The government-owned Indian Oil Corporation (IOC), engineering conglomerate Larsen & Toubro (L&T), and renewable energy player ReNew are reportedly collaborating to develop a green hydrogen sector in India.
According to sources close to the situation, India is aiming to produce up to 5 million tons of green hydrogen by 2030, for which the government launched its first green hydrogen policy in February 2022 as part of its energy transition roadmap.
Apart from the authorities, big names in the Indian economy have also jumped on the green hydrogen bandwagon, with Reliance Industries recently announcing a new facility to produce green hydrogen and Adani Enterprises unveiling Adani Petrochemicals – a new firm centered on green fuels.
SN Subrahmanyan, CEO, and MD of L&T stated that this engagement will concentrate on the timely progress of assignments to distribute green hydrogen on a mass scale for industrial applications.
He went on to say that L&T's engineering, procurement, and construction (EPC) expertise, combined with IOC's substantial chemical and refining process functionality, have aided in fostering extensive R&D activities in the green hydrogen value stream.
Even ReNew Power has demonstrated itself as a renowned energy player in a relatively short period.
It is worth noting that IOC and L&T appear to have signed a binding term sheet for a partnership with equity participation to construct and sell electrolyzers needed in the production of green hydrogen.
Subrahmanyan further said that this venture will also lend a hand in the country's ‘Aatmanirbhar Bharat’ mission by accelerating growth and bringing economies of scale in presenting green hydrogen as a cost-effective energy carrier for a variety of sectors.
In the same vein, Shrikant Madhav Vaidya, Chairman of IOC, asserted that in the beginning, the projects would be focused on its Mathura and Panipat refineries, while other developments would be evaluated parallelly.
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