Vedanta Aluminium and GAIL Ink Five Year Natural Gas Deal

Vedanta Aluminium and GAIL
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Vedanta has signed an agreement with GAIL Gas Limited, a subsidiary of GAIL (India) Limited, to supply natural gas to its Jharsuguda smelter.

The transition to natural gas is set to begin by the end of 2025, marking a significant step in Vedanta’s shift toward renewable energy sources. This initiative aims to reduce the company’s carbon footprint by minimizing CO2 equivalent emissions by 47,292 tons annually.

Commitment to Net Zero by 2050

The move aligns with Vedanta’s broader goal of achieving Net Zero emissions by 2050.

The company is implementing two main strategies to achieve this target:

*Increasing Renewable Energy Usage – Emphasizing the adoption of cleaner energy alternatives like natural gas.

*Creating Carbon Sinks – Undertaking extensive afforestation initiatives.

Sustainable Operations for Value-Added Products

The natural gas supplied by GAIL will power Vedanta’s upcoming 430-kilo tonnes per annum (KTPA) cast house.

The design of this facility aims to produce 250 KTPA of billets and 180 KTPA of other value-added products.

The new cast house will use natural gas as its primary energy source. This is expected to reduce carbon emissions by 62% monthly, supporting Vedanta’s sustainability ambitions.

Key Details of the Agreement

Under the signed terms, GAIL will deliver approximately 32,000 standard cubic metres (SCM) of natural gas daily. A dedicated 7.5 km pipeline will transport this.

The supply will continue for five years following the commissioning of the cast house and pipeline infrastructure.

Sustainability Goals

Priya Agarwal Hebbar, Non-Executive Director at Vedanta and Chairperson of Hindustan Zinc Limited stated, “At Vedanta, sustainability is at the heart of everything we do. Our partnership with GAIL Gas Limited underscores our dedication to reducing carbon emissions and embracing clean energy. Transitioning to natural gas at our Jharsuguda operations – the world’s largest aluminium plant – is a decisive step toward aligning with India’s clean energy vision and our ESG goals. This collaboration reflects our responsibility to grow sustainably and create a greener future for generations to come”.

Sunil Gupta, Chief Operating Officer, Vedanta Aluminium said, “Our collaboration with GAIL demonstrates our ambition to lead the aluminium industry in minimizing environmental impact. By adopting natural gas, we aim to enhance production capabilities while meeting India’s growing demand for aluminium in critical sectors. This step reinforces our commitment to sustainability and sets a benchmark for the industry”.

A Responsible Step Toward a Greener Future

Vedanta Aluminium and GAIL Gas Limited partnership is a milestone in its journey toward environmentally responsible growth.

As reported by alcircle.com, the company is embracing cleaner energy solutions. This is a tangible step toward contributing to a sustainable future for the aluminium industry and the communities it serves.