India’s Aluminum Industry Can Lead Global Green Metal Transition: Interview

India must act quickly to align with global carbon border adjustment mechanisms

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Vedanta Aluminium, part of the Vedanta Group, is among the leading aluminum producers in India. Its refineries and smelters in Lanjigarh and Jharsuguda in Odisha, and Korba in Chhattisgarh, are increasing their use of renewable energy sources for operations.

In an exclusive interview with Mercom India, Rajiv Kumar, CEO at Vedanta Aluminium, shared details about Vedanta’s sustainable energy practices, including the use of renewable energy in the energy-intensive aluminum production process. He spoke about the low-carbon aluminum products Vedanta offers to countries with carbon border adjustment mechanisms.

The company has set a target of reaching net zero by 2050.

Vedanta Aluminium plans to source 1,500 MW of renewable power by 2030. What mix of solar, wind, or hybrid solutions are you targeting, and how will this be integrated into smelting operations? 

Our approach is to build a diversified renewable portfolio that combines solar, wind, and hybrid solutions to ensure reliability and cost efficiency. Aluminum smelting is highly energy-intensive, so seamless integration is essential. We are working on long-term PPAs and exploring hybrid models that can balance intermittency with grid stability. The idea is to progressively replace thermal power with renewables without compromising operational continuity. This transition will be supported by digital energy management systems and storage solutions to maintain a consistent smelter load.

Mining and metal refining are traditionally energy-intensive. What long-term strategies are you pursuing to shift these operations toward cleaner and more efficient energy sources? 

We have taken decisive steps to decarbonize our operations. In FY 2025, we consumed 1.57 billion units of renewable energy, the highest in India’s aluminum sector, resulting in a substantial reduction in Scope 2 emissions. Our roadmap includes sourcing 1,500 MW of renewable power by 2030 through long-term green power agreements. Beyond power procurement, we are advancing clean fuel adoption through biomass co-firing of 3,941 MT, replacing diesel generators with solar-powered systems, and transitioning our alumina refinery to natural gas.

Clean mobility is another focus area, with 142 electric forklifts deployed across our units in Odisha and Chhattisgarh, making it India’s largest electric forklift fleet. This initiative will eliminate over 4,450 tons of CO₂-equivalent emissions annually and reduce diesel consumption by 16.3 lakh litres. These efforts reflect our commitment to balancing operational reliability with sustainability.

How do you plan to balance renewable integration with grid stability for such energy-intensive operations? 

Grid stability is critical for aluminum smelting. Our strategy combines hybrid renewable models, energy storage solutions, and advanced load management systems to ensure uninterrupted operations. We are also working closely with power utilities and regulators to strengthen grid infrastructure and connectivity, which is essential for large-scale renewable integration.

What impact will global carbon border taxes or green tariffs have on India’s aluminum exports? 

Carbon border adjustment mechanisms, such as CBAM, are reshaping global trade dynamics, and India must act decisively to remain competitive. At Vedanta Aluminium, we are already ahead of the curve, progressively reducing our greenhouse gas intensity, integrating renewable energy into our power mix, and offering low-carbon aluminum brands such as Restora and Restora Ultra to meet stringent sustainability norms in export markets.

India’s aluminum industry has the potential to lead the global green metal transition. Achieving this will require the industry to continue innovating and scaling low-carbon production, while policy frameworks support the adoption of cleaner technologies and enable competitiveness in international markets. Together, these efforts will ensure that India not only adapts to carbon regulations but also emerges as a preferred source for sustainable aluminum worldwide.

What is your strategy to stay competitive as global buyers increasingly prefer low-carbon metals? 

At Vedanta Aluminium, our strategy is built on accelerating decarbonization across the value chain and scaling up green aluminum production to meet the growing demand from sectors such as automotive, electric mobility, renewable energy, packaging, and infrastructure, where sustainability is now as important as performance.

A cornerstone of this approach is our Restora range. Restora is produced using renewable energy and advanced process efficiencies, resulting in a carbon footprint that is significantly lower than conventional aluminum, typically less than 4 tons of CO₂ per ton of aluminum. Restora Ultra offers ultra-low-carbon aluminum with among the lowest emission footprints in the market, below 2 tons of CO₂ per ton of aluminum, achieved through a combination of renewable power integration, cleaner fuels, and cutting-edge technologies.

We have already established this capability and are ramping up volumes as we expand operations across our smelters. By integrating renewable power, operational efficiencies, and traceable low-carbon offerings, we are well-positioned to support global customers in achieving their net-zero goals while reinforcing Vedanta Aluminium’s leadership in the green metals space.

What is your long-term pathway to reach Net Zero, and what milestones have you set for 2030 and 2040? 

Our pathway to Net Zero is built on a phased, measurable transition that balances growth with sustainability. Over the next three to five years, we will significantly accelerate decarbonization through enhanced energy efficiency, wider adoption of natural gas, and large-scale integration of renewable power across our operations.

By 2030, we aim to have at least 30% of our product portfolio comprise low- and ultra-low-carbon aluminum, supported by continuous innovation in climate-resilient, resource-efficient processes. This milestone aligns with rising global demand for greener metals and India’s broader energy transition goals.

Looking ahead to 2040 and beyond, our roadmap is anchored in achieving Net Zero Carbon operations by 2050, alongside Net Water Positivity by 2030 and No Net Loss of biodiversity. These commitments reflect our ambition to lead sustainable industrial transformation and act as a long-term partner in India’s development, measured by responsible growth, technological innovation, and environmental stewardship.

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