NCL Industries Approves ₹595 Cr Renewable Energy Investment

NCL Industries approves ₹595.17 crore for the next phases of its 130 MW Tamil Nadu renewable energy project and gives in-principle approval to explore a cement plant in Odisha.

NCL Industries Limited has approved an additional investment of ₹595.17 crore to expand its solar and wind power project in Tamil Nadu, taking the total project cost to ₹987.17 crore. The company's board approved Phase II and Phase III of the 130 MW renewable energy project at Tuticorin during its meeting on November 12, 2026. The board also granted in-principle approval to explore the establishment of a new cement manufacturing plant in Odisha as part of its expansion plans.

The additional investment will support the development of the remaining 80 MW capacity of the renewable energy project. The company had earlier approved Phase I, comprising 50 MW, at an estimated cost of ₹392 crore. With the latest approval, NCL Industries is proceeding with the complete 130 MW solar and wind power development in phases.

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The project is expected to strengthen the company's energy security and reduce its dependence on conventional power sources. As cement manufacturing is energy-intensive, the renewable energy investment is intended to support captive electricity requirements and improve operational cost efficiency. The company also plans to explore opportunities to sell surplus electricity through power exchanges and third-party power purchase agreements.

The project is targeted for commissioning by February 2028. Its financing is expected to involve a combination of debt and internal accruals. NCL Industries had previously secured final connectivity and transmission access approval from the Central Transmission Utility of India Limited, enabling the proposed renewable capacity to connect to the electricity grid.

Alongside the renewable energy expansion, the board has provided in-principle approval to explore a new cement plant in Odisha. The proposal represents an opportunity for the company to strengthen its presence in eastern India and serve demand from infrastructure, construction and industrial development. However, the approval is preliminary, and further evaluation will be required before the company finalises the project's location, investment requirements and implementation plans.

NCL Industries operates across cement, cement-bonded particle boards, ready-mix concrete and renewable energy. Its cement manufacturing operations serve markets across several Indian states, while its renewable energy portfolio includes hydropower and waste heat recovery facilities. The company has been expanding its renewable energy capacity to manage electricity costs and support sustainability objectives.

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The latest board decisions reflect NCL Industries' parallel focus on strengthening its energy infrastructure and evaluating additional cement manufacturing capacity. The proposed Odisha facility, together with the expanded renewable energy project in Tamil Nadu, could support its longer-term manufacturing and regional growth strategy.