BHEL Approves Rs 30.6446 bn Investment in BCGCL

BCGCL will be majority held by Coal India Limited, which holds 51 per cent, while BHEL will hold 49 per cent. The joint venture, incorporated on 21 May 2024, will focus on coal to chemicals projects beginning with a 2,000 tonnes per day ammonium nitrate facility. The investment will be made in cash at face value and executed at arm's length to ensure transparency.

The Board also authorised formation of a joint venture with Titagarh Rail Systems Limited for comprehensive maintenance of Vande Bharat Sleeper Trains, subject to clearance from the Department of Investment, Public and Asset Management. The agreement will be finalised with necessary modifications after statutory approvals are received. The Board approved strategic mergers at Haridwar and Hyderabad, combining Heavy Electrical Equipment Plant and Central Foundry Forge Plant into HEEP at Haridwar, and merging Heavy Power Equipment Plant with Project Engineering & Systems Division into HPEP at Hyderabad, effective first April 2026.

Company executives indicated that the BCGCL investment will position BHEL at the forefront of coal to chemicals technology and will strengthen industrial diversification into chemical manufacturing. The planned joint venture with Titagarh is expected to enhance BHEL's role in maintenance of high speed rail assets and support India’s rail modernisation. Plant mergers are intended to streamline operations, improve efficiency and optimise resources within the Haridwar and Hyderabad units.

BHEL is one of India’s largest engineering and manufacturing public sector undertakings operating across power, industrial, transportation and renewable sectors. BCGCL was incorporated in 2024 to develop coal to chemicals projects starting with the 2,000 tpd ammonium nitrate facility.