Essar infusing `55k cr into Gujarat state

New Delhi: Essar group will invest Rs55,000 crore in energy transition, power, and port projects in Gujarat, the firm said on Thursday after signing pacts with the state government. The investments are for setting up a 1 gigawatt green hydrogen project, expansion of Salaya power plant and transforming Salaya port into a logistics hub. In a statement, the company said it signed three memoranda of understanding with the government of Gujarat for a total investment of Rs55,000 crore ahead of the Vibrant Gujarat Global Summit 2024.

“Essar is in a renewed phase of making strategic investments in the field of energy transition, power and port sectors in the state. This initiative aims to create over 10,000 job opportunities,” it said. Over the last four decades, Essar has invested more than Rs 1 lakh crore in the energy, metals and mining and infrastructure sectors in Gujarat. These investments included a 20 million tonnes a year oil refinery at Vadinar and a steel plant at Hazira. These projects were sold over the past few years to clear debt and Essar is now embarking on a second phase of investments. On the signing of the MoU, Prashant Ruia, Director at Essar Capital, commented, “Gujarat has consistently been at the forefront of Essar’s strategic investments. We are delighted to further contribute to the state’s economic progress with an additional investment of Rs55,000 crore in the energy and infrastructure sectors.”

Energy transition investment will be in the 1 GW green hydrogen project to be set up at a cost of Rs30,000 crore.