Indian Oil Corp (IOCL) plans to invest Rs 5,215 crore in building 1 gigawatt (GW) of renewable energy capacity including standalone ground mounted solar projects or standalone onshore wind or wind-solar hybrid projects.
The company’s board approved the investment plan on Tuesday stating that the projects will be implemented by IOC’s proposed wholly owned subsidiary in the domain of low carbon, new, clean and green energy businesses. .
Additionally, the Board also approved equity investment of Rs 1,303.75 crore in the subsidiary.
Last month, the company proposed formation of a new subsidiary in the green energy segment in order to be able to meet its net-zero targets. The formation of the new subsidiary is subject to the approval of NITI Aayog, DIPAM and other government bodies.
The company targets to reach net-zero in its operational emissions by 2046.
The move comes amidst IOC’s diversification into renewable energy projects and electric vehicle segment. The company plans to offer EV charging facilities at 10,000 fuel stations and has also rolled out EV battery-swapping facilities in the national capital region. It has also signed a preliminary pact with Panasonic Group Company Panasonic Energy to form a joint venture for manufacturing cylindrical lithium-ion cells in the country.
