Ambuja Cements has announced plans to invest INR60,000m (US$723m) in renewable energy, resulting in green power accounting for 60 per cent of its energy requirements. According to the company, 1000MW of solar and wind power projects are planned, including a 600MW solar power project and a 150MW wind project in Gujarat, along with a 250MW solar power project in Rajasthan. This will be achieved by FY25-26 in addition to the company’s existing 84MW of solar and wind power.
Ambuja is also enhancing its waste heat recovery systems (WHRS) capacity from the current 103MW to 397MW over a period of five years to help reduce power costs. With this latest investment, power costs are expected to fall from INR6.46/kWh to INR5.16/kWh, a decline of 20 per cent, which translates into INR90/t of cement for the company’s target capacity of 140Mta by FY27-28.
Commenting on the investment, Ajay Kapur, CEO, cement business, said,” This strategic investment reaffirms our steadfast commitment to sustainable practices. We are not just aiming for a substantial increase in green power capacity but setting the stage for a transformative shift in the cement industry. They align not only with our growth trajectory but also with the national objective of de-carbonisation and greener future and this helps us become competitive and sustainable. The adjacencies within the group will further catalyse benefit realisation. With all requisite approvals in place, we are on an accelerated path to not just meet but exceed our committed ESG targets well before our initial timelines.”
