Hindustan Zinc launches low-carbon zinc brand, invests Rs 3,000 cr for renewable power

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Hindustan Zinc on July 24 launched 'EcoZen' a low carbon zinc category, wherein the key raw material is produced of round-the-clock renewable energy, as the Vedanta group company looks to diversify its portfolio with green products.

"Commercial production of the low-carbon zinc has begun and we expect the product to hit the market next month," Hindustan Zinc Chief Executive Officer Arun Misra said during the launch. According to metals and mining firms, the company touts the new product as having a carbon footprint of less than 1 tonne of carbon equivalent per tonne of zinc product, which is about 75 percent lower than the global average.

The company has invested Rs 3,000 crore for the renewable power, Misra said during the launch.

Misra flagged that the company is already in talks with the primary steel makers in India to consider long-term agreements for its green zinc. The company said that it expects its newest offering will lead to a total carbon emission avoidance of about 400 kgs across its value chain in galvanizing one tonne of steel.

Currently, the EcoZen forms about 8-10 percent of the company's production which translates to 60,000 -64,000 tonnes per tear. "We look to increase the production to 30-35 percent next year," Misra added.

Recently,  the company signed power delivery agreements with Serentica to secure 450 megawatt (MW) of round-the-clock renewable energy. The company looks to expand it to 600 MW.