Larsen & Toubro (L&T), a leading infrastructure conglomerate, is setting its sights on expanding in green energy and leveraging advanced technologies to drive sustainable progress in the coming years, announced S.N. Subrahmanyan during the company's 79th annual general meeting on July 4.  

"The proactive investments in digital technology and Industrial Internet of Things (IoT) have proven invaluable, particularly during the pandemic," remarked Subrahmanyan in his inaugural address as the company's new Chairman & Managing Director. Highlighting L&T's early recognition of digitalisation's importance since 2016, he underscored the extensive deployment of diverse technologies across L&T's various sectors.  Subrahmanyan disclosed upcoming plans for L&T's adoption of cutting-edge technologies such as advanced sensors, embedded software, and robotics.

"We have digitally interconnected over 15,000 assets globally, integrating them into a central IoT platform. These initiatives enhance project execution efficiency, safety, sustainability, and cost-effectiveness," he elaborated.  Under L&T's 'For A Better World' vision, the company achieved significant milestones in the fiscal year 2023-24, including the electrification of 3,400 track kilometres of mass transit systems, commissioning 2.2 gigawatts of solar capacity, 6.2 GW of nuclear power, and 3.5 GW of hydropower. Moreover, L&T contributed to the construction of 14.8 million square feet of green buildings.  In alignment with its commitment to sustainability, L&T announced a $12 billion investment plan over the next five years, with a third earmarked for green energy initiatives.

This includes a substantial $2 billion allocation towards its inaugural green hydrogen project, aiming to establish 2-3 million tonnes of green hydrogen and ammonia capacity with an investment nearing $4 billion.  Subrahmanyan highlighted generative artificial intelligence as a transformative tool, enhancing operational efficiencies across L&T's project lifecycle. To foster in-house AI capabilities, L&T launched a collaborative platform connecting data scientists with domain and technology experts.  Reflecting on financial performance, Subrahmanyan noted that L&T outpaced the Nifty 50 growth index, achieving a remarkable 77% stock growth in 2023-24. He emphasised L&T's strategy of geographical diversification, with 62% of the company's order book sourced domestically, 35% from the Middle East, and the remainder from other global regions.  

"In pursuit of diversity and inclusivity, L&T aims to increase female employee participation to 10% by 2025-26, supported by dedicated career assistance schemes and women-friendly workplace initiatives," Subrahmanyan affirmed. He also highlighted L&T's extensive corporate social responsibility efforts, benefiting over 1.6 million individuals through initiatives like global sapling plantations and integrated community development programmes.  

Concluding, Subrahmanyan underscored L&T's involvement in landmark projects globally, including the Sudair Solar PV plant in Saudi Arabia, a gas compression facility in Algeria, and contributions to blue hydrogen infrastructure in The Netherlands. He acknowledged ongoing challenges, such as a severe shortage of skilled labour, exacerbated by factors like extreme weather and electoral disruptions.  S.N. Subrahmanyan assumed leadership of L&T from A.M. Naik last year, under whose tenure from 1999 to 2023, group revenues surged from Rs 50 billion to nearly Rs 1,830 billion , and market capitalisation grew from Rs 40 billion to Rs 3,740 billion, marking a compounded annual growth rate of nearly 20%. This period also saw L&T issue bonus shares four times to its shareholders. (Source: Moneycontrol)