CG Power Approves ₹393 Cr Across Switchgear and Transformer Units
CG Power and Industrial Solutions Limited has recently approved fresh and additional capital expenditure (CapEx) of ₹392.76 crore across its switchgear and transformer manufacturing divisions.
The company cited an increasing order pipeline, peak capacity utilization at its switchgear manufacturing facilities, and growing demand for Extra High Voltage (EHV) products for pursuing these CapEx projects.
CG Power Outlines ₹300 Cr for OIP Bushings & Instrument Transformers
At its S1 Unit in Ambad, Nashik, the company will invest approximately ₹300 crore to increase the manufacturing capacity of Oil Impregnated Paper (OIP) bushings and instrument transformers rated up to 800 kV. The investment will increase their capacity by 4,236 equivalent units per year, raising S1 Units’ total capacity from 7,200 to 11,436 equivalent units per year.
Further, this project covers augmentation of manufacturing machinery, testing, assembly and associated infrastructure, with commercial production expected to commence within 30 to 36 months.
Phase-II will add EHV Circuit Breaker Capacity at S3 Unit-II
CG Power board also sanctioned approximately ₹15.31 crore towards Phase-II expansion of EHV circuit breaker manufacturing capacity by 3,600 units per year at its S3 Unit-II facility in Pimpalgaon, Nashik. The proposed addition is to be completed within 6 to 9 months.
The S3 Unit-II facility commenced operations on 4th June 2026 under Phase-1 of the expansion with an annual capacity of 7,200 units. S3 Unit-II complements Unit-I which has a peak capacity of 9,000 units per annum. After Phase 2 completion the capacity S3 Unit-II will reach 10,800 units per annum, and the combined capacity of S3 Unit-I & II will be 19,800 units per annum.
Vilholi GIS CapEx will be Raised by ₹9.45 Cr.
The company’s board has approved additional CapEx of ₹9.45 crore, building on a previously approved investment of ₹35.17 crore in July 2026 for brownfield Gas Insulated Switchgear (GIS) expansion at Viholi. This takes the Viholi GIS project’s total capex to ₹44.62 crore.
This additional CapEx is primarily for procuring an 800 kV high-voltage testing system, alongside contingencies, to enable testing of 245 kV and 400 kV GIS. This project will increase the overall capacity from 228 equivalent GIS bays (FY26) to 468 equivalent GIS Bays.
This overall ₹44.62 crore brownfield expansion project at Viholi acts as a temporary capacity buffer to manage company’s rapidly increasing order book pipeline. Currently, the company is developing a greenfield switchgear facility, approved in October 2025, with a 33-month commissioning timeline. CG Power noted that approximately 90% of the ₹44.62 crore project’s assets will be relocated to company’s upcoming greenfield facility upon its commissioning.
Investing ₹68 Cr to Add 10,000 MVA Transformer Capacity
Alongside switchgear, CG Power has also cleared an estimated project investment of ₹68 crore towards brownfield expansion at its power transformer manufacturing facility 3 (T3) in Mandideep, Madhya Pradesh.
Following a lean initiative by CG Power, the company identified that its T3 facility has scope to enhance capacity by 10,000 Mega-Volt Ampere (MVA) to 75,000 MVA, from current annual capacity of 65,000 MVA. This increase in capacity is vital to CG Power, as the facility currently operates at maximum utilization while market demand continues to grow.
The project is expected to be completed within 12-15 months.
About CG Power and Industrial Solutions: CG Power and Industrial Solutions Limited, an Indian multinational company engaged in design and manufacturing of products related to power generation, transmission, and distribution & Rail Transportation. The company was founded in 1937, with its headquarters in Mumbai.
