New captive power unit to help cut costs for Sanghi

MUMBAI: Gujarat-based Sanghi Industries will commission the first part of its Rs 250-crore captive thermal power project in November. The 60 mw plant in Kutch will bring down the company���s power expenditure to Rs 2.40/unit from Rs 4/unit. This translates into savings of Rs 200 per tonne for the company. The second phase, comprising another 60 mw, is likely to be commissioned by July 2009. Sanghi Industries director Alok Sanghi told ET, ���These power plants will certainly bring down our power cost. The saving is important in the backdrop of the company���s expansion plan to scale up its cement capacity to 8 million tonne per annum (MTPA).���

Sanghi has an annual capacity of 3.3 MTPA. The additional capacity is coming up near its Gujarat unit. The total investment for the expansion is pegged at Rs 1,200 crore. It will cater to the markets of Gujarat, Karnataka, Kerala and west coast of Maharashtra.