Apollo Green Energy Aims For Rs 10,000 Cr Portfolio By 2025 Amid India’s Renewable Push

India has set a goal of achieving 500 GW of renewable energy capacity by 2030. The Centre’s plan, once executed, can potentially generate projects worth at least Rs1.25 trillion. And Apollo Green Energy, Apollo Group's engineering arm, which one year ago forayed into renewable energy space, is betting big on that. The company aims to expand its total portfolio from Rs 3,500 crore now to Rs10,000 crore next year. The company seems well set to spend Rs 1,500 crore to expand its capacity and undertake government and public-sector renewable energy projects, sourcing most of its capital expenditure requirement from an initial public offering next year. Speaking to Bizz Buzz, Sanjay Gupta, CEO of Apollo Green Energy, charts out company’s plans and strategies, goin forward

AGEL is preparing for a public listing in 2025 to support its expansion plans. Can you share some of the key factors that influenced this decision, and what do you hope to achieve through the listing?

We are excited about our upcoming public listing in 2025, which will help us fund our ambitious expansion goals. The decision was driven by the need to raise capital for our Rs 1,500 crore expansion plan, as well as to reduce our debt. By going public, we aim to enhance our visibility in the market and gain access to the capital necessary for scaling up our renewable energy projects. We hope the listing will enable us to further strengthen our position in the growing renewable energy sector and align with India’s energy goals. The funds raised will also help us explore new mergers and acquisitions, boosting our technological capabilities and operational efficiency. Ultimately, we aim to contribute significantly to India’s renewable energy transition and deliver value to our shareholders.

The company aims to build a Rs 10,000 crore project portfolio by 2025. What steps are being taken to achieve this ambitious target, and how do you plan to scale operations in the coming years?

Achieving a Rs 10,000 crore project portfolio by 2025 is an ambitious goal, but we are confident about reaching it based on our current progress. In just one year, we secured Rs 2,500 crore in solar projects, despite having no prior experience in this sector. To scale operations, we are focused on aggressively bidding for large projects, particularly those worth Rs 1,000 crore or more. We are submitting at least two bids each month and targeting government and public sector projects, which continue to drive the majority of renewable energy installations. Additionally, we are diversifying into wind, hybrid, green hydrogen, and energy storage systems to further expand our portfolio and ensure sustained growth. We are looking to add more ageing talent and bring in more power into the business to drive innovation, strengthen leadership, and navigate the complexities of the renewable energy space.

With a current order book of Rs 3,500 crore and Rs 2,500 crore in ongoing projects, most of which are in solar energy, what do you see as the biggest opportunities in the renewable energy sector for AGEL over the next few years?

The biggest opportunities for AGEL in the renewable energy sector over the next few years lie in the massive government push to achieve 500 GW of renewable energy capacity by 2030. With solar power being a key focus, we see tremendous growth potential in both large-scale solar projects and the expanding demand for energy storage, green hydrogen, and hybrid power solutions. Public sector undertakings (PSUs) and government entities are actively driving solar energy projects, which presents us with a consistent stream of opportunities. We are particularly excited about India's focus on energy storage systems and hybrid power solutions, as these technologies are critical for stabilizing renewable energy production and making it more reliable.

AGEL has experienced a significant increase in revenue from Rs 324.83 crore in FY22 to Rs 1,174.77 crore in FY24. What key factors contributed to this impressive growth, and how do you plan to maintain this momentum?

Our impressive revenue growth is largely due to the successful execution of large-scale solar projects, strategic bidding for government and PSU projects, and our focus on diversifying into new renewable energy technologies. We’ve also managed to quickly scale up our operations and secure large orders, which has significantly boosted our revenue. To maintain this momentum, we plan to continue expanding our order book by targeting high-value projects and enhancing our technological capabilities. We will also focus on building a strong operational base in wind energy, green hydrogen, and battery storage solutions, ensuring we remain at the forefront of the renewable energy industry.

AGEL is already executing 400 MW of solar installations across three States. Could you elaborate on the challenges you face in managing large-scale solar projects and how you're addressing them?

Managing large-scale solar projects comes with challenges, like equipment sovereign, and timely execution. Coordinating multiple stakeholders, from government agencies to suppliers, can also be complex. To address these challenges, we have built a strong project management team and established processes to streamline procurement, logistics, and construction. We also work closely with cities and government authorities to navigate regulatory hurdles. Additionally, we invest in technology and project management tools that allow us to track progress and identify potential risks early, enabling us to mitigate delays and ensure successful project delivery.

The company is also focusing on energy storage systems, green hydrogen, and hybrid power projects. What role do these technologies play in AGEL’s long-term vision, and how do you see them evolving within the Indian market?

Energy storage systems, green hydrogen, and hybrid power projects are key pillars of AGEL’s long-term vision for sustainable and reliable energy solutions. Energy storage is crucial for balancing the intermittent nature of renewable energy sources like solar and wind, while green hydrogen presents an exciting opportunity for clean energy production. Hybrid power solutions, which combine multiple renewable sources with storage systems, offer an efficient way to meet India’s growing energy demands. As India pushes towards its renewable energy targets, these technologies will become increasingly important. We are investing in these areas now to ensure that we are well-positioned to capitalize on these opportunities in the coming years, contributing to both India’s energy transition and our business growth.

With India's goal of achieving 500 GW of renewable energy capacity by 2030, how is AGEL aligning its projects and strategy to contribute to this national target, and what steps is the company taking to ensure it plays a key role in this transition?

India’s 500 GW renewable energy target is a huge opportunity for AGEL to contribute to the nation’s energy transition. We are aligning our projects with this goal by focusing on high-capacity solar installations, energy storage solutions, and emerging technologies like green hydrogen and hybrid power systems. We are also prioritizing large-scale projects that can make a meaningful contribution to the country’s renewable energy capacity. Additionally, we are actively bidding for government and PSU projects, which are crucial to achieving this target. By diversifying our portfolio and strengthening our technical capabilities, we aim to play a central role in India’s renewable energy transformation and ensure that we contribute significantly to reaching the 500 GW milestone.