Press Releases

Vedanta Aluminium Partners with GAIL Gas Limited for Sustainable Aluminium Production

• First-of-its-kind partnership with GAIL to reduce carbon emissions by 47,292 tCO₂e annually and boost Vedanta Aluminium’s Jharsuguda smelter’s output of billets and other value-added aluminium products

New Delhi, November 20, 2024: In a milestone toward sustainable industrial practices, Vedanta Aluminium, India’s largest aluminium producer, has signed a gas sales agreement (GSA) with GAIL Gas Limited, a subsidiary of GAIL (India) Limited, to supply natural gas Vedanta’s Jharsuguda smelter, the world’s largest aluminium plant. This transition to natural gas, expected to be operational by the end of 2025, will significantly lower the carbon footprint, reducing emissions by an estimated 47,292 tonnes of CO₂ equivalent (tCO₂e) annually. Vedanta is committed to achieving Net Zero emissions by 2050, by implementing a dual strategy that includes increasing renewable energy usage while also creating carbon sinks through extensive afforestation efforts.

This partnership will support Vedanta’s upcoming 430 kilo tonnes per annum (KTPA) cast house, where molten metal is cast into aluminium products, The new cast house is designed to produce 250 KTPA of billets and 180 KTPA of other value-added products. GAIL Gas Limited will establish a dedicated 7.5 km pipeline to supply approximately 32,000 standard cubic metres (SCM) of natural gas per day, with a five-year contract term starting upon pipeline commissioning. This cleaner energy alternative is expected to help Vedanta Aluminium’s commitment to a clean energy transition across its operations.

Priya Agarwal Hebbar, Non-executive Director at Vedanta and Chairperson of Hindustan Zinc Limited, said, “ At Vedanta, sustainability is at the heart of everything we do. Our partnership with GAIL Gas Limited is a testament to our commitment to reducing carbon emissions and embracing cleaner energy solutions. By transitioning to natural gas at our Jharsuguda operations—the largest aluminium plant in the world—we are taking a decisive step toward aligning our operations with India’s clean energy vision and our ESG goals. This partnership is a step forward in our journey to grow responsibly and create a greener future for the generations to come.”

While signing the agreement on behalf of the company, Sunil Gupta, Chief Operating Officer, Vedanta Aluminium, said, “Vedanta Aluminium’s partnership with GAIL exemplifies our ambition to lead the aluminium industry in reducing environmental impact. This agreement is in line with our efforts to reduce carbon emissions and enhance our production capabilities, contributing to India’s growing demand for aluminium in critical sectors. By embracing cleaner energy solutions, we aim to lead the way in creating a more sustainable future for the aluminium industry and our communities.”

The new cast house will operate with natural gas as its primary fuel, resulting in an estimated 62% reduction in carbon emissions monthly, equivalent to around 3,941 tCO₂e, and 47,292 tCO₂e annually, aligning with Vedanta Aluminium’s broader goal of sustainable, low-emission production.

Vedanta Aluminium’s products are verified by Environmental Product Declaration (EPD) International for demonstrating high sustainability standards, including billets, primary foundry alloys (PFA), wire rods and all categories of ingots. These products underwent a complete Life Cycle Assessment (LCA), performing well on the parameters of energy consumption, greenhouse gas emissions, water usage, and waste generation. This achievement serves as a testament to the company’s advanced manufacturing practices and innovative environmental efforts, ensuring sustainability throughout the entire aluminium value chain, from suppliers to customers. Additionally, the Aluminium Stewardship Initiative (ASI), has also certified the company’s plant at Jharsuguda, Odisha for showcasing high sustainability performance, a coveted indicator of sustainability worldwide. The company also holds multiple other certifications from the Bureau of Indian Standards (BIS), demonstrating its commitment to high quality standards.

Vedanta Aluminium, a business of Vedanta Limited, is India’s largest producer of aluminium, manufacturing more than half of India’s aluminium i.e., 2.37 million tonnes in FY24. It is a leader in value-added aluminium products that find critical applications in core industries. Vedanta Aluminium ranks 1st in the S&P Global Corporate Sustainability Assessment 2023 world rankings for the aluminium industry, a reflection of its leading sustainable development practices. With its world-class aluminium smelters, alumina refinery and power plants in India, the company fulfils its mission of spurring emerging applications of aluminium as the ‘Metal of the Future’ for a greener tomorrow.