"Ambuja Cements Unveils ₹6,000-Crore Investment Plan for Green Power Projects"

In a significant move toward sustainability and economic efficiency, Ambuja Cements, a prominent Adani Group company, has pledged a substantial investment of Rs. 6,000 crore in green power projects, targeting a total capacity of 1000 MW by the fiscal year 2025-26.

This ambitious investment encompasses a diverse portfolio of solar and wind power projects strategically located across Gujarat and Rajasthan. Among the notable additions are a 600 MW solar power project and a 150 MW wind power project in Gujarat, along with a 250 MW solar power project in Rajasthan.

The company aims to achieve an impressive capacity addition of 200 MW by the upcoming March, supplementing the existing 84 MW from solar and wind power sources. The envisioned investment not only underscores Ambuja's commitment to environmental sustainability but also promises significant economic advantages in support of the company's larger capacity goal of 140 million metric tonnes per annum (MTPA).

As part of this investment, the power cost is expected to decrease from Rs 6.46 per kWh to Rs 5.16 per kWh, representing a substantial 20 per cent reduction (Rs 1.30 per kWh). This reduction translates into a cost benefit of Rs 90 per tonne of cement, contributing to the targeted capacity of 140 MTPA by the fiscal year 2027-28.

Furthermore, the integration of green power initiatives will play a crucial role in enabling the increased production of green cement. This, in turn, supports the construction and housing industries in adopting environmentally friendly practices.

Ambuja Cements is also set to enhance its Waste Heat Recovery Systems capacity from the current 103 MW to an impressive 397 MW over the next five years, with 134 MW expected to be achieved by March 2024. This additional capacity will further contribute to reducing power costs.

These strategic initiatives position Ambuja to lead in the green power sector among its peers, targeting an impressive 60 per cent share for the planned capacity of 140 MTPA, a significant increase from the current 19 per cent.

Ajay Kapur, CEO of Cement Business, emphasized that the company's goals extend beyond mere capacity expansion, representing a transformative shift in the cement industry. With all necessary approvals in place, Ambuja Cements aims to surpass its committed Environmental, Social, and Governance (ESG) targets ahead of schedule.

HBL