Steel maker Rudra Global Infra Products said the company will invest around Rs 190 crore to set up a 30 megawatt captive solar project in Gujarat.
The solar plant is scheduled to commence operations by January 2025
Steel maker Rudra Global Infra Products said the company will invest around Rs 190 crore to set up a 30 megawatt captive solar project in Gujarat.
The solar plant is scheduled to commence operations by January 2025, the company said in a statement.
"The first phase of the project entails a capital expenditure of Rs 190 crore, with 80 percent of the funding secured through financial institutions over a five-year tenure. The remaining 20 percent will be invested by the company," the statement said.
The clean power generated will be primarily utilised to meet the energy requirements of the company’s existing billet and TMT bar manufacturing operations. This initiative is expected to increase the capacity utilisation of the SMS (steel melting shop) division from the current 33 percent to 50 percent.
With the project, the company aims to produce 1 lakh tonne of billets and 2.1 lakh tonne of TMT bars annually.
"By harnessing solar energy, we aim to significantly reduce our operational costs, enhance our environmental footprint, and bolster our bottom line. We envision this project reaching a break-even point within two years of commercialisation, propelling us towards a turnover of over Rs 1000 crore in the next three years," Managing Director Sahil Gupta said.
Rudra Global Infra Products Ltd., earlier known as MDICL, manufactures thermo-mechanically treated bars and mild steel (MS) billets.