Amara Raja Batteries Ltd (ARBL) said it would set up a 50-megawatt solar power plant in Chittoor district of Andhra Pradesh at a total outlay of ₹220 crores. “This will further reduce the cost of power and simultaneously bring down the company’s carbon footprint,” the company said in a statement.
As part of the overall lead procurement strategy, Amara Raja Batteries would set up a greenfield lead recycling unit with a capacity of one lakh tonnes, it said.
“This will help the company comply with recycling standards while adopting advance technology in the most environmentally friendly manner. The total capital outlay for this project is expected to be ₹280 crores over the next 18 months,” the company said in a statement.
“The planned investments in solar and lead recycling plants will further strengthen our resolve towards a cleaner environment through a sustainable circular economy and also aid reducing costs and provide long term support to our key raw material procurement,” said S. Vijayanand, chief executive officer, Amara Raja Batteries said.
Amara Raja Batteries posted a 20% rise in profit before tax to ₹259.90 crores for the quarter ended on 31 December, compared to ₹217.36 crores in the corresponding quarter last year. The revenue from the operations rose to ₹1960.12 crores in the December quarter from ₹1747.81 crores a year ago.
Commenting on the Q3 performance, Jayadev Galla, vice chairman and managing director, said, “The economy has started showing sharper signs of recovery with a reduction in COVID prevalence and ongoing vaccination drive boosting industry confidence. The rebounding of the economy is improving prospects of various market segments, especially those in which the company is operating.”
“The government has also announced many initiatives and Production Linked Incentive (PLI) schemes, which will accelerate the growth of e-mobility and renewable energy markets. We are assessing investment opportunities in advanced and futuristic energy storage technologies to address these emerging market segments,” said Galla.