Author: PPD Team Date: 03/03/2025
Chemplast Sanmar Limited and its wholly-owned subsidiary, Chemplast Cuddalore Vinyls Limited (CCVL), have signed a power purchase agreement (PPA) with JSW Green Energy Nine Private Limited, a special purpose vehicle (SPV) of JSW Neo Energy Limited, a subsidiary of JSW Energy Limited (JSWEL).
Under the agreement, the SPV will develop an 84.9 MW wind-solar hybrid power project in Tamil Nadu, consisting of 64.9 MW solar and 20 MW wind capacity for the captive consumption of Chemplast Sanmar.
As part of the project, Chemplast Sanmar and CCVL will invest Rs 213.8 million and Rs 90.5 million, respectively, to acquire an 18.46% and 7.81% equity stake in the SPV.
Chemplast Sanmar, part of the SHL Chemicals Group under the Sanmar Group, is a leading manufacturer of specialty chemicals, including Specialty Paste PVC resin and custom-manufactured chemicals for the agrochemical, pharmaceutical, and fine chemical industries. It also produces caustic soda, chlorochemicals, hydrogen peroxide, refrigerant gas, and industrial salt at its facilities in Mettur, Berigai, and Vedaranyam in Tamil Nadu, and Karaikal in Puducherry.
Chemplast Sanmar follows an integrated manufacturing approach, sourcing raw materials from its own salt pans in Vedaranyam and using power from its captive plant for chlorine production.
The partnership with JSW Neo Energy marks a step towards increasing Chemplast Sanmar’s reliance on renewable energy, aligning with its sustainability goals.