The Hinduja Group is making a big push into clean energy with a plan to triple its renewable portfolio from 3 gigawatts (GW) to more than 10 GW by 2030, which will see the group spend as much as $3 billion to $4 billion on capital expenditure, a senior executive of the group told Moneycontrol in an interaction. The investment plans highlight the group’s intent to make energy a core pillar of its future strategy alongside automotive, financial services, and digital.
“We entered the renewable energy sector with a long-term commitment to be an integral part of India’s vision to be a leader in sustainability,” Amit Saharia, Group President – Strategy, Hinduja Group, told Moneycontrol.
“Energy is a very strategic space for the Group, on par with automotive, financial services and digital, where the Group plans to have greater emphasis in terms of investments and capability development going forward.”
The Hinduja group already has a pan-Indian presence in renewable power through its subsidiary Hinduja Renewables, which operates more than 40 plants across Tamil Nadu, Maharashtra, Rajasthan, Delhi-NCR, Gujarat, Uttarakhand, and Karnataka. Its current portfolio of 3 GW is backed by long-term power purchase agreements (PPAs) with central agencies such as SECI (Solar Energy Corporation of India) and NTPC.
Saharia highlighted that these contracts ensure stable and predictable revenue streams with high payment visibility and low receivable days of around 15. He also pointed out that the Hinduja group has built a fully integrated platform with in-house engineering, procurement, and construction (EPC) as well as operations and maintenance (O&M) capabilities, which he said significantly enhances asset quality and operational performance.
10 GW portfolio target
Looking ahead, the group intends to scale its portfolio while keeping a diversified mix of assets.
“Utility is expected to comprise 70–75 percent of the portfolio, C&I (commercial and industrial) around 15–20 percent and pumped storage around 10 percent by 2030,” Saharia said.
This balance will hedge risks across the utility, merchant, and corporate segments while preparing the group to compete in more complex renewable tenders, explained Saharia.
The company’s approach is what Saharia described as cautious yet optimistic, pursuing growth but with disciplined project selection.
“Internal hurdle rate has been set for each project to maximise ROI. Robust risk management processes are in place to minimise penalties and delays. We will only invest in projects which meet our internal thresholds,” he said.
Betting on hybrids and storage
A large share of the incremental capacity will come from hybrid projects, which combine solar, wind, and storage.
“We expect over 75 percent of incremental capacity to be in FDRE/RTC,” Saharia said, referring to firm and dispatchable renewable energy (FDRE) and round-the-clock (RTC) supply contracts.
These formats are emerging as the future of renewables in India, as they integrate batteries or pumped hydro storage to guarantee 24/7 clean power, rather than intermittent supply.
On storage, the group sees both battery energy storage systems (BESS) and pumped hydro as critical.
“Battery storage is expected to play a pivotal role going forward as more and more complex bids emerge,” Saharia said. He pointed out that battery prices have sharply declined, and with the government providing up to 40 percent viability gap funding (VGF), BESS projects are becoming viable.
“Hinduja Renewables is looking at BESS as a strategic area from a future growth perspective and will be bidding for tenders using storage in some form,” he said.
At the same time, the company is exploring pumped hydro storage projects, which offer long-duration energy storage at lower costs compared to batteries. “We have shortlisted a few sites and are in discussions with state governments,” Saharia noted.
Linking energy with mobility
As part of its plans to scale up its renewable energy business, the Hindujas are also leveraging their automotive business, including Ashok Leyland and Switch Mobility, leveraging the synergies between energy and mobility.
Under this plan Hinduja Renewables will supply renewable energy, Ashok Leyland and Switch will manufacture e-trucks, e-buses and e-LCVs, OHM Global Mobility will provide e-mobility as a service, and Gulf Oil will supply EV chargers through its acquisitions, explained Saharia.
Global foray
While India will remain the primary market, the group is also scanning overseas opportunities.
“Beyond India, we are also looking at geographies such as UK, Spain, Egypt, UAE, Saudi Arabia, Oman and Morocco, although on an opportunistic basis,” Saharia said. The group will weigh renewable uptake, policy frameworks, competitive intensity, and its existing presence in these markets before committing capital.
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