DCM Shriram Limited Approves ₹87 Crore Equity Investment Plan For 48 MW Renewable Energy Project At Bharuch Plant

DCM Shriram Limited has announced a significant investment to expand renewable energy capacity at its Bharuch plant in Gujarat. The company’s Board of Directors has approved a total investment of ₹217 crore as part of its strategy to strengthen the use of clean power in its industrial operations. The decision reflects the company’s growing focus on sustainability and energy self-sufficiency while also managing long-term operational costs.

The approved investment has been divided into two major components. The first part includes an equity investment of up to ₹87 crore. This amount will be used to acquire a minimum 26 percent stake in one or more Special Purpose Vehicles (SPVs) that will develop and operate the renewable power project. These SPVs will be responsible for setting up and managing the power generation assets that will supply electricity to the Bharuch facility.

The second component of the investment involves capital expenditure of up to ₹130 crore. This funding will be used to develop the infrastructure required to support the renewable energy expansion. The infrastructure development will help integrate the new clean energy capacity with the plant’s existing power systems.

Once the project is completed, it is expected to add around 48 MW of renewable energy capacity. This capacity is projected to deliver approximately 30 MW of round-the-clock power, based on an estimated capacity utilization factor of 75 percent. With this addition, the Bharuch plant will see a major increase in its renewable energy supply. The facility currently has a peak renewable power capacity of 50.4 MW, which will rise to about 98.4 MW after the expansion is completed.

The Bharuch complex is one of the key operational hubs for the company, which has a diversified portfolio including agri-rural businesses such as urea and sugar, along with chemicals and farm solutions. Increasing the use of renewable energy at the site will help the company reduce dependence on conventional grid electricity, which can often face price fluctuations and supply uncertainty.

The renewable energy expansion is also expected to support the company’s environmental goals by lowering its carbon emissions. The project is planned for completion by June 2027. This initiative follows the successful commissioning of a 15 MW solar power project at the same complex in 2023, further strengthening the company’s commitment to clean energy adoption.