Caparo Power Plans Expansion Amid Rising Industrial Demand

Caparo Power Limited is expanding its gas-based group captive power operations, increasing capacity from 26 MW to 35.73 MW and serving over 30 industrial customers. The company attributes this growth to the critical need for reliable power among industrial manufacturers and the rising demand from data centers.

The company plans to replicate its Bawal model across other industrial clusters in India, specifically targeting regions in northern and western India with high manufacturing density and growing power demand. This expansion strategy focuses on addressing grid challenges and ensuring consistent power supply.

Caparo Power manages fuel price volatility through a combination of long-term contracts for stability and spot purchases for flexibility. The company emphasizes the dispatchability of gas-based power as a key advantage for industrial users requiring continuous operation. Sustainability is also becoming a significant factor, with customers increasingly seeking cleaner energy options to meet their own net-zero commitments.