This investment is yet another marker of UltraTech’s commitment to India’s growth story: Mr. Kumar Mangalam Birla
30th October 2023: The Board of Directors at its meeting held today, approved the 3rd phase of growth with an investment of INR 13,000 crores towards increasing the capacity by another 21.9 mtpa with a mix of brown field and green field projects.
Mr. Kumar Mangalam Birla, Chairman, Aditya Birla Group, said, “Over the past seven years, UltraTech has strategically invested over INR 50,000 crores to support India’s rapidly changing infrastructure landscape. Our fresh commitment of INR 13,000 crores underscores our deep-rooted belief in India’s economic potential. With each investment, we have not only expanded our footprint but also powered India’s needs for housing, roads, and other vital infrastructure”.
He added, “Earlier this year, I had articulated our ambition to reach a capacity of 200 mtpa, and this expansion marks a pivotal step in that direction. With this round of capex UltraTech reinforces its position as one of the largest cement companies in the world and a national champion”.
An important point to note is that there will be no investment in thermal power capacity, keeping in line with the Company’s mission to reduce carbon emissions. The expansion also includes investments in setting up additional 39 MW WHRS capacity at a cost of INR 453 crores and INR 180 crores towards alternative fuel feeding and handling equipment contributing towards the Company’s commitment to reduce carbon emissions. The Company will use green energy in excess of 60% by the end of 2027. This will be supported by a total WHRS capacity of over 400MW and renewable energy of approximately 1.5 GW.
Post commissioning of the 3rd phase of expansion, approved by the Board today, UltraTech will be strongly placed across the country with 35.5 mtpa in South; 40.4 mtpa in East; 36.2 mtpa in North; 35.7 mtpa in Central and 33.8 mtpa in the West.
This will be achieved by setting up 4 greenfield and 4 brownfield plants along with 4 greenfield bulk terminals.
Commercial production from these new capacities is expected to go on stream in a phased manner from FY26 onwards and will catapult the Company’s cement capacity to 187 mtpa globally.