The crisis facing billionaire Gautam Adani has revealed a potential pitfall in India’s ambitious plan to reduce emissions: its reliance on the country’s most affluent and powerful private citizens.
Led by Adani’s $70 billion pledged investment in green energy infrastructure, India’s tycoons have so far committed to spend far more than the government on the energy transition. Reliance Industries’s Mukesh Ambani and JSW Group’s Sajjan Jindal, along with energy giants such as Tata Group, have also rushed to champion the shift to a cleaner future.
But Hindenburg Research’s allegations about companies linked to Adani Group have raised doubt about the firm’s future, including its massive green energy investment. It’s also created problems for Adani Green, the group’s renewable energy arm. The storm engulfing Asia’s now second-richest man also threatens to spread to the other conglomerates; Hindenburg Research has raised questions about the country’s corporate governance.