India Cements is now set to double its cement production capacity and set up a 40-Mw power plant at one of its facilities in Tamil Nadu. The company has received the approval from the expert appraisal committee under the ministry of environment and is expected to take about two years to complete the work.
Currently the company´s clinker production capacity is 1.24 million tonnes per annum which will be increased to 2.77 million tonnes per annum. Cement (OPC/PPC) production capacity is 2.16 million tonnes and the company plans to add 2.55 million tonnes taking the total cement production capacity to 4.71 million tonnes.
The capacity addition would cater to Tamil Nadu and Kerala markets where not much of the capacity additions expected in the future. The expansion will be done in an area of 25.09 hectares. A budget of Rs 810 crore is allotted to the expansion project. Of this Rs 39.6 crore and Rs 5.71 crore is earmarked for the capital cost and recurring cost per annum towards the environmental pollution control measures. India Cements has seven plants in Tamil Nadu and Andhra Pradesh and one in Rajasthan.
The company is also planning to add coal/pet coke based 2X20 Mw power captive power plant in the facility. The power requirement for the facility would be 41.4 Mw, which will be met from the captive power plant and the Tamil Nadu Electricity Board, according to the company´s disclosure to the ministry.