Maruti Suzuki shares edge higher after THIS capex expansion update. Do you own?

Maruti Suzuki share price gained nearly 1 per cent in Wednesday's trading session (June 4) after the carmaker announced the expansion of its solar capacity by 30MWp with two new projects.

Maruti Suzuki shares climbed to the day's high of   ₹12,241 apiece on NSE.

Maruti Suzuki's expansion plans details

India's largest automaker commissioned a 20MWp solar power project at its new facility in Kharkhoda, Haryana, and added another 10MWp solar capacity to its Manesar facility. 

With these additions, MSIL's total solar capacity across its locations has increased from 49MWp to 79MWp in the last one year.

“Aligned with our parent company, Suzuki Motor Corporation's Environment Vision 2050i and the Government of India's focus on renewable energy, we are systematically enhancing the use of renewable energy in our operations. By FY2030-31, Maruti Suzuki plans to reach 319MWp of solar capacity, backed by an investment of over INR 925 crore," said Hisashi Takeuchi, Managing Director & CEO, Maruti Suzuki India Limited.

Besides, the auto giant is increasing the share of green power sourced from the State Electricity Boards for its consumption. These initiatives in solar power and green power will help the company meaningfully shift its dependence towards renewable energy.

“As we scale up production to four million units, we are committed to matching that growth with equally ambitious sustainable energy practices. This solar power expansion is a crucial step towards creating a cleaner, more sustainable energy ecosystem and contributes positively to the environment. Through sustained efforts, the share of renewable source of energy in total electricity consumption is expected to reach nearly 85% by FY2030-31,” Takeuchi said.

The company is progressively adopting eco-friendly manufacturing methods across all its plants. By significantly expanding its solar energy capacity, it has reinforced its dedication to sustainability and responsible environmental practices.

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