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What is the story about?
Electrical engineering industry major CG Power and Industrial Solutions Ltd on Thursday (June 4), said it has inaugurated and commenced commercial production at its extra high-voltage (EHV) switchgear manufacturing facility S3 unit-II in Nashik, Maharashtra.
This is in addition to the S3 unit-I manufacturing facility at Ambad, Nashik, which makes EHV circuit breakers in the 33kV to 800kV range.
The development is part of the company’s greenfield switchgear business plan, earlier disclosed on October 29, 2025, involving the setting up of a new manufacturing facility in western India with an estimated total project cost of approximately ₹748.20 crore, to be funded through internal accruals, equity, debt, or a combination of these.
ALSO READ | CG Power Q4 Results: Power segment leads growth; Margins highest in nearly two years
The project is aimed at doubling the company’s existing switchgear manufacturing capacity and expanding its product range across medium voltage (MV) and extra high voltage (EHV) segments, including substation automation systems and power electronics solutions.
The company stated that it has set up the facility on approximately 35 acres of land with a built-up area of around 72,000 square metres, with expected completion timelines of 33 months.
As per the disclosure, the new EHV switchgear manufacturing facility will add an annual capacity of 7,200 units at S3 unit-II, designed to manufacture EHV circuit breakers in the 33kV to 245kV range, including 500kV and 350kV high-voltage testing laboratories.
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The existing capacity at S3 unit-I stands at 9,000 units annually for EHV circuit breakers in the 33kV to 800kV range, with current capacity utilisation at approximately 85%.
The company has invested ₹39.49 crore in the project, funded through internal accruals. It said 97% of the capex incurred for the facility will be utilised for the broader greenfield project. CG Power and Industrial Solutions said the rationale for the project is strong demand and capacity constraints at its existing facility.
Amar Kaul, Group CEO and Managing Director, CG Power and Industrial Solutions Ltd, said, "The commissioning of S3 unit-II marks an important milestone in our growth journey and reflects our confidence in opportunities emerging from grid expansion, renewable energy integration and infrastructure development”
ALSO READ | CG Power faces ₹365-crore tax demand for AY18; to file appeal
He added, “As demand for high-voltage transmission equipment continues to grow in India and across global markets, this facility enhances our ability to deliver world-class products at scale. The investment also reinforces our commitment to support the evolving energy needs of our customers through innovation, quality and operational excellence."
Shares of CG Power and Industrial Solutions Ltd ended at ₹939.70, up by ₹33.40, or 3.69%, on the BSE today, June 4.
This is in addition to the S3 unit-I manufacturing facility at Ambad, Nashik, which makes EHV circuit breakers in the 33kV to 800kV range.
The development is part of the company’s greenfield switchgear business plan, earlier disclosed on October 29, 2025, involving the setting up of a new manufacturing facility in western India with an estimated total project cost of approximately ₹748.20 crore, to be funded through internal accruals, equity, debt, or a combination of these.
ALSO READ | CG Power Q4 Results: Power segment leads growth; Margins highest in nearly two years
The project is aimed at doubling the company’s existing switchgear manufacturing capacity and expanding its product range across medium voltage (MV) and extra high voltage (EHV) segments, including substation automation systems and power electronics solutions.
The company stated that it has set up the facility on approximately 35 acres of land with a built-up area of around 72,000 square metres, with expected completion timelines of 33 months.
As per the disclosure, the new EHV switchgear manufacturing facility will add an annual capacity of 7,200 units at S3 unit-II, designed to manufacture EHV circuit breakers in the 33kV to 245kV range, including 500kV and 350kV high-voltage testing laboratories.
ALSO READ | CG Power sees multi-year power sector opportunity driven by exports, grid upgrades
The existing capacity at S3 unit-I stands at 9,000 units annually for EHV circuit breakers in the 33kV to 800kV range, with current capacity utilisation at approximately 85%.
The company has invested ₹39.49 crore in the project, funded through internal accruals. It said 97% of the capex incurred for the facility will be utilised for the broader greenfield project. CG Power and Industrial Solutions said the rationale for the project is strong demand and capacity constraints at its existing facility.
Amar Kaul, Group CEO and Managing Director, CG Power and Industrial Solutions Ltd, said, "The commissioning of S3 unit-II marks an important milestone in our growth journey and reflects our confidence in opportunities emerging from grid expansion, renewable energy integration and infrastructure development”
ALSO READ | CG Power faces ₹365-crore tax demand for AY18; to file appeal
He added, “As demand for high-voltage transmission equipment continues to grow in India and across global markets, this facility enhances our ability to deliver world-class products at scale. The investment also reinforces our commitment to support the evolving energy needs of our customers through innovation, quality and operational excellence."
Shares of CG Power and Industrial Solutions Ltd ended at ₹939.70, up by ₹33.40, or 3.69%, on the BSE today, June 4.
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