UltraTech Cement Invests ₹2,650 Cr In AP Plant With 3.6 MTPA Capacity

CW Bureau ·

UltraTech Cement Ltd, India’s largest cement manufacturer, has commissioned its Petnikota Cement Works in Andhra Pradesh with an investment of around ₹2,650 crore, expanding its manufacturing capacity in the state.

Located at Petnikota village in Kolimigundla mandal of Nandyal district in the Rayalaseema region, the integrated cement plant has a clinkerisation capacity of 3.3 million tonnes per annum (MTPA) and a cement dispatch capacity of 3.6 MTPA.

Construction began in May 2025. The project is expected to provide direct employment to 650 people and indirect employment to another 2,000, taking the total employment potential to 2,650.

Nara Lokesh, Minister for Human Resource Development, IT and Electronics, Government of Andhra Pradesh, highlighted the speed of execution, noting that the plant was completed within 14 months of the groundbreaking.

He said the ₹2,650-crore investment would strengthen Andhra Pradesh’s industrial capacity while creating employment opportunities, adding that the facility had been designed to operate without using groundwater and run entirely on green energy.

Renewable energy and waste heat recovery
Petnikota Cement Works incorporates a 35 MW hybrid wind and solar energy system supported by battery storage, alongside a 20 MW waste heat recovery system.

The plant has been designed to operate on 100% green energy without a captive thermal power plant. The combination of renewable energy and waste heat recovery is intended to reduce dependence on conventional power sources and improve energy efficiency.

The facility also incorporates measures to reduce freshwater consumption through conservation and recycling, with zero groundwater use planned as part of its operating model.

Focus on sustainable manufacturing
The plant includes an alternative fuel system that uses plastic and municipal waste, supporting the use of non-conventional fuels in cement manufacturing.

Electric vehicles will be used for mining and clinker transportation. Covered raw material storage sheds, concrete roads across operational areas and an extensive green belt are among the other environmental measures incorporated into the facility.

UltraTech will also manufacture composite cement using slag and fly ash, industrial by-products that can reduce the clinker requirement in cement production and help lower the product’s carbon footprint.

Automation and quality control
The facility features a fully automated robotic laboratory with automatic sampling and analysis, along with a cross-belt analyser and automatic hot meal analysis to enable real-time monitoring and process optimisation.

Energy-efficient equipment, including low-pressure cyclones, an advanced burner system, kiln, cooler and grinding mills, has been installed to improve operational efficiency. A modern slag grinding mill supports the production of blended cement.

Logistics operations will be supported by radio-frequency identification (RFID)-based vehicle tracking and unmanned weighbridges, designed to improve vehicle movement and reduce turnaround times.

Strengthening manufacturing capacity
The commissioning of Petnikota Cement Works strengthens UltraTech’s manufacturing presence in Andhra Pradesh while adding capacity to serve cement demand from infrastructure, housing and other construction activities.

The integration of renewable power, waste heat recovery, digital automation and alternative fuels reflects the industry’s growing focus on reducing energy costs and environmental impact.

For Andhra Pradesh, the ₹2,650-crore investment brings additional industrial capacity and employment to the Rayalaseema region. For UltraTech, the plant adds a modern manufacturing facility designed to combine production scale with resource efficiency and lower-carbon cement manufacturing.