Gautam Adani of India expressed his readiness to independently invest billions of dollars in the development of green hydrogen within India. This decision came after TotalEnergies SE postponed its plan to become a partner in the venture.

The French energy company had initially agreed to acquire a 25% stake in Adani New Industries, with the exact amount undisclosed. This move was intended to provide funding for green hydrogen projects in India, as the country, ranked as the world’s third-largest polluter, aimed to reduce carbon emissions. However, Total suspended its investment in February due to allegations of fraud against the Adani Group made by a short seller. The conglomerate denied these charges.

Adani's initial foray into green hydrogen involves a $5 billion integrated facility. This facility will encompass manufacturing units for wind turbines and solar panels, as well as renewable energy generation capacity. The project serves as a starting point for the group's larger plan, which involves investing over $50 billion by the end of the decade to advance the development of this fuel.

According to Jugeshinder Singh, the Chief Financial Officer at Adani Enterprises, the construction of the facility will not be hindered by Total's equity. During a recent investor meeting, he stated, "We are proceeding with the project as planned and at the same pace."

Singh's remarks could indicate that the group is regaining the support of investors and lenders following a period of uncertainty due to the allegations made by the short seller.

Prominent figures like Adani and his competitor Mukesh Ambani are placing their bets on green hydrogen as Prime Minister Narendra Modi strives to establish India as a leader in this emerging technology. Green hydrogen is being considered as a substitute for fossil fuels in various sectors, ranging from steel production to oil refining and fertilizer manufacturing. India's goal is to achieve a yearly production of 5 million tons of green hydrogen by 2030, catering to both domestic demand and potential export markets.

Total has previously invested in four Adani companies. Singh clarified that the memorandum of understanding regarding hydrogen remains intact. He added, "If they show interest in a fifth investment, we will certainly welcome it." However, he emphasized that this doesn't necessarily imply a joint investment decision.

Also read: 

Taylormade Renewables gets Rs 1.59 bn order from Andhra Pradesh                            

India revamping energy codes for sustainable buildings