L&T's Focus on Renewable Energy and Infrastructure Development Across the Globe
Key Ideas
- L&T sees promising prospects in transmission, distribution, and grid stability projects, especially with the growth of wind and solar energy.
- The company anticipates robust order flow from the Middle East, focusing on essential projects like gas and green energy despite oil price fluctuations.
- L&T is heavily involved in green hydrogen projects, being the lowest bidder for the first green hydrogen project for IOCL in Panipat, utilizing renewable energy and electrolyzers.
- The company is optimistic about the potential of green ammonia applications, expecting the export market to develop within the next 2-3 years, with India potentially becoming a supplier hub.
Subramanian Sarma, the deputy MD of Larsen & Toubro, expressed optimism about the company's future endeavors in renewable energy and infrastructure development. Despite short-term oil price fluctuations, L&T foresees a steady order flow from the Middle East for essential projects like gas and green energy. The company is actively engaged in transmission, distribution, and grid stability projects, leveraging the growth of wind and solar energy. Additionally, L&T is focusing on green hydrogen projects, having secured bids for green hydrogen ventures, including the first project for IOCL in Panipat. Sarma highlighted the company's interest in green ammonia applications, anticipating the development of an export market within the next few years, potentially positioning India as a key supplier hub. Furthermore, L&T is looking towards the Far East, particularly Korea and Japan, for business opportunities, with a strong emphasis on the marine industry ahead of the International Maritime Organization's Carbon Tax in 2028. Despite challenges such as the Thane-Bhayender project's tender annulment and the Hyderabad metro's ongoing losses, L&T remains committed to resolving issues and pursuing growth opportunities in the global market.
Topics
Middle East
Renewable Energy
Economic Outlook
Global Market
Infrastructure Development
Marine Industry
Export Market
Green Ammonia
Real Estate
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