CG Power and Industrial Solutions Ltd (CG) has planned to undertake capital expenditure projects with respect to its switchgear business, with a view to meeting growing domestic and export demand.
In a release, CG said that its existing manufacturing facilities in the switchgear business are witnessing peak capacity utilization. In view of the increasing order pipeline and growing demand for extra high voltage (EHV) products and in order to cater to the growing domestic and export demand, CG proposes to undertake various capital expenditure projects. Here are broad details:
S1 Unit (Ambad, Nashik, Maharashtra)
At the S1 unit, CG has planned to invest around Rs.300 crore to increase manufacturing capacity of OIP (oil-impregnated paper) bushings and instrument transformers up to 800kV by 4,236 equivalent units per year, taking it to 11,436 equivalent units per year.
The project will involve augmentation of manufacturing, assembly, testing and associated infrastructure, with production tentatively expected to commence within 30-36 months.
S3 Unit-II (Pimpalgaon Garudeshwar, Nashik, Maharashtra)
The CG board has approved further (second phase) investment of around Rs.15.31 crore to enhance EHV circuit breaker manufacturing capacity by 3,600 units, taking the total capacity to 10,800 units per year. This brownfield expansion is expected to complete in 6-9 months. The S3 Unit-II, it may be recalled, began commercial production on June 4, 2026.
GIS Division (Viholi, Nashik, Maharashtra)
The CG board has newly approved enhancement in capex for the Viholi brownfield expansion project by Rs.9.45 crore, taking it to Rs.44.62 crore from Rs.35.17 crore that was approved on July 24, 2026. The enhancement primarily provides for procurement of an 800kV high-voltage testing system, along with contingency, to enable testing of 245kV and 400kV gas insulated switchgear (GIS). Accordingly, capacity at the Viholi GIS plant will increase from 228 equivalent units, as of FY26, to 468 equivalent units. It is also learnt that once the brownfield expansion at Viholi is complete, around 90 per cent of the project assets will be transferred to a greenfield facility on which details are were not readily available.
Transformer business
T3 (Mandideep, Bhopal, Madhya Pradesh)
The T3 power transformer manufacturing facility is currently operating at maximum capacity. CG had undertaken lean initiative and based on its outcome, there is scope to enhance the T3’s capacity by 10,000 MVA to 75,000 MVA. The CG board has approved this capacity expansion with an outlay of Rs.68 crore, and an envisaged completion period of 12-15 months.
During Q2FY27, CG inaugurated what is understood to be India’s largest single-location transformer manufacturing facility. Spread over 50 acres of land at Sehore in Madhya Pradesh, the plant is capable of rolling out 35 transformers per month. (Learn more)
Order book
CG’s overall order inflow during the second quarter (Q2: July to September) of FY27 was up 90 per cent year-on-year, touching Rs.8,016 crore. Much of this increase came from the Power Systems division that saw order inflow more than doubling to Rs.6,258 crore in Q2FY27.
Order backlog of this division, as of September 30, 2026, was Rs.18,964 crore, up 81 per cent from its corresponding level of FY26. The healthy order book provides multi-quarter visibility, CG said in a release.
The Power Systems division includes transformers, reactors, switchgear (circuit breakers, instrument transformers and bushings).
At the consolidated level, which is CG along with its Indian and international subsidiaries, the new order inflow during Q2FY27 stood at Rs.8,485 crore, a healthy 78 per cent higher than the corresponding level in Q2FY26. The consolidated outstanding order book, as of September 30, 2026, was Rs.23,646 crore – 58 per cent higher than the corresponding Rs.14,493 crore as of September 30, 2025.
Featured photograph (source: CG Annual Report FY26) shows an aerial view of CG’s switchgear manufacturing plant at Nashik in Maharashtra.