Que: With a commitment to zero emissions by 2040, what strategies and technologies are being prioritised to achieve this target?

Ans: Essar’s Energy Transition (EET) is set to drive the creation of the UK’s leading energy transition hub in North West England. EET includes EET Fuels, the company’s refining and marketing business in the region, focusing on sustainable energy innovations and decarbonisation efforts across industries. The company plans to invest USD 1.2 billion over the next five years to decarbonise its refinery production processes, aiming for a 95 percent reduction in emissions by 2030 and positioning itself as the world’s first low-carbon process refinery.

Essar’s strategy centres around three key pillars: energy efficiency, carbon capture, and fuel switching. Energy efficiency improvements will be driven by high-impact projects designed to optimise process energy use. At the same time, Essar is advancing carbon capture technologies, specifically targeting its residue catalytic cracker units to capture and store CO2 emissions. A standout element of the strategy is the development of EET Hydrogen, one of the world’s first large-scale, low-carbon hydrogen production hubs. This initiative plays a pivotal role in the energy transition by enabling Essar to utilise low-carbon hydrogen in its operations, accelerating emissions reductions. Additionally, Essar has launched EET Hydrogen Power, Europe’s first hydrogen-ready combined heat and power plant (CHP), which will be built at the Stanlow refinery, further reinforcing the company’s commitment to a sustainable future.

Que: What opportunities and challenges do you foresee in scaling hydrogen-based solutions in the UK and globally?

Ans: Scaling hydrogen-based solutions presents a significant opportunity to accelerate the global transition to a low-carbon economy. Hydrogen offers a powerful pathway to decarbonise hard-to-abate industries, acting as a bridge to a low-carbon economy while we continue to expand renewable energy sources. However, to unlock its full potential, we must address significant challenges. High production costs, particularly for low-carbon hydrogen like blue hydrogen, remain a barrier. The development of the required infrastructure—such as pipelines, storage, and refuelling stations—needs substantial investment. Additionally, ensuring the scalability and efficiency of technologies such as carbon capture and storage (CCS) is crucial. Overcoming these challenges will require continued technological innovation, strong industry collaboration, and supportive government policies that promote investment and ensure long-term sustainability.

Que: Essar is building 1 MTPA of biofuel capacity across India and the UK. Could you provide insights into the timeline and focus areas of this initiative?

Ans: Essar aims to become the largest global producer of biofuels, with a product portfolio that spans Biodiesel, Hydrotreated Vegetable Oil (HVO), Sustainable Aviation Fuel (SAF), and Ethanol. This expansion aligns with Essar's vision of meeting the growing demand for cleaner energy sources. To support this initiative, Essar will leverage its extensive tankage network in Stanlow (UK) and across the European Union (EU), ensuring efficient distribution and accessibility of its biofuels products. The timeline for this project is designed to scale rapidly, addressing the rising global need for sustainable energy solutions while positioning Essar at the forefront of the biofuels market.

Que: Essar has focused on LNG and electric trucking ecosystems. Could you detail the integration of these systems and their anticipated impact on reducing CO2 emissions?

Ans: Essar’s investment in building a green mobility ecosystem is central to its strategy for reducing carbon emissions in India’s logistics sector, a significant contributor to the country’s air pollution. The company’s fleet of over 500 LNG-powered trucks provides a cleaner alternative to diesel vehicles. These LNG-powered trucks contribute to reducing CO2 emissions by up to 30 percent, SOx by up to 100 percent, NOx by up to 59 percent, and particulate matter by up to 91 percent. Essar is expanding rapidly, with plans to add 1,000 more LNG trucks by FY25. Over the past two years, GreenLine has successfully reduced carbon emissions by 8,449 tonnes. In addition to LNG, Essar is rolling out electric trucks for short-haul operations, aligning with the global shift towards electrification in transport. This hybrid approach not only facilitates short- to medium-term emissions reductions but also supports India’s long-term sustainability and decarbonisation objectives, contributing to a cleaner future for the nation.

Que: With INR 30,000 crore allocated for green hydrogen development in Jamnagar, what are the long-term impacts on India’s energy landscape?

Ans: Green hydrogen has the potential to transform India’s energy landscape by reducing its reliance on imported fossil fuels and accelerating the shift to clean energy. It will be crucial in decarbonising hard-to-electrify industries like steel, cement, and heavy transport. This development will also generate jobs in production, research, and infrastructure. With the right investments, India could emerge as a global leader in green hydrogen, supporting its goals of achieving net-zero emissions by 2070 and expanding renewable energy capacity.

Que: How is Essar collaborating with governments and local communities to accelerate the adoption of low-carbon solutions, and how do you view the role of platforms like IEW in shaping the future of the energy sector in India?

Ans: Essar’s strategy for accelerating the adoption of low-carbon solutions is built on strong collaboration with both governments and local communities. The company works closely with government agencies to ensure its green energy initiatives align with national sustainability and energy objectives, supporting the creation of policies that promote the transition to green energy. This includes advocating for tax incentives and subsidies to make clean energy projects more viable. Essar also engages with local communities, raising awareness about the benefits of clean energy and the opportunities generated by the green economy, such as new job creation. Platforms like India Energy Week (IEW) play a crucial role in this process by providing a valuable space for industry leaders, government officials, and other stakeholders to exchange insights, address challenges, and foster partnerships that will drive the adoption of low-carbon solutions and support India’s energy transition goals.