Adani to invest $100 billion in energy transition projects over the next decade

Adani to invest $100 billion in energy transition projects over the next decade

MUMBAI: The Adani Group is planning a whopping $100 billion plus investments in energy transition projects and towards building manufacturing capabilities to produce all the key components needed for green energy generation, group chairman Gautam Adani has said.

“The next decade will see us invest more than $100 billion in the energy transition space and further expand our integrated renewable energy value-chain that today already spans manufacturing of every major component required for green energy generation,” the billionaire businessman told an infra event organised by Crisil Ratings here Wednesday.

The diversified group, which straddles airport, ports, power generation and distribution, city gas distribution, solar panel manufacturing and data centres among others, will be setting up wind farms, solar parks and facilities to manufacture electrolysers to make green hydrogen, he said.

Underscoring the country’s immense potential of energy transition and digital infrastructure, Adani said the country can add a trillion dollars to the GDP every 12 to 18 months, which will put us on track to be a $30-trillion economy by 2050 and this will see the market capitalisation jumping to $40 trillion from around $5.2 trillion now.

"What this effectively means is that over the next 26 years, we will potentially add $36 trillion to the stock market capitalisation," Adani said.

"While every nation has its challenges, I can confidently state that our country’s real growth is yet to come. The platform to create several trillion-dollar market spaces is already in place. Our estimates show that by FY32, we should become a $10 trillion economy," Adani said.

Adani also listed out three enablers that will contribute to the country’s infrastructure development--the role of government policies and governance, interconnection of upcoming infrastructure with sustainability and renewability, and his own group’s role in developing infrastructure.

He said his group wants to produce the world’s least expensive green hydrogen that will become the feedstock for several sectors to meet the sustainability target. “And to make this happen, we are already building the world’s largest single-site renewable energy park at Khavda in the Kutch region of Gujarat. Just this single location will generate 30 gw of power, thereby taking our total renewable energy capacity to 50 gw by 2030,” he said.

Adani further said the energy transition space will fundamentally change the global energy landscape forever. “The global transition market was valued at around $3 trillion in 2023 and is expected to touch $6 trillion by 2030, thereafter doubling every 10 years till 2050,” he said.

“Our country aims to install 500 gw of renewable energy capacity by 2030. This ambitious target will require annual investments of over $150 billion dollars," he said.