List - Sold O&M AgreementsIn Operation 2002



Sterlite Tuticorin (4th Engine) Tamil Nadu 6.3 19-JanHukumchand Jute M.P. 12.3 9-AprTVS Motor Company, Mysore Karnataka 4.5 1-MayAnkur Udyog U.P. 4.2 1-MaySterlite Optics Maharashtra 11.9 6-MayPremier Mills, Baglur Tamilnadu 7.3 8-AugLoyal Textile Tamilnadu 4.1 20-OctTamilnadu petroproducts Tamilnadu 18.8 11-DecSree Karpagambal Mills Tamilnadu 2.8 11-Dec

Total 72.1

Contract Expired/Terminated In 2002



Bharat Commerce M.P. 4.1 20-Jul-99Vathsasa Power A.P. 17.2 -Ambuja Raipur C.G. 22.0 1-Jan-01

Total 43.32

Nos. of Plants MWTotal Plants in operation 33 347.9

In Pre-Operation for 2002



Hindustan Lever & Chemicals LtWest Bengal 11.4 Hindustan Zinc Ltd. Rajasthan 29.6 Gloster Jute West Bengal 3.1 Kirloskar Toyota Karnataka 6.0 Maral Overseas M.P. 2.2

Total 400.2

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Reference List - Sold O&M Agreements

In Operation 2001



SWIL Gujarat 15.80 15-MarACRL Rajasthan 6.30 27-AprWidia Karnataka 2.00 9-MaySRF Tamil Nadu 12.60 20-MayPremier Tamil Nadu 6.20 14-JunVennar A.P. 2.20 1-JulMaratha Cements Maharashtra 6.3 1-SepSterlite Tamil Nadu 18.8 7-SepHindustan National Glass Haryana 6.2 18-JulReliance Chemotex Rajasthan 3.0 5-Nov

Total 79.4

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In Operation 2000



Grasim Tamil Nadu 18.75 25-JanPraxair Tamil Nadu 5.55 29-JanBirla Textile Hima 4.00 13-FebMukand Maharashtra 22.10 16-MarSt. Gobain Tamil Nadu 7.33 4-MayAmbuja Cement - Raipur M.P. 22.00 1-JanTVS Suzuki Tamil Nadu 4.50 15-OctAmbuja Cement - Sankrail West Bangal 10.60 5-Dec

Total 94.8

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In Operation 1998



Gujarat Ambuja Gujarat 61.2 1-JanTotal 61.2

In Operation 1999



West Coast Karnataka 8.04 23-Mar-00Star Paper U.P. 8.20 5-JunNational Rayon Co. (NRC) Maharashtra 24.00 1-JulAarti Steel Punjab 6.06 14-JulThiagarajar Mills Tamil Nadu 3.09 14-JulBharat Commerce M.P. 4.12 20-JulCheslind Karnataka 4.00 8-SepITPL Karnataka 9.00 16-Nov

Total 66.5

1

2

312

4

5

6

89

10

1113

14

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17

19

20 21

22

23

24

25

26

27

28

29

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31

32

33

34

35

38

36

37

39

4041

1. Gujarat Ambuja2. West Coast3. NRC4. Star paper5. Aarti Steel6. Thiagarajar7. Bharat Commerce8. Cheslind9. ITPL10 Birla Textiles

11. PRAXAIR12. MUKAND13. St GOBAIN14. GRASIM15. Ambuja Raipur16. TVS Hosur17. Ambuja Sankrail18. SWIL19. Ambuja Rajasthan20 SRF

21. WIDIA22. Premier Fine Yarn23. Vennar Ceramics24 Sterlite Industries25 Maratha Cement26 HNG27 Reliance Chemotex28 Hukumchand29 Ankur Udyog30 TVS-Mysore

18

31 Sterlite Optical32 Premier Mills33 Hindustan Lever34 Hindustan Zinc-Debari35 Gloster Jute36 Toyota Kirloskar37 Maral Overseas38 Hindustan Zinc-Zawar39 Tamilnadu PetroProducts40 Karpagambal Mills

l Plants in Operation (51 Plant - 109 Engine - 555.5 MW)l Signed Orders ( 5 Plant - 11 Engine - 39.9 MW)l Sites Demobilised

PLANTS UNDER O&M WIN-S (O&M)

7

42

43

41 Loyal Textile42 Indo Rama Synthetics43 Sterling Gelatine44 UPSIDC45 South Asian Petrochem46 Sterlite Tuticorin W3247 Asarwa Mills48 Bhilwara (7 Sites)49 Ennore Foundries50 OPG51 Ester52 Technocraft53 Karkail Chlorate54 Century Enka55 Rajashree Polyfil56 Entury Enka Phase II57 Century Denim

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45

46

47

48

49

50

51

52

53

54

55

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57

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Shared responsibilities through agreements

Cus

tom

erex

pect

atio

ns

SUPPLY AGREEMENT

Support

Inspections

Maintenance support

Management support

MAINTENANCE AGREEMENT

OPERATION &MAINTENANCE

SUPPORT AGREEMENTS

VALUE ADDITION

Wärtsilä obligations

Tota

lser

vice

prov

ider

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