ArcelorMittal’s 1GW Green Power Project Begins Supplying Clean Energy to AM/NS Steel Plant

ArcelorMittal’s $700 million Andhra Pradesh green power project has finally commenced supplying green power to AM/NS India-owned Hazira steel plant in Gujarat owned by AM/NS India. The 1GW hybrid solar and wind park is the company’s biggest ever renewable energy investment and will reduce the carbon footprint of the plant by 1.5 million tonnes each year.

The green power will fuel over 20% of the steelmaker’s power requirements and help it achieve its objective of reducing the carbon intensity by 20% by 2030 based on 2021. The facility is owned and operated by AM/NS India, a 60:40 joint venture between ArcelorMittal and Nippon Steel.

Built by ArcelorMittal’s wholly owned subsidiary AM Green Energy, the scheme is a mix of 1GW solar and wind power and third-party hydro-pumped storage – being piloted and coming online by June 2025. Operational, the system will provide at least 250MW of baseload power, which is central to the ongoing production of steel.

The project size is huge. The solar power plant takes up 2,400 acres – about the size of some 1,700 American football fields – and the wind park occupies 700 acres. With 1.5 million solar panels and 91 wind turbines generating electricity at full capacity, the plant will generate 2.5 billion kilowatt-hours of electricity every year, sufficient to illuminate some 10 million Indian homes.

“Entering the business of generating renewable energy is a new and exciting adventure for ArcelorMittal,” says Aditya Mittal, CEO of ArcelorMittal. “This project not only gives us clean power to feed our steel-making process but also drives our worldwide decarbonisation strategy. To finish a project of this scale in 18 months – one of the fastest of its type in India – is an outstanding success.”

India is among ArcelorMittal’s wider pushes into renewable energy with 2.3GW of renewable projects currently underway in India, Brazil, and Argentina. The initiatives are the centerpiece of the company’s growth strategy to 2027, set to contribute $1.9 billion of incremental annual EBITDA by 2027.