Ambuja ACC First Indian Cement Firms with Net Zero Nod

Ambuja Cements and ACC have become the first Indian cement companies to have their net-zero emissions targets officially validated by the Science Based Targets initiative (SBTi). This recognition cements their status as sectoral pioneers in aligning with global climate standards and accelerating India’s low-carbon future.

The SBTi’s Corporate Net-Zero Standard is globally acknowledged as the most rigorous framework for validating corporate climate commitments. It demands measurable, science-aligned emissions reductions consistent with limiting global temperature rise to 1.5°C under the Paris Agreement. The endorsement places Ambuja Cements and ACC in an elite cohort of global cement players — alongside Cemex, Heidelberg, and Holcim — and distinguishes them as the first of such scale from India. The companies’ validated targets focus on deep decarbonisation strategies across Scope 1, 2, and 3 emissions. They include commitments to directly cut emissions from operations, increase reliance on renewable energy, improve thermal substitution rates through alternative fuels and raw materials (AFR), and incorporate cutting-edge green technologies. The SBTi approval highlights the firms’ readiness to not only set ambitious targets but to also operationalise them through practical, systemic action.

Officials from the cement businesses under the diversified conglomerate highlighted that this recognition reaffirms their pledge to embed sustainability at the core of industrial growth. The move is being described internally as a mandate for transformation, not a marketing milestone. Both Ambuja and ACC are accelerating a slew of initiatives to meet their net-zero ambitions. Ambuja has become the first global cement company to join the Alliance for Industry Decarbonization, a collaborative platform led by the International Renewable Energy Agency (IRENA), and is actively participating in the World Economic Forum’s Transitioning Industrial Clusters initiative. These collaborations are expected to fast-track sectoral innovation and infrastructure alignment with climate-resilient goals.

In terms of renewable energy, the two companies have outlined concrete transition plans. Ambuja alone aims to meet 60% of its power needs through green sources by FY2028. This includes deploying over 1 GW of wind and solar energy and 376 MW of Waste Heat Recovery Systems (WHRS). Of these, 299 MW of solar and 186 MW of WHRS are already commissioned. Green hydrogen also features prominently in their long-term clean energy blueprint. The larger strategic push is being backed by the parent group’s USD 100 billion green transition roadmap, which includes scaling renewable capacity to 50 GW by 2030 and establishing a robust integrated green hydrogen platform. These ecosystem synergies are designed to equip Ambuja and ACC with shared capabilities, allowing them to significantly reduce fossil fuel dependency and deliver emission reduction outcomes faster and at scale.

Experts in the field of climate policy and green infrastructure applaud the development as a strong signal to Indian industry. With cement production being one of the most carbon-intensive sectors globally, such leadership from homegrown entities is expected to set benchmarks for others to follow. Sustainability analysts note that beyond target-setting, the SBTi validation reflects a credible roadmap for implementation. It places an onus on continuous disclosure, third-party audits, and performance-linked accountability. For investors and ESG-conscious stakeholders, this endorsement reduces transition risk and aligns with international expectations around responsible business conduct.

Internally, the companies have activated cross-functional teams to ensure that climate goals are deeply integrated into everyday operations. Officials confirmed that the approach goes beyond compliance and focuses on reshaping the supply chain, product development, and plant operations to prioritise circularity, energy efficiency, and climate resilience. This milestone comes amid growing global momentum for industrial decarbonisation. The European Union’s Carbon Border Adjustment Mechanism (CBAM) and increasing investor pressure on sustainability disclosure are already reshaping how emerging market corporations define competitiveness. By aligning early with SBTi, Ambuja and ACC aim to future-proof their businesses while contributing meaningfully to India’s broader Nationally Determined Contributions (NDCs) under the Paris framework.

While the road ahead includes navigating regulatory frameworks, evolving technologies, and capital-intensive transitions, the companies are positioning themselves as catalysts for change rather than reluctant participants. Their emphasis on transparency, renewable substitution, and systemic change makes the SBTi recognition a foundational step toward long-term sustainability. The cement industry contributes roughly 7% to global CO2 emissions. As India’s urbanisation accelerates, balancing infrastructure growth with climate commitments is becoming central to policy discourse. With validated net-zero targets, Ambuja and ACC are redefining what is possible within this complex context.

The leadership demonstrated through this validation underscores that Indian industry can lead from the front in solving the climate challenge. It sends a compelling message that scale, legacy, and sustainability can co-exist when backed by intent, innovation, and institutional alignment.

Ambuja ACC First Indian Cement Firms with Net Zero Nod