The two companies have signed a 25-year power purchase agreement (PPA) for a hybrid wind-solar power project in Gujarat

APM Terminals Pipavav (Gujarat Pipavav Port), one of the gateway ports in Western India, partnered with CleanMax, one of Asia’s renewable energy providers for the commercial and industrial (C&I) sector and a Brookfield-backed company.

The two companies have signed a 25-year power purchase agreement (PPA) for a hybrid wind-solar power project in Gujarat. This strategic alliance represents APM Terminals Pipavav’s mission to fulfil its industry-leading commitment to achieve full net-zero status by 2040, as well as to reduce its scope 1 and 2 emissions by 65 per cent by 2030, relative to 2022 levels, said the company.

APM Terminals Pipavav said that it has made the deliberate and comprehensive decision to pursue net-zero operations, acting in the best interests of its stakeholders, including its employees, customers, the environment, and its business operations. Consequently, APM Terminals Pipavav has emerged as a catalyst within the port industry, encouraging other industry participants to adopt similar environmentally responsible practices.

The project, featuring a total capacity of 3.50 megawatt (MW) wind and 1.06 MWp solar under the third-party open access model, was implemented in two phases: the first in January 2022 (2 MW wind and 0.50 MWp solar) and the second in September 2024 (1.50 MW wind and 0.56 MWp solar). This hybrid energy solution will deliver approximately 54 lakh kWh/units of electricity annually to APM Terminals Pipavav’s port operations in Amreli, Gujarat, helping avoid about 3,822 metric tonnes of CO2 emissions annually – equivalent to planting over 2.24 lakh trees each year. By adopting this clean energy approach, APM Terminals Pipavav said that it is not only reducing its carbon footprint but also aligning with global sustainability targets.

Girish Aggarwal, Managing Director of APM Terminals Pipavav (GPPL), said, “This partnership with CleanMax demonstrates our decarbonization efforts for the maritime industry. We are the first company in our industry to have our climate targets officially validated by the Science Based Targets initiative (SBTi), a globally recognized authority on climate responsibility. The association with CleanMax ensures we not only meet our renewable energy targets but also contribute meaningfully to India’s larger environmental goals. This further adds to our commitment to achieve full net-zero status by 2040.”

By partnering with CleanMax, APM Terminals Pipavav claimed that it is setting a strong example for other ports and industries across the country to follow in the journey towards a cleaner, greener future. This collaboration demonstrates how the maritime industry can play a crucial role in combating climate change and promoting sustainable development.

Viswajit Srinivasan, a senior banker and sustainable finance expert of Indian origin based out of UK on APM Terminals CleanMax is a leading renewable energy provider in the C&I segment in India and APM Terminals Pipavav’s plans to achieve net zero by 2040 is noteworthy. As per ‘Harit Sagar’ Green Port guidelines issued by the Ministry of Ports, Shipping & Waterways, ports are required to promote use of renewable energy, reduce air emissions, optimize water usage, improve solid waste management and reduce carbon emissions/ton of cargo handled by 30 per cent by the year 2030 and 70 per cent by the year 2047. It is expected that in line with the Maritime India Vision 2030, the proportion of renewable energy used will be in excess of 60 per cent across major ports by 2030. This initiative by APM Terminals Pipavav is hence a step in the right direction.