JSW Steel is taking various initiatives to reduce its carbon footprint in line with India’s net zero ambitions, its chairman Sajjan Jindal said on July 20. According to the industrialist, his company has already set an amount 10,000 crore to increase the use of renewable energy to replace thermal power and other green initiatives.
On July 18, the business disclosed a partnership with Boston Consulting Group (BCG), a US-based organization, to plan to achieve its decarbonization objectives. Its ambitious target is to cut carbon emissions by 42% by 2029-2030 compared to the base year 2005.
According to him, SW Steel has contracted for 1 GW of renewable energy, of which 225 MW became active in April 2022. Other GWs will be brought online in phases.
“We are taking several initiatives to reduce our carbon footprint, aligning with India’s net zero ambitions and envisaging investment 10,000 crores for this. One such initiative is to increase the use of renewable energy in our operations,” Jindal said,to address shareholders at the 28th Annual General Meeting (AGM) of the Company.
According to the Ministry of Steel, the iron and steel sector is responsible for around 8% of the world’s annual carbon dioxide (CO2) emissions, while in India, it accounts for 12% of the total.
On the performance of the Company during the financial year ending March 31, 2022, the Chairman said, “We gave one more year With record financial performance, revenue grew by 83 percent. We recorded our highest ever EBITDA and PAT, each growing by 94 per cent and 166 per cent respectively.”
With an unlucky second wave hitting India in the first quarter of the financial year, the pandemic continued to provide hardships. JSW Steel did not need to stop operationsHowever this briefly reduced them to divert oxygen for medical purposes.
JSW Steel Key crude steel production It stood at 19.51 million tonnes (MT) in FY22, contributed by the Bhushan Power and Steel acquisition and Dolvi Phase-II expansion.
“We continue to focus on high-margin, value-added products, which account for 60 percent of our sales. Our balance sheet remains strong, with a consolidated net debt-to-EBITDA of 1.45 times in the United States. Our international operations did well and became profitable during the year.
“The recent acquisitions – Asian Color Coated, Vallabh Tinplate, Bhushan Power & Steel and JSW Ispat Special Products delivered strong performance during the year,” Jindal said.
By FY25, he said JSW Steel expects its consolidated steelmaking capacity in India to be 37 million tonnes per annum from the current 27 million tonnes per annum. These additions are being met by increasing the downstream capacity, which has increased significantly in the last 2-3 years.
On duties on steel middlemen, he said, “We view the export duty imposed on steel in May 2022 as a significant, but short-term headwind. We continue to engage with the government on the matter and believe that the duty will only It will be withdrawn to check inflation and after softening of inflation,” he said.
The steel industry is in constructive dialogue with the government in this matter through the Indian Steel Association.
(with PTI inputs)
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