GHCL Limited, a chemical and textile company, has signed an MoU (Memorandum of Understanding) with the Government of Tamil Nadu for investing ₹500 crore in the State.
As per the MoU, GHCL will set up 40,000 ring spindles in Manaparai, Tiruchirappalli district, to produce synthetic and synthetic blended yarn to cater to the knitting and weaving segments, according to a stock exchange filing.
It will also install another 40,000 ring spindles with 24 knitting machines in Paravai, Madurai district, to produce 100 per cent cotton yarn and knitted fabrics. GHCL also plans to develop an EHT (extra high tension) power transmission facility in Manaparai to ensure uninterrupted power supply.
Sustainable business practises
In order to fulfil its commitment towards sustainable business practices and reduce its carbon footprint, GHCL has proposed to set up a 20 MW solar power park near Musiri, Tiruchirappalli district.
At the moment, 52 per cent of the energy requirements of GHCL’s yarn business is fulfilled from renewable resources. Once the project is completed, almost 70 per cent of GHCL’s Energy requirement for the spinning business will be from renewables.
R S Jalan, Managing Director, GHCL, said, “We are humbled and proud to be a part of Tamil Nadu’s growth story. This MoU will help us to create value for the community and is in accordance with our strategic growth plans and sustainability targets. Going forward, we will further enhance our energy portfolio to fulfil almost 90 per cent of our energy requirements from renewable sources.”