DCM Shriram expands Bharuch renewable capacity with two new projects
DCM Shriram Limited has announced two investments aimed at increasing the share of renewable energy across its manufacturing operations at Bharuch, Gujarat. The company has entered into an agreement for a 58 MW peak hybrid renewable energy project with Serentica Renewables India 38 Private Limited and separately approved an investment to add approximately 48 MW of renewable energy capacity at the Bharuch manufacturing facility of DCM Shriram Chemicals.
Both projects are targeted for completion by June 2027 and are expected to expand the company’s renewable energy footprint significantly.
Hybrid project
Under a definitive agreement with Serentica Renewables India 38 Private Limited, DCM Shriram will procure power from a 58 MW peak hybrid renewable energy project designed primarily to meet the electricity requirements of its energy-intensive chemical operations in Bharuch.
The project will combine solar power generated in Rajasthan with wind power sourced from Karnataka. According to Serentica Renewables, the supply arrangement forms part of a larger 190 MW renewable energy project, of which 58 MW has been allocated to DCM Shriram Chemicals.
To support the project, DCM Shriram will invest up to Rs 105 crore, in one or more tranches, to acquire a minimum 26% equity stake in Serentica Renewables India 38 Private Limited.
The company stated that the project is expected to improve long-term power cost visibility, reduce exposure to conventional energy price fluctuations and increase the use of renewable power in its operations. It is also expected to avoid nearly 0.4 million tonnes of COâ‚‚ emissions annually.
Additional capacity
Separately, DCM Shriram’s Board has approved an investment of Rs 217 crore to expand renewable energy capacity at the Bharuch manufacturing facility.
The project will add approximately 48 MW of renewable energy supply to the site and is intended to strengthen the facility’s energy mix while supporting future manufacturing growth. The company said the investment is part of its broader strategy to integrate reliable and sustainable energy sources across its industrial operations.
With the addition of the two projects, DCM Shriram’s total renewable energy capacity across its Bharuch and Kota facilities is expected to reach 176 MW (peak) once all planned capacities are commissioned.
Energy transition
The investments reflect a broader shift by industrial consumers towards captive and group captive renewable energy procurement to manage power costs and reduce emissions.
For DCM Shriram Chemicals, where power constitutes a significant operating expense, the projects are expected to support energy efficiency initiatives while enhancing the resilience of its manufacturing base.
Photo credit: DCM Shriram Chemicals
