Greenko is one of India’s leading renewable energy Companies.
The MoU is in line with the government’s National Hydrogen Mission aimed at making India a global green hydrogen hub, the companies said in a press statement.
The activities envisaged under this MoU will contribute toward India’s target of producing 5 million tonnes of Green hydrogen per annum by 2030. This MoU will also act as a stepping stone for ONGC to achieve renewable energy targets as per its Energy Strategy 2040, the company said.
ONGC said, as the share of renewables in the energy mix is rising driven by cost competitiveness, climate change awareness and strong regulatory push, ONGC aims to meet its objectives such as de-risking of portfolio against long term disruptions and reducing carbon footprint by moving into renewables space.
Green hydrogen is produced by the process of electrolysis using renewable energy as a resource. It is believed to have an exponential potential to replace fossil fuels. 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 companies have joined hands at a time when energy companies in India 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.
Last month Chemicals and Fertilizers Minister Mansukh Mandaviya urged industry players to make the manufacturing of green hydrogen affordable and accessible. India has tremendous opportunities in green hydrogen due to its geographical advantage, he had said, adding that India needs to grow in the research and production sector and innovate in the development and manufacturing of green hydrogen.
On Tuesday, Gautam Adani, Chairman of Adani Group announced that his group will invest $70 billion in facilitating India’s green transition. Adani Group which is already one of the largest developers of solar power will use its strength in renewables to make green hydrogen the fuel of the future.
This 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.