Ambuja Cements unveils Rs 6,000 crore green power move

The Adani Group-owned Ambuja Cements is set to invest Rs 6,000 crore in renewable power projects, an exchange filing by the company said on December 18.

Ambuja Cements is the cement and building material company of the diversified Adani Group.

The company will fund the investment internally. The company made no other statement on the funding process.

It will seek to target a capacity of 1,000 megawatts (MW) through solar and wind power projects in Gujarat and Rajasthan. The lineup includes a 600 MW Solar Power project and 150 MW Wind Power project in Gujarat and a 250 MW Solar Power project in Rajasthan, it said.

The company aims to meet the said capacity from solar power and wind power projects by fiscal 2026, the statement said. This will add to the company’s existing capacity of 84 MW.

These projects will raise Ambuja Cements’ total green capacity to 60% from the existing 19%.With the lower cost of generation from green power, the company’s power cost will decrease from Rs. 6.46 per kWh to Rs.5.16 per kWh. A reduction of Rs. 1.30 per kWh (20%) which translates into Rs. 90 PMT of cement by FY 2028, the statement said.It may be noted here that Ambuja Cements, in early December, took a majority stake in Sanghi Industries for Rs 5,185 crore.