Indian refiner Bharat Petroleum Corp plans to invest $18.16 billion over five years to grow its oil business and expand its renewable energy portfolio as it aims for a 2040 net zero goal, Chairman G Krishnakumar said on Monday.
Companies in India, the world's third largest emitter of greenhouse gases, are investing billions of dollars to cut their emissions, but they are also investing in fossil fuel as India's economic expansion is expected to drive petrochemical and fuel demand.
The nation has set itself a target to reach net zero by 2070. Many Western countries have set a mid-century goal to meet net zero, although political pressure has put some of their decarbonization plans at risk.
"The company has set a planned capex outlay of around 1.5 trillion rupees ($18.16 billion) in the next five years, which will enable BPCL to create long-term value for our stakeholders while preserving our planet for future generations," Krishnakumar told an annual shareholders meeting.
He did not specify how much would be spent on core oil business versus clean fuel projects.
Krishnakumar, however, said BPCL would invest 1 trillion rupees between now and 2040 for projects including green hydrogen, carbon capture, utilization, and storage (CCUS) and on improving energy efficiency to cut emissions.
The company hopes to own 1 gigawatt (GW) of renewable energy capacity by 2025 and 10 GW by 2040.
