Pharma Major Cipla Establishes 30 MW Captive Solar Plant

EU Renewables PPA Market Shines with 7.8 GW of New Renewable Energy Contracts To Date

Cipla Limited, a leading pharma firm announced the start of a 30 MW solar plant project at Tuljapur, Maharashtra. The plant will support its production facilities and reduce emissions linked to energy commission there. The 30 MW project, built in partnership with APM Energy India, is spread over 115 acres,

The project will benefit the company’s manufacturing units at Kurkumbh and Patalganga in Maharashtra. It will also help the company cut emissions by as much as 35,000 tonnes of carbon dioxide equivalent annually over its project life of 25 years, it’s release to the Bombay Stock exchange added.

“Sustainability is at the core of Cipla’s DNA, and this solar power plant is a true reflection of our belief of contributing towards a greener environment. This project is testament to our relentless commitment to use cleaner and renewable sources of energy,” Cipla president and Global CFO Kedar Upadhye said.

Cipla has targeted to reach carbon and water neutrality by 2025, besides zero waste to landfill, anti-microbial resistance stewardship and green chemistry, the pharma major said.

For AMP Energy, which has been among the global leaders servicing the corporate category for solar plants, the Cipla project is yet another addition to an expanding list of clients with whole it has been building solar projects. The firm was also recently in the news for a big fund raise from the Carlyle group

The Cipla move underscores the critical role for the C&I segment (commercial and industrial) segment in the drive to shift to renewable energy. In 2020, worldwide, the Commercial segment brought green energy equal to 23.7 GW, according to a report by Bloomberg NEF. Across large  markets today, C&I installations have become a critical part of solar and wind growth, helped along by tax benefits earlier, and now, lower costs and a more open regime for power generation.

In India, while permissions for captive power generation remain relatively easy, the regulatory structure for third party driven sales of renewable energy remain an issue, with open access rules and regulations, besides charges varying widely across states.