Punjab mega cement plant investments await approval

09 Nov 2023 CW Team

JSW Group and Vedanta have made significant investments in establishing cement plants in Punjab, awaiting approval from the state government, according to informed sources. Talwandi Sabo Power Plant (TSPL), a Vedanta Group company, plans to invest around Rs 100 billion to set up cement manufacturing plants in Punjab. TSPL intends to establish multiple cement plants near its existing power plant in Mansa district, with one of these plants being set up by JSW Group. The cement production will utilise fly ash from TSPL's power plant.

Despite the potential to create over 2,000 jobs in Punjab, the project is pending approvals from various state government departments. Sources indicate that TSPL's proposal has been awaiting approval from the Punjab Government's office of the Chief Town Planner and Director of Factories for the past 18 months, despite assurances made at the Invest Punjab Summit in February 2023. Recently, TSPL, a leading power producer in Punjab, approached the High Court of Punjab and Haryana to expedite the process.

TSPL currently operates a 1,980 MW thermal power plant in Mansa district and plans to use the fly ash generated by the plant for environmentally friendly cement production. The project has been stalled due to the lack of approval for the change in land use required for a Cement Grinding Unit.

"This ambitious project represents one of the largest investments Punjab has ever seen, offering substantial benefits to the community. Not only does the cement grinding unit provide an eco-friendly solution for the power plant's ash, but it also promises a significant capital infusion into the region. In a state where job opportunities are often scarce, the project's potential to employ 2,000 individuals is invaluable," a source emphasised.

Persistent delays might force investors to explore opportunities in more favourable states, sources warned.

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