Adani Transmission rolls out a first-of-its-kind initiative to become net-zero by 2050

Adani Transmission Ltd (ATL), the country's private power distribution company and the transmission arm of Adani Group, has rolled out a first-of-its-kind initiative to achieve a net-zero target by 2050, the company said on Wednesday. Net zero is a stage where greenhouse gas emissions are cut down to zero. 

The company has also committed to reducing its absolute scope 1 and scope 2 Green House Gases (GHG) emissions by 72.7% by FY2032. Scope 1 emissions are direct greenhouse emissions that occur from sources that are controlled or owned by an organisation such as emissions associated with fuel combustion in boilers, furnaces, and vehicles. Scope 2 emissions are indirect emissions associated with the purchase of electricity, steam, heat, or cooling.

The company said that has submitted its GHG emission reduction plans and targets to the Science Based Targets initiative (SBTi), an international initiative for containing global warming. It said it will act in alignment with the much-needed climate action and devise a strategy to restrict global warming to 1.5 degrees Celsius. 

"To meet these targets, ATL has rolled out definite strategies. In a first-of-its-kind initiative in the country, ATL’s subsidiary AEML (Adani Electricity Mumbai Ltd) has introduced green tariffs, which enables AEML consumers to opt for green energy and receive a Green Power Certificate every month," the company said, adding that this initiative is popular with consumers who wish to reduce their carbon footprint.

“We take seriously all initiatives focused on contributing to India’s climate commitment through resolute climate action,” said Anil Sardana, MD and CEO, Adani Transmission Ltd. He said submitting targets for the SBTi reiterates the company's commitment to devising sustainable ways of doing business and that it also reinforces India’s efforts to reduce climate risk through individual and collective action.

"A culmination of several smaller actions such as energy efficiency initiatives at sub-stations, de-linking of substations from the grid for auxiliary power while connecting them with solar energy, and introduction of efficient transmission lines aimed at reducing losses, combined with wider actions such as the introduction of green tariff at AEML, will significantly contribute towards achieving positive climate action,” Sardana said.

The company said that signing up for the SBTi is an important step in the context of India’s commitments to the Paris Climate Agreement. ATL became a signatory of the UN Energy Compact at COP26 held in Glasgow in 2021. 

In November last year, Prime Minister Narendra Modi at COP26 Summit in Glasgow announced that India would achieve net zero by 2070.

Through SBTi, companies are setting science-based emissions reduction targets — across their entire value chain — that are consistent with keeping global warming at 1.5 degrees Celsius above pre-industrial levels. SBTi committed companies get 24 months to submit their targets. However, ATL said it is one of the few companies that have submitted the emission reduction targets within one year.

The United Nations in one of its reports states that the energy sector is the source of around three-quarters of greenhouse gas emissions today and holds the key to averting the worst effects of climate change. It says that replacing polluting coal, gas, and oil-fired power with energy from renewable sources, such as wind or solar, would dramatically reduce carbon emissions.