Adani Green Plans Rs 2 Lakh Cr Investment to Achieve 50 GW Renewable Capacity by 2030

Adani Green Energy Limited (AGEL), incorporated in 2015, is an Indian renewable energy company, headquartered in Ahmedabad, India. It is majority-owned by Indian conglomerate Adani Group and minority-owned by TotalEnergies. The company operates the Kamuthi Solar Power Project, one of the largest solar photovoltaic plants in the world. 

Adani Green Energy’s Ambitious Investment Plan

Adani Green Energy Ltd. is set to invest Rs 2 lakh crore over the next seven years to significantly expand its renewable energy capacity. Currently operating at 10.9 GW, the company aims to achieve 50 GW by 2030. With a substantial land bank capable of supporting 70-80 GW, Adani Green is well-positioned for this ambitious growth. “The entire capacity is fully funded,” stated Sagar Adani, director of Adani Green, during a media briefing in Ahmedabad. The existing 10.9 GW capacity already generates Rs 5,000 crore in free cash flow, and this figure is expected to rise as the power capacity reaches 17,000 MW by next year, further boosting cash flows.

Financial Targets and Future Projections

Adani Green Energy is targeting earnings before interest, taxes, depreciation, and amortization (EBITDA) of Rs 50,000 crore by 2030, aligned with its expansion goals. Sagar Adani, the executive director, highlighted that with an estimated investment of Rs 80-90 lakh per MW, achieving an EBITDA of Rs 50,000 crore is feasible. For context, the company reported an EBITDA of Rs 10,462 crore in FY24. This substantial increase underscores the company’s robust financial strategy and commitment to becoming a leading player in the renewable energy sector.

Conclusion: Adani Green Energy’s Rs 2 lakh crore investment plan aims to boost its renewable energy capacity to 50 GW by 2030, generating substantial cash flow and achieving an EBITDA of Rs 50,000 crore. This strategy highlights their commitment to leading the renewable energy sector.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.