Adani Group Secures Rs 60,000 Crore for Green Push, Infrastructure Blitz

The Adani Group is securing funds amounting to Rs 60,000 crore from both Indian public and private sector banks, spearheaded by the State Bank of India. These funds are earmarked for several key infrastructure projects spanning green hydrogen initiatives, a copper smelter unit, power generation, transmission, and road development, to be executed over a five-year timeline.

Comprising a consortium of five public sector banks (PSBs) and three prominent private sector banks, the financing structure allocates approximately 56 percent of the loans from state-owned banks, with the remainder sourced from private lenders. Additionally, two finance institutions specializing in the power sector are involved in the funding. Interest rates for these funds range between 9-11 percent.

The initial phase of the green hydrogen project, boasting a capacity of one MT, is slated for completion by FY27, with a substantial Rs 24,000 crore designated for establishing the green hydrogen ecosystem. Furthermore, a long-term investment totaling USD 50 billion over the span of 10 years aims to produce three MT of hydrogen. A significant portion of the funds, approximately Rs 10,000 crore, is allocated for road infrastructure projects, while Rs 8,000 crore is earmarked for a USD 1.2-billion copper project, with its first phase, capable of producing five lakh tonnes, set to commence operations in the upcoming month.

In the realm of transport and logistics, the Adani Group is bolstering its presence with a 5,000-lane km road network, aspiring to be among the top three players in the road sector by 2025. The remainder of the funds will be channeled into power and transmission assets, as well as a two MT coal-to-PVC project in Mundra, with its initial phase scheduled for commissioning in FY26. Notably, last year, the Group had outlined plans to invest around USD 84 billion over the next decade.

News by Rahul Yelligetti