“BALCO is a strong proponent of leveraging next-generation technology to make its manufacturing process sustainable”, Abhijit Pati, CEO & Director of Bharat Aluminium Company Limited (BALCO)

AlCircle: What is the present situation of BALCO’s capacity and products manufactured?

Mr. Abhijit Pati: Bharat Aluminium Company Limited (BALCO) is India’s iconic aluminium producer. It is owned 49% by the Government of India and 51% by Vedanta Limited. BALCO is part of Vedanta’s Aluminium Business, a division of Vedanta Limited, which is India’s largest manufacturer of aluminium. BALCO operates a 0.57 million tonne per annum aluminium smelter in Korba, Chhattisgarh. With its world-class smelter and power plants, the company fulfils its mission of spurring emerging applications of aluminium as the ‘Metal of the Future’ for a greener tomorrow.

BALCO specializes in ‘Hot Rolled Products’ and has several firsts recorded under its name such as we have one of the earliest mills in the world imported from Russia, USA and Italy. We are the first to roll material for the aerospace industry in the country. We were first in the country to have the widest ‘Hot Rolling Mill’.

BALCO produces primary aluminium ingots that are re-melted to produce a variety of end products covering the entire spectrum of aluminium applications. We also supply Primary Foundry Alloys (PFA) to the automobile industry.

AlCircle:  What do you think are the key challenges confronted by the Indian Aluminium industry? What are the avenues to overcome these challenges to sustain the Aluminium segment?

Mr. Abhijit Pati: India has the 2nd largest aluminium production capacity (4.1 million tons/ annum) and is the 3rd largest aluminium producer in the world. We believe that domestic production needs to be encouraged for catering to increasing demand and to reduce import dependency.

BALCO has set benchmarks in the industry in terms of production, productivity, customer satisfaction and operational excellence. We are dedicated to making India self-reliant through leveraging the immense potential offered by the aluminium sector. The major challenges in the present situation faced by the industry include raw material security in terms of coal and power, cost competitiveness with respect to logistics vis-a-vis global players. The best way to alleviate the challenge faced by the ‘Indian Aluminium Industry’ is to classify this industry as a ‘Core Industry’, as recommended by NITI Aayog and Mines Ministry. Formulation of a National Aluminium Policy as suggested by NITI Aayog will be a step in the right direction.

AlCircle: What crucial role is technology playing in the Aluminium sector keeping in mind sustainability and low-carbon emissions?

Mr. Abhijit Pati: We are conscious of our responsibility towards building a stronger and sustainable future and, therefore, are actively exploring innovations that help reduce carbon footprint in the creation process. We are also dedicatedly driving the Environment, Social and Governance (ESG) dimensions of sustainability for building a greener tomorrow and, therefore, are actively undertaking initiatives to sensitize our employees towards Vedanta’s ESG goals.

BALCO is a strong proponent of leveraging next-generation technology to make its manufacturing process sustainable. BALCO has reduced power consumption in ‘potline 1’ at its smelter in Chhattisgarh to 12,862 KWH/MT which is at par with global standards. This potline has hence, the best performance amongst potlines in India and the Gulf countries in terms of specific power consumption and has reduced the carbon footprint to a great extent. BALCO has also brought down its specific water consumption today by 170% as compared to previous levels, which is also one of the lowest amongst its peers.

BALCO’s Power Plants have undertaken various innovative and improvement projects for energy conservation. In the year 2020-21 the specific water consumption of 1200 MW and 540 MW power plants was 2.1 and 1.95 cubic metre/MWh respectively. We also procured over 2.8 million Renewable Energy certificates in the year 2021. A solar plant of 33 KW has been established to promote renewable energy.

The plants have also ensured 100% utilization of ETP discharge water and implemented almost 8000 Quality Circle and Kaizen projects for operational excellence. Adhering to the policy of zero effluent discharge, several strong steps have been undertaken from the perspectives of modern and advanced technology.

AlCircle: What is the future of the aluminium segment with respect to the opportunities ahead?

BALCO has catered significantly to the aluminium requirements of the country in its journey of 56 years and is proud to be a part of the nation’s developmental journey. It is estimated that the demand for aluminium in India will double by the year 2025, hence the opportunities ahead are vast. As the country’s current per capita aluminium consumption is a meagre 2.5 kg against the world average of 11.7 kg, BALCO is dedicated to exploring the enormous scope to enhance aluminium usage in India. Moreover, in developed countries aluminium has over 3,000 applications whereas it is limited to only 300 applications in India, we are looking forward to tapping this enormous potential of aluminium consumption in India.

As part of the ‘Make in India’ initiative 25 Focus sectors have been identified, majority of these key focus sectors are major consumers of aluminium in India- Automobiles, Auto Components, Aviation, Construction, Defence Manufacturing, Electrical Machinery, Electronic System Design and Manufacturing, Ports, Railways, Renewable Energy, Roads and Highways, Space, Power etc. Hence, the future of aluminium in India is bright and promising.