Achim Michael Braun
Chairman
Dear Shareholders,
As countries pledge or renew their commitments to attaining a
carbon-neutral future in the long-term, it has become imperative to energise their efforts
at scale with the twin accelerators of sustainability and digitalisation. We are pleased
to provide you with an update on Hitachi Energy India Limited's progress and the exciting
opportunities that lie ahead in India's renewable energy sector.
The objective of creating pathways to a sustainable energy future has
led to considerable progress in the renewable energy sector. Conducive policies and
ecosystem, favorable schemes and incentives, and country-level initiatives clearly
indicate India's ambition to be among the global leaders in renewable energy production.
Companies such as Hitachi Energy India Limited, which have a long legacy of partnering the
country's renewable energy ambitions, are well-positioned to participate in and empower
this transition. With our deep expertise in renewable technologies, innovative products
and solutions enabled by our strong local manufacturing footprint and capabilities, we can
actively support this journey by leveraging renewables such as wind, hydro and solar
power.
While the goal is to accelerate the shift to non-fossil fuel-based
electricity, digital transformation has become equally critical to manage the power system
transition challenges. This includes addressing on priority the increased complexity and
reduction of CO2 emissions while ensuring highest efficiency, reliability,
flexibility, and availability at scale. With rapid expansion and electrification of the
transportation, industry and buildings sectors, the need for sustainable, secure and
reliable power supply has become imperative.
Strategically positioned
With the nation moving towards achieving its net-zero goal for a
sustainable future, Hitachi Energy India Limited is strategically positioned to seize
significant opportunities in India's evolving energy landscape. Our expertise and
commitment to innovation and delivering across the value chain place us at the forefront
of key growth areas including renewable energy, data center or railway electrification.
In the renewable energy sector, the Company's comprehensive range of
digitally-enabled solutions, including energy management automation, evacuation systems,
and transformers position it well to capitalise on the momentum towards renewable energy.
India's renewable energy market is led by solar and wind, which are already charting an
exponential growth trajectory. As the capacity multiplies, the Company's strong market
presence and extensive capabilities uniquely position us to support the country's
ambitious renewable energy targets.
Similarly, India's data center capacity in the top seven cities is
expected to exceed 1 GW, a three-fold increase in four years by 2024. The Company's
offerings, such as substations, GIS, automation and transformers, are well-aligned with
the demand from data center operators for reliable power connection and eco-efficient
solutions.
Being a long-term partner of the Indian Railways, the Company can
provide the technology, products and services necessary to support massive plans to expand
the rail network, modernise it to run high-speed trains, and overhaul old lines along with
electrification.
In addition, Hitachi Energy India Limited's extensive installed base in
India provides a solid foundation to expand its service portfolio. With offerings ranging
from digitalised classic services to advanced services and servitised solutions, the
Company aims to maintain the steady pace of increase in its share of service orders.
Through its manufacturing muscle, innovative solutions, demonstrated
success and expertise, Hitachi Energy India Limited can tap into new markets and drive
growth. In line with its approach to ‘make in India for India and the world', Hitachi
Energy India Limited is working to expand its export footprint, which currently
contributes to approximately 25% of the order book.
Surpassing targets
Four years since Hitachi Energy India Limited's standalone operations,
the Company is proud to report that for the FY 2023-24 the total orders secured were worth
H 5,536.3 Crores. The Company managed to achieve this despite the large-scale disruption
caused by the pandemic, supply chain limitations, global supply shocks due to geopolitical
challenges, and contractions in international trade.
Sustainability at heart
We greatly value the role of our employees in driving the success of
Hitachi Energy India Limited. That's why our focus is on fostering a diverse and inclusive
culture that offers ample opportunities for career growth. Our innovative employer
branding programs help us continue to attract top talent. The Company has also created a
culture of lifelong learning and adaptation, crucial in today's dynamic and complex market
environment.
Safety, integrity, and quality have always been our license to operate,
and the Company has continued to prioritise them by conducting regular training and
awareness programs to create a secure and supportive environment for all.
The Company's periodic energy assessments and efficiency
transformations are pivotal to stepping up the pace towards our commitment to achieving
carbon-neutrality. Since the inception of the Sustainability 2030 program, the Company has
achieved 88% reduction in carbon emission. Achieving 100% fossil-free electricity
consumption in our facilities has been another highlight in our sustainability journey.
The Company's environment-focused initiatives such as smart metering and multiple
sustainability projects across locations are also making an impact.
Innovation and collaboration
By exploring greater synergies and collaborative partnerships with
industry and technology implementation partners, we are continually innovating and
co-creating next-generation eco-efficient solutions that will address future challenges
and accelerate the power system ramp-up in the transition towards a carbon-neutral energy
system. The Company is also supporting academia by creating a social innovation platform
for students, researchers, faculties and industries to ideate through hackathons and joint
projects.
In conclusion
Hitachi Energy India Limited remains committed to shaping the future of
the energy sector, delivering sustainable, digital-led solutions and creating long-term
value for our stakeholders. The Company is well poised to harness opportunities in key
growth areas through a strong foundation, strategic focus, close collaboration with
stakeholders and relentless innovation.
We have deep gratitude towards our esteemed shareholders, investors,
and dedicated employees for their unwavering support, trust and commitment. These have
been instrumental in propelling Hitachi Energy India Limited's journey towards a
sustainable and prosperous future.
As we continue to work towards contributing to India's growth story, we
will lean heavily on our industry-leading experience, deep domain expertise, and
pioneering technologies.
Together with our stakeholders, we look forward to accelerating the
global energy transition and ensuring a sustainable, safe and secure energy future for
all.
Sincerely,
for Hitachi Energy India Limited
| Achim Michael Braun |
N. Venu |
| Chairman |
MD & CEO |