Industrial chemicals manufacturer Primo Chemicals has signed power purchase and share subscription agreements to source approximately 50 MW of power from a solar project being developed by Arpa Infrastructure Developers and Sun Photonics’ special purpose vehicle (SPV), TPCS, under the captive model.

Under the agreements, Primo Chemicals will subscribe to 26% of TPCS’ equity share capital for ₹210 million (~$2.2 million). The solar project will be developed, owned, operated, and maintained under an operating expenditure model.

Primo Chemicals said its shares in TPCS will rank equally with those held by the promoter group, including rights to distributions, dividends, and proceeds from the liquidation or winding-up of the special purpose vehicle.

The company will also have the right of first refusal if the promoter group proposes to transfer its stake in TPCS.

Several chemical companies have recently installed solar projects or signed agreements to source renewable power.

This April, Mercom India reported that Pidilite Industries, known for products such as adhesives, sealants, and construction chemicals, installed a rooftop solar system with a total capacity of 1,378.7 kW across its manufacturing facilities in Himachal Pradesh.

In March of this year, Mumbai-based Privi Speciality Chemicals announced it would procure power from a 16.60 MW solar project as a captive user by acquiring a 26% equity stake in Radiance MH Eleven, an SPV of Radiance Renewables, which is developing the project in Maharashtra.

In February of this year, Tamilnadu Petroproducts announced it would procure approximately 13.2 MW of solar power from Navia Three Power, an SPV of renewable energy solutions company Zelestra, as a captive consumer.

Also in February of this year, chemical manufacturing company Tatva Chintan Pharma Chem signed agreements to procure 6.4 MW of power from AMPIN C&I Power Twenty Six’s (AMPIN) 19.8 MW wind-solar hybrid group captive project in Gujarat.

Mercom India hosts a series of C&I Energy Meet events to raise awareness of clean energy adoption and help commercial and industrial customers understand available and affordable clean energy solutions. The next such event will be held in Hyderabad on August 21, 2026.

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