Adani to invest over $100 billion in green energy push

Adani said the group is building large factories to manufacture electrolyzers, which are critical to producing green hydrogen at scale.

India’s Adani Group will pour more than $100 billion into energy transition projects and manufacturing capabilities for green technologies, its chairman Gautam Adani said on Wednesday, in one of the country’s biggest renewable energy drives.

The ambitious investment roadmap by the ports-to-energy conglomerate spans building massive solar and wind farms to produce renewable power, as well as constructing facilities to manufacture every major component for green energy generation – from electrolyzers for making green hydrogen to wind turbines and solar panels.

Green hydrogen, produced by splitting water into hydrogen and oxygen using electrolyzers powered by renewable electricity, is a key part of Adani’s decarbonization vision. The zero-emission fuel is seen as vital for curbing emissions in hard-to-abate sectors like steelmaking, refining, fertilizer production and heavy transport.

Adani said the group is building large factories to manufacture electrolyzers, which are critical to producing green hydrogen at scale. It is also setting up wind turbine and solar module manufacturing units to be fully integrated and aligned with the government’s goal of achieving net zero carbon emissions by 2070.

The $100 billion-plus investment will be spread across a multi-decade timeframe, people familiar with Adani’s plans said. Financing will come through a mix of internal cash flows, debt, and partnerships with global leaders in clean energy technologies.

With a current renewable power portfolio of over 6 gigawatts, Adani is already one of the world’s largest green energy producers. The conglomerate aims to have 45 GW of renewable energy capacity by 2030 through acquisitions and organic growth.

India, the world’s third-largest emitter of greenhouse gases, has set ambitious targets to increase non-fossil fuel sources in its energy mix and manufacture more components for the green economy. Adani’s pivot aligns with Prime Minister Narendra Modi’s vision to transform India into a green energy powerhouse.

However some analysts question whether Adani, whose core businesses have traditionally been in areas like ports, power transmission and coal, has the expertise to successfully build a green energy behemoth from scratch. The group’s massive debt load is also a concern.

The group did not provide a detailed breakdown of the investment plans. Adani said more information will be shared at the company’s annual general meeting on July 18.