News Renewable Energy

ONGC ties up with Greenko to produce green hydrogen

NEW DELHI : State-run ONGC on Tuesday signed a memorandum of understanding with Greenko Group, to jointly pursue opportunities in renewable energy, green hydrogen, green ammonia and other derivatives of green hydrogen.

Under the partnership, the companies will jointly develop a 1-MMTPA green ammonia production and storage facility in the country for export purpose, said a statement from Greenko. 

“The companies aim to form a JV to produce 1 MMTPA of green ammonia through a 1.3 GW green hydrogen plant leveraging Greenko’s exclusive partnership with John Cockerill,” it said, adding that it will be a major renewable energy project requiring about 6 GW of solar and wind power coupled with Greenko’s pumped-hydro energy storage platform to generate 1.4 GW of round-the-clock renewabler power.

The green ammonia produced from the project is intended to be sold at international markets where there is high demand for alternative molecules derived from green energy as the source. 

The project aims at aiding India’s Green Hydrogen Mission, will cater to the country’s urgent need for providing indigenous green energy solutions and contribute toward the country’s deep decarbonization efforts. 

Anil Kumar Chalamalasetty, CEO and Managing Director at Greenko said: “This pioneering partnership will propel the transformation of India from a carbon-based fossil energy importer to an exporter of renewable energy derived products like green hydrogen, green ammonia and green molecules.“

A statement from ONGC said that the MoU is in line with the government’s target of making India a global green hydrogen hub. “The activities envisaged under this MoU will contribute towards India’s target of producing of 5 million tonnes of green hydrogen per annum by 2030,“ it said.

The development comes at a time when energy companies in India including the government owned companies are diversifying their portfolio and investing in renewable energy as the government has set a target for the country to turn carbon neutral by 2070.

Since the government’s announcement in August 2021 to develop a green hydrogen mission, developments have gained momentum in the space, with several industry giants and energy companies announcing plans to produce green hydrogen.

In February, the renewable energy ministry released the National Green Hydrogen Policy, promising cheaper power, a fee waiver for inter-state power transmission for 25 years for projects commissioned before June 2025, land in renewable energy parks, and mega manufacturing zones to help industries wean themselves off fossil fuels.

The policy, aimed at promoting green hydrogen and green ammonia, also spoke of facilitating the ‘banking’ or storage of green power, where a green power producer can save surplus renewable power with an electricity distribution company for up to 30 days.

Further, a comprehensive national green hydrogen mission is in the works and is expected to be launched soon, which is likely to outline green hydrogen consumption obligations for industries like refineries and fertilizer producers.

Catch all the Industry News, Banking News and Updates on Live Mint.
Download The Mint News App to get Daily Market Updates.


Subscribe to Mint Newsletters

* Enter a valid email

* Thank you for subscribing to our newsletter.

Source link