ArcelorMittal, Greenko to jointly set up renewable energy project

Steel manufacturing company ArcelorMittal has entered a strategic partnership with Greenko Group to set up renewable energy projects worth $600 million. The two companies will work together for the construction of a 24x7 or ‘round-the-clock’ nominal solar and wind capacity project of 975 MW. The project cost is $600 million, supported by a hydro pumped storage project of Greenko, and will be owned as well as funded by ArcelorMittal. Greenko shall design, construct, and operate several renewable energy facilities set up in Andhra Pradesh, Southern India. ArcelorMittal Nippon Steel India, a joint venture of ArcelorMittal in India, will be signing a 25-year offtake agreement with ArcelorMittal for the purchase of 250 MW of renewable power per year from the project. The project is expected to be commissioned by mid-2024 while the transmission will be via Power Grid Corporation of India. As per a statement, the project will result in more than 20% of the electricity requirement at Hazira plant of ArcelorMittal Nippon Steel India coming from renewable sources, while will reduce annual carbon emissions by about 1.5 million tonnes. The project offers ArcelorMittal Nippon Steel India lower electricity costs as well as lower carbon dioxide emissions. It further provides an attractive Return On Investment (ROI) for ArcelorMittal. Image SourceAlso read: ArcelorMittal plans to set up 4.5 GW solar park in Rajasthan