RSWM Limited , a leading textile manufacturer and the flagship company of LNJ Bhilwara Group, has taken a significant step towards sustainability by signing an agreement with Adani Energy Solutions Ltd. (AESL) for the supply of 60MW of renewable energy. This partnership marks a crucial milestone in RSWM's commitment to environmental responsibility and operational efficiency.

Key Highlights of the Agreement

Impact on RSWM's Sustainability Goals

The collaboration between RSWM and AESL is set to have a substantial impact on RSWM's energy profile and sustainability efforts:

1. Increased Renewable Energy Usage: The agreement will boost RSWM's renewable energy contribution from the current 33% to 70% of its total energy requirements.
2. Carbon Footprint Reduction: By significantly increasing its reliance on green power, RSWM aims to reduce its carbon footprint substantially.
3. Long-term Energy Security: The partnership enhances RSWM's long-term energy security, ensuring a stable and sustainable power supply for its operations.
4. Operational Efficiency: The move is expected to improve RSWM's operational efficiency by providing a reliable and clean energy source.

AESL's Expanding Portfolio

Adani Energy Solutions Ltd., as part of this agreement, will manage the entire green power value chain for RSWM's additional power requirements. This aligns with AESL's broader strategy in the Commercial & Industrial (C&I) sector:

• AESL is targeting a C&I portfolio of 7,000MW over the next five years.
• The company aims to serve bulk electricity users with customized energy solutions, focusing on reliable, competitively priced, and increasingly green power.

Leadership Perspectives

Mr. Riju Jhunjhunwala, Chairman, Managing Director and CEO of RSWM Ltd, emphasized the company's vision: "This achievement underscores our long-term vision to align growth with sustainability and reinforce our position as a forward-looking industrial leader."

Mr. Kandarp Patel, CEO of Adani Energy Solutions Ltd, highlighted the partnership's significance: "This collaboration is a testament to the scalability and impact of renewable power in strengthening industrial growth while ensuring sustainability."

Conclusion

The partnership between RSWM and AESL represents a significant step towards sustainable industrial practices in India's textile sector. By sourcing 70% of its total energy requirement from renewable sources, RSWM is setting a benchmark well above the national average of 31% clean energy mix. This initiative not only contributes to RSWM's sustainability goals but also aligns with broader national and global efforts to transition towards cleaner energy sources in industrial operations.

RSWM Limited , a prominent player in the textile industry, has taken a significant step towards sustainable energy adoption by entering into strategic investment agreements with two Adani Group companies. The deals, signed with Adani Solar Energy Jodhpur Six Limited (ASEJo6L) and Adani Renewable Energy Forty One Limited (ARE41L), aim to secure a total of 60 MW of solar-wind hybrid power for RSWM's operations.

Key Highlights of the Agreements

• Renewable Energy Capacity: RSWM has secured 60 MW of solar-wind hybrid power, a substantial increase from the initially planned 25 MW.
• Investment Structure: RSWM will subscribe to a minimum of 26% of the proportionate equity share capital related to the projects of both ASEJo6L and ARE41L.
• Compliance: The investment is designed to meet the Minimum Captive Shareholding requirements as per the Captive Rules.

Investment Details

Implications and Outlook

This move by RSWM aligns with the growing trend of industrial consumers opting for green energy solutions. By partnering with Adani Group's renewable energy arms, RSWM is positioning itself to:

1. Reduce its carbon footprint
2. Potentially lower long-term energy costs
3. Comply with evolving environmental regulations

The investment in these projects also demonstrates RSWM's commitment to sustainable business practices, which may enhance its appeal to environmentally conscious investors and customers.

While the financial details of the investment have not been disclosed, the strategic nature of these agreements suggests a significant long-term commitment to renewable energy by RSWM.

As the renewable energy sector in India continues to grow, such partnerships between industry leaders and green energy providers are likely to become more common, driving the country's transition towards a more sustainable energy future.

Note: The investment agreements do not fall under related party transactions, and RSWM currently holds no shares in the Adani entities involved.