NEW DELHI: Hindustan ZincBSE -1.21 % Ltd (HZL) today said it is foraying into solar energy business and will set up 115 MW of solar energy projects with an investment of Rs 630 crore.

The company led by billionaire Anil Agarwal already produces 474 MW of thermal power and 274 MW of wind energy.

«Hindustan Zinc has been working progressively towards setting up 115 MW of solar energy projects with an investment of Rs 630 crore,» HZL CEO Sunil Duggal told PTI.

He said that in the first phase, the company will set-up 15 MW solar energy projects which would require an investment of Rs 80 crore and are likely to be commissioned by March 2017.

The second phase would be of 100 MW requiring an investment of Rs 550 crore, which is likely to be commissioned by September 2017. The average cost of setting up 1 MW of solar energy plant is about Rs 5.50 crore, Duggal said.

«The energy produced will be utilised for captive use only. Out of 15 MW, 10 MW solar power projects will be installed at Zinc Smelter Debari and remaining 5 MW will be installed at Rajpura Dariba Mine of Hindustan Zinc,» he added.

The 5 MW solar power project at Rajpura Dariba Mine would be the first such project in the district of Rajsamand in Rajasthan. The 10 MW project would also be the largest solar energy project in the district of Udaipur, Duggal noted.

Hindustan Zinc also produces 274 MW of wind power in its green energy farms located in Gujarat, Karnataka, Rajasthan, Tamil Nadu and Maharashtra.

Hindustan Zinc has already installed solar roof top projects with a capacity of 100 KW each at head office-Udaipur and Chanderiya Lead Zinc Smelter in January 2016. It is also looking to develop solar energy projects in other parts of Rajasthan.