DCM Shriram Limited has approved an investment of ₹217 crore to expand renewable energy capacity at its Bharuch manufacturing facility in Gujarat. The move is part of the company’s long-term strategy to increase the use of clean energy in its industrial operations while reducing dependence on conventional power sources.
Investment to Strengthen Green Energy Use
The board of DCM Shriram has approved the renewable energy expansion through a combination of equity investment and capital expenditure. The company will invest ₹87 crore as equity in one or more Special Purpose Vehicles (SPVs), securing at least a 26 per cent stake in the renewable power projects.
In addition, around ₹130 crore will be allocated for infrastructure development and related facilities at the Bharuch plant. This investment will help integrate the renewable energy supply directly into the company’s manufacturing operations.
Additional Renewable Power Capacity
The project is expected to add about 48 MW of renewable energy capacity, which includes around 30 MW of round-the-clock power at an estimated 75 per cent capacity utilisation factor.
With this expansion, the total renewable energy capacity at the Bharuch facility will increase from 50.4 MW to nearly 98.4 MW once the project becomes operational.
Project Completion Timeline
DCM Shriram expects the renewable energy expansion project to be completed by June 2027. Once operational, the additional capacity will significantly strengthen the plant’s clean energy supply and reduce reliance on grid electricity generated from fossil fuels.
Supporting Sustainable Manufacturing
The investment reflects the company’s growing focus on sustainable manufacturing and energy efficiency. By increasing the share of renewable power in its operations, DCM Shriram aims to lower its carbon footprint while ensuring stable and cost-effective energy for its industrial processes.
Across India, many industrial companies are adopting renewable energy solutions such as solar, wind, and hybrid power projects to meet sustainability goals and manage rising energy costs. DCM Shriram’s latest investment highlights this broader trend within the manufacturing sector.
Outlook
As India continues to expand its renewable energy infrastructure, investments by private companies like DCM Shriram play a crucial role in accelerating the country’s transition to clean energy. The Bharuch renewable expansion project is expected to contribute to both industrial sustainability and India’s broader green energy targets.
