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Adani's Eyes $4 Billion For Green Hydrogen

By Outlook Planet Desk October 27, 2023

The group dives deep into green hydrogen, showcasing India's commitment to a cleaner future

Adani's Eyes $4 Billion For Green Hydrogen
The green hydrogen venture is not just Adani's focus. Industry titan Mukesh Ambani, chairing Reliance Industries, joins him in this endeavour, echoing Prime Minister Narendra Modi's vision for India as a forerunner in adopting cleaner technologies. Tribhuvan Tiwari/Outlook
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In a striking move towards a sustainable future, the Adani Group, spearheaded by billionaire Gautam Adani, is set on amassing a whopping $4 billion to pioneer the manufacture of economical green hydrogen. Initial talks are currently underway with a slew of both national and international banking institutions to pool in the required funds, insiders revealed to the media.

Earlier this year, a joint venture was announced between Adani and France's TotalEnergies SE, committing to a substantial $5 billion investment in India to develop green hydrogen and its derivatives. This collaboration is particularly notable as India, currently ranked as the third-largest global polluter, is fiercely determined to shift its trajectory and embrace decarbonisation.

Gautam Adani has previously vocalised his commitment to the environment, promising that a considerable 75% of the group's impending capital expenditure is earmarked for eco-friendly initiatives. Adani envisions an ambitious $20 billion investment in renewable energy, sustainable component production, and affiliated infrastructure in the upcoming decade.

The green hydrogen venture is not just Adani's focus. Industry titan Mukesh Ambani, chairing Reliance Industries, joins him in this endeavour, echoing Prime Minister Narendra Modi's vision for India as a forerunner in adopting cleaner technologies.

Adani's official website sheds light on the tremendous potential of green hydrogen in revolutionising India's energy sector. Envisioning a near future where green hydrogen, priced under $1/kg, could not only aid the nation in transitioning away from fossil fuels but also emancipate it from the weighty financial strain of energy imports.

While Adani New Industries is working independently to generate new capital away from Total, insiders reveal that the funds will be channelled into a multitude of projects. One such endeavour includes a green hydrogen facility in Gujarat with an impressive production capacity of 1 million metric tons annually, with eyes set on operational commencement by 2027. 

This investment endeavour arrives amidst the backdrop of the Adani Group's resilience. After facing corporate fraud allegations earlier this year, the group has been working diligently to rebuild trust with lenders. Despite challenges and the subsequent dip in the Adani Group's market presence, India's market regulator persists in its thorough investigation into the conglomerate's adherence to local securities laws. 

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