Hi-Tech Pipes Aims To Decarbonise Its Manufacturing Facilities By 2033

Following the company's announcement on the decarbonisation of its manufacturing facilities, the addition of 5 MW of green power through roof-top solar and open access, generation, and captive consumption of green hydrogen gas, Hi-Tech Pipes' shares commenced higher on the BSE at Rs 145.85 apiece on Wednesday.

Honourable Prime Minister Narendra Modi's broader strategic climate goals for 2030 and 2070 are in line with Hi-Tech Pipes's ambition to decarbonise 60% of its manufacturing facilities by 2030 and all of them by 2033. Hi-Tech Pipes said its green power sourcing will be around 13.50 MW, which will contribute around 30% of the total power requirement of the company. Decarbonisation will help the company by lowering electricity costs, which will result in power cost savings.

The Indian government has set a goal to achieve zero carbon emissions by 2070, with a target of 30% to 35% by 2030. The government is encouraging the production of green power using wind and solar energy in addition to other environmentally friendly initiatives in order to fulfil this goal. On January 4, 2023, the Indian government authorised the National Green Hydrogen Mission. The goal of this mission is to establish India as a global centre for the production, use, and export of green hydrogen and its by-products. The mission will assist India in decarbonising key economic sectors and achieving energy sufficiency.

Mr. Ajay Kumar Bansal, Chairman, Hi-Tech Pipes Ltd, said, "We are committed to powering India's drive towards carbon neutrality by leveraging the power of green hydrogen & renewable energy. Hi-Tech is forging this alliance to realise India's green hydrogen aspirations, which is in sync with the Hon'ble Prime Minister's vision of making India a Green Hydrogen generation and export hub. To start with, this partnership will focus on green hydrogen projects at our Sikanderabad, Uttar Pradesh plant. The timing for these proposed JVs is excellent as they will help support Government of India's recently announced green hydrogen policy to boost India Inc.'s decarbonisation journey."

"The planned JVs aim to enable India's transition from a grey hydrogen economy to a greener economy that increasingly manufactures hydrogen via electrolysis powered by renewable energy. The central government in February notified the Green Hydrogen policy aimed at boosting production of green hydrogen and green ammonia to help the nation become a global hub for the environmentally friendly version of the element. For countries like India, with its everincreasing oil and gas import bill, green hydrogen can also help provide crucial energy security by reducing the overall dependence on imported fossil fuels. In addition to decarbonisation & financial goals, these ESG (Environmental, Social & Governance) programs will also help the company to increase its societal value by considering environmental sustainability and social responsibility," Ajay Kumar Bansal further added.

The firm recently signed a Memorandum of Understanding (MoU) for the time-bound generation and captive use of green hydrogen projects with a top renewable energy provider. The supplier will present its robust EPC credentials along with extensive R&D capabilities covering a wide range of green hydrogen applications.