Pharmaceutical company Shilpa Medicare will source 13 MW of solar power from NeoGreen Power in a group captive arrangement for its operations in Karnataka.

NeoGreen Power will supply the power through the solar project of its subsidiary, NeoGreen Power Projects.

The power will be used by three subsidiaries of Shilpa Medicare: Shilpa Pharma Lifesciences, Shilpa Biocare, and Shilpa Biologicals.

The project is expected to supply approximately 20 million kWh annually to the three subsidiaries in Raichur and Hubli.

The subsidiaries collectively hold a 28% equity stake in the project’s special purpose vehicle (SPV).

The SPV also includes Time Technoplast, Topsack Packaging, and Power Build Batteries as captive consumers and shareholders.

Shilpa Medicare currently meets close to 80% of its power requirement through self-owned renewable energy assets and capacity contracted under long-term arrangements.

Its renewable energy portfolio includes 4.5 MW of self-owned captive wind capacity and approximately 10 MW of wind capacity contracted under a long-term power purchase agreement. The contracted wind capacity is expected to supply approximately 27.5 million kWh annually.

An increasing number of pharmaceutical companies in India are installing rooftop solar projects or sourcing renewable energy through captive and group captive arrangements to save on costlier grid tariffs.

A pharmaceutical manufacturer in Baddi, Himachal Pradesh, adopted a 1.122 MW rooftop solar system under a leasing model. The system is expected to save about ₹11.5 million (~$120,679) annually and provide power at 82% lower cost than grid electricity.

Last year, Akums Drugs & Pharmaceuticals installed a 600 kW rooftop solar system at its manufacturing facility in Uttarakhand. The project supplies roughly 70%-80% of the facility’s electricity consumption and is expected to save more than ₹5 million (~$58,055) annually.

The growing adoption of renewable energy by commercial and industrial (C&I) consumers reflects a broader shift toward cleaner and more cost-effective power procurement. Mercom India’s C&I Clean Energy Meets bring together businesses, renewable energy developers, financiers, and technology providers to discuss procurement models, regulatory developments, financing options, and strategies for reducing energy costs and emissions through rooftop solar, open access, and captive renewable energy projects.

The next such in the series will be held in Vizag on September 24, 2026.