Business Line, January 4, 2007
Chemplast Sanmar Ltd has said it would spend Rs 75 crore on converting its caustic soda plant in Mettur to the more environment-friendly membrane cell-based facility from the existing mercury-cell technology.
In addition, the company intends to spend Rs 26 crore on a reverse-osmosis facility that will ensure zero-discharge of effluents. The facility, a power consumer, will also entail an annual expenditure of Rs 4 crore.
Chemplast's Managing Director, Mr P.S. Jayaraman, told Business Line on Wednesday that the company was putting up the facility for environmental protection.
Even the Rs 75-crore expenditure at Mettur will not result in any saving — although the membrane-cell technology will considerably reduce power consumption, the interest, depreciation and annual maintenance costs (including replacement of membranes) will offset the savings in power consumption, he said.
This Rs 100-crore `environment investment' is over and above another Rs 50 crore put in by Chemplast in the last four years into environment management, says a press release from the company.
Meanwhile, the company is in the process of filing draft offer documents for its rights issue to raise Rs 200 crore for its Rs 450-crore greenfield PVC project at Cuddalore, the release says.