Amara Raja to set up 50 MW captive solar power plant, lead acid recycling plant

• The two projects will involve an investment of Rs 500 crore

• The lead acid recycling plant will have an estimated capacity of 1 lakh tonnes pa and will be set up at a total outlay of Rs 280 crore over the next 18 months

New Delhi: Amara Raja, which is one of India's largest manufacturers of lead acid batteries, has announced its plan to set up a 50 MW solar power plant in Chittoor, Andhra Pradesh, for captive use and a lead acid recycling plant. The two projects will involve an investment of Rs 500 crore, the company said in a regulatory filing to the stock exchanges. It added that the two decisions have received a nod from the company's Board of Directors at a meeting held on Saturday.

Lead acid recycling plant will have capacity of 1 lakh tonnes pa: Amara Raja

"The Board of Directors at the meeting held today i.e February 13, 2021 approved setting up a greenfield lead acid recycling plant with an estimated capacity of 1 lakh tonnes p.a at a total outlay of Rs 280 crores to be spent over the next 18 months. This will help the Company comply with recycling standards whilst adopting advance technology in the most environmentally friendly manner," said the regulatory filing.

Solar power plant will reduce company's carbon footprint: Amara Raja

Commenting on the plan to set up a captive solar power plant in Chittoor district, Amara Raja said that the plan is aimed at bringing down the carbon footprint of the company. "The Company is also Setting up a 50MW solar captive power plant in Chittoor District of Andhra Pradesh at a total outlay of Rs 220 crores to support the sustainability initiatives of the Company. This will further reduce the cost of power and simultaneously bring down the carbon footprint of the Company," said the regulatory filing.

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Amara Raja Batteries registered a 20 percent increase in profit before tax to R 259.90 crore in Q FY21 as compared to Rs 217.36 crore in the corresponding quarter of the previous financial year. The revenue from the operations increased to Rs 1,960.12 crore in the third quarter from Rs 1,747.81 crore a year ago.

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