Hindustan Zinc Launches Low-Carbon Zinc ‘EcoZen’ In Sustainability Pivot
The new offering can reduce 400 kg of carbon emissions while galvanising one tonne of steel, it said.
Hindustan Zinc Ltd. has launched a low-carbon version of zinc, titled ‘EcoZen’, as it pivots towards sustainability.
The EcoZen zinc has a carbon footprint of less than 1 tonne of carbon equivalent per tonne of zinc produced, with a global warming potential about 75% lower than the global average, according to the company. The new offering, it said, can reduce 400 kg of carbon emissions while galvanising one tonne of steel.
"If your product cannot address the power of sustainability, the product has no future. So, the sustainability segment is bound to show robust growth," Arun Misra, the company's chief executive officer, told NDTV Profit.
He said the move is in line with the company’s aim to reduce carbon emissions by 50% by 2030 and improve operational efficiency. The zinc is also resistant to corrosion, improving the longevity of products, according to the company.
'Fall In Zinc Prices Temporary'
Misra expressed concern about falling zinc prices but expects it to be temporary.
“I had thought zinc prices would be touching $3,000 by year-end, but it looks like between $2,600 and $2,700 per tonne only, which will be a letdown," he said. However, he is optimistic that the new government in the US will maintain impetus on infrastructure.
He also said there's no clarity on demand from China, and concerns in the Middle East and the Russia-Ukraine war remain intact. “All these are casting doubts on the overall sustainability of economic growth, so we'll be focused more on domestic markets.”
In terms of the impact of a cut in basic custom duty for metals such as gold and silver, announced in this year's Union budget, Misra said some impact will be seen on silver, and in that case, the company will cut operational costs to “make up for it.”
Clarifying its demerger with Vedanta Ltd., Misra said “the base metal company created after demerger will look after Konkala Copper mines, South Africa and zinc assets overseas, while in India, Hindustan Zinc will grow in zinc, lead and silver and will add new critical minerals being auctioned by the government."
Renewable Energy Investments
Misra said that the company has invested over Rs 3,000 crore in renewable energy, largely in solar power, along with its group company partner Serentica.
Hindustan Zinc had recently signed power delivery agreements with Serentica to secure 450 MW of round-the-clock renewable energy. The company looks to ramp up the capacity to 600 MW now. It also aims to cut its dependence on thermal power.
The company, Misra said, is about three times water positive and relies entirely on treated water for its operations. “We're doing sewage treatment in cities such as Udaipur and take (treated) water for industrial uses, and not from lakes."
