Tata Power Solar, a unit of Indian conglomerate Tata Power, is set to close a deal with the Tamil Nadu government for the construction of a 4 GW vertically integrated solar cell and manufacturing unit in the state, according to local media outlet Times of India, which said the factory will likely be located in Gangaikondan, near Tirunelveli.

“The investment by Tata would be around Rs 3,000 crore (US$403 million) with an employment potential of 2,000 locals,” Times of India reports, citing Tamil Nadu government sources.

Currently, Tata Power Solar operates a solar cell and module manufacturing facility in Bengaluru. In April, it expanded its cell and module manufacturing capacity at this factory with the addition of new lines to produce high-efficiency monocrystalline PERC solar modules. 

The manufacturer has added 230 MW of mono PERC capacity to its 300 MW cell plant and 180 MW of half-cut mono PERC capacity to its existing 400 MW production setup. With this, it has reached an aggregate capacity of 530 MW for cells and 580 MW modules.