Leading tyre maker CEAT announced that it has signed a Limited Liability Partnership (LLP) agreement with Yellowstone Clean Energy LLP to invest up to INR 60 lakh in Cleanwin Energy Five LLP in September.
In line with the norms to avail power for captive use, this also makes CEAT a 26% shareholder in Cleanwin Energy, which owns, operates and maintains a captive wind power generating plant in Maharashtra.
Cleanwin Energy is promoted as a special purpose vehicle, with the sole business of renewable energy generation from renewable sources. The company will supply electricity on a captive basis to CEAT. The tyremaker has moved to renewable energy for all its six plants in India. Currently, the company is using 25% of its energy requirement from renewable sources. It plans to move to 50% renewable power in three years. Cleanwin will provide 5mW wind power to CEAT plants in Bhandup and Nashik, complementing these facilities' existing solar energy plants.
Kumar Subbiah, CFO, CEAT, said, “We are very happy to make this investment as it is another step towards our focus to reduce carbon footprint by 50% by 2030. It is a great initiative to develop and harness renewable sources of energy and towards a sustainable future.”
NB: Photo is representational.