Stockrabit · Analysts
Questions across 1 call

Jashandeep Singh

N omura

SHREE CEMENT LIMITED

SHREE CEMENT LIMITED CC-Sep23.pdf · 2023-11-08
My first question regarding power and fuel cost. So in the presentation, the press release you have mentioned that the green power mix has increased from 50% last year to 58%. However, I see this 2% decline in power and fuel costs. I just wanted to understand once we reach the 63% green power mix by the end of FY '25, how much cost saving you are building in? Just wanted to understand, in a sense the -- such a drastic increase in green power, power and fuel costs just 2%. My first question. H M Bangur Yes. About INR 5 crores per megawatt is the solar power plant cost, which we are adding, and part of it will be coming down, the percentage, because of more efficient motor which we are changing. So the overall power consumption also is expected to be lower per ton. So it is a blend because of the new extra capacity and because of the lower consumption of power, the 58% will become 63%.
And sir, how much savings are you seeing from this, I mean, this increase? H M Bangur Roughly, the payback period, depending on the grid rate is between six years to eight years. So on an average, seven years is the payback period. 14% return on the capital employed is expected.