The Adani Group cement and construction material company, Ambuja Cements, has pledged a large investment of 6,000 crore in renewable power projects with a capacity of 1,000 MW.
The venture includes a varied portfolio of solar and wind power plants strategically located throughout Gujarat and Rajasthan. Ambuja Cements said in a regulatory statement on Monday that the project portfolio includes a 600 MW Solar Power project in Gujarat, a 150 MW Wind Power project in Gujarat, and a 250 MW Solar Power project in Rajasthan.
This will be accomplished by FY 2026 (200 MW by March 2024), in addition to the present 84 MW of Solar & Wind Power, according to the company.
With decreased generating costs from green electricity, power costs will fall from $6.46 per kWh to $5.16 per kWh. A 20% reduction in unit cost of 1.30 per kWh translates into 90 PMT of cement with a projected capacity of 140 MTPA by FY 2028, accelerating the company's ESG targets.
"The Group's adjacencies will further catalyze benefit realization." With all necessary approvals in place, we are on a fast track to not just reach but surpass our targeted ESG targets well ahead of our initial timetables', said Ajay Kapur, CEO, Cement Business.
Ambuja Cements is also increasing its Waste Heat Recovery Systems (WHRS) capacity from 103 MW to 397 MW over a 5-year period (134 MW by March'24), which will lower power costs even further.
These initiatives will assist Ambuja Cements in increasing its Green Power contribution to 60% for the targeted capacity of 140 MTPA from the existing 19%. On the BSE at 9:30 a.m., Ambuja Cements was trading 1.46% higher at 530.00 per share.
