Bradken Invests in Solar and Wind Power Generation SPVs of Continuum Green Energy Group

Switching 83% of the power used at the Coimbatore facility in India to renewable electricity

Tokyo, March 13, 2024 –Mining equipment parts manufacturer Bradken Pty Ltd. (headquarters: New South Wales, Australia; CEO: Sean Winstone; “Bradken”), a wholly owned subsidiary of Hitachi Construction Machinery Co., Ltd. (TSE: 6305 President and Executive Officer: Masafumi Senzaki; “Hitachi Construction Machinery”), invested 0.49% and 0.19% in Dalavaipuram Renewables Private Limited and Watsun Infrabuild Private Limited respectively, SPV (Special Purpose Vehicle) of the solar and wind power generating Continuum Green Energy (India) Group (“Continuum”), for the purpose of reducing CO2 emissions at its Coimbatore facility in India. Bradken will begin using electricity generated from solar and wind power in April 2024.

As a result, approximately 13.8 GWh per year, corresponding to around 47% of the electricity consumption at the Coimbatore facility, will be covered by the solar and wind power generation supplied by Continuum. Together with the 36% of renewable electricity which was previously introduced and includes the electricity generated by solar power from the photovoltaic specialist Enerparc AG Group, which was externally announced in December 2022, the ratio of renewable electricity across the entire Coimbatore facility will increase up to the total contracted quantity of 83% and reduce annual CO2 emissions by approximately 19,200 tonnes.

Continuum is an India-focused renewable energy platform, with majority of its assets focused on Commercial & Industrial (C&I) consumers. Continuum specializes in the Indian renewable energy business and has worked with over 175 companies to date.

Accompanying its economic growth, demand for electric power in India is expected to grow at an annual average rate of around 4–5%* until 2030, but chronic electricity shortages often lead to disrupted power supplies. In addition, air pollution caused by coal-fired power generation and automobile exhaust emissions is a major problem. Under these circumstances, the Indian government has set a goal of 60% of the total power generating capacity from renewable sources, with plans to introduce 450 GW (510 GW if 60 GW of hydroelectric power is included) by 2030 to promote introduction of renewable energy.
* Forecast by Institute for Energy Economics and Financial Analysis (IEEFA) and JMK Research

The Hitachi Construction Machinery Group has set a goal of reducing CO2 emissions in its production process by 45% (compared to FY2010 levels) by FY2030. In addition, the Group is aiming to achieve carbon neutrality across its entire value chain by 2050 and will continue to promote environmentally conscious manufacturing at all foreign and domestic production sites and Group companies.

Overview of Bradken’s Coimbatore Works in India

Overview of Continuum

Related Information

About Hitachi Construction Machinery Co., Ltd.

Hitachi Construction Machinery Co., Ltd. (TSE: 6305), headquartered in Tokyo, Japan, is a construction machinery manufacturer which globally deploys development, manufacturing, sales, and service businesses for its hydraulic excavators, wheel loaders, compaction equipment, and mining machinery, etc. In addition to its new machinery business, Hitachi Construction Machinery is expanding its "value chain businesses" of parts and services, remanufacturing (parts and machines), rentals, and used equipment as it aims to grow together with customers as a true solutions provider that offers innovative solutions to customers. With roughly 25,000 employees around the world, the consolidated sales revenue for Hitachi Construction Machinery was ¥1,279.5 billion for fiscal year 2022 (ended March 2023) with an overseas sales revenue ratio of 82%. For more details, please see the company's website.

Information contained in this news release is current as of the date of the press announcement, but may be subject to change without prior notice.