India and Japan have signed the first-ever agreement for the supply of Green Ammonia, marking a significant milestone in the global green energy landscape. Pralhad Joshi, Union Minister of New and Renewable Energy, hailed the partnership as a historic moment, emphasizing its role in establishing a robust supply chain from production in India to consumption in Japan.
‘Today is a historic day as we mark the first-ever agreement for the supply of Green Ammonia from India to Japan. This agreement will help establish a robust supply chain from production in India to consumption in Japan, paving the way for future collaborations in the green energy sector,’ Union Minister stated during the signing ceremony.
India has been making rapid strides in the field of green hydrogen and renewable energy under the leadership of the government, and this agreement further cements the nation’s commitment to becoming a global leader in green hydrogen and ammonia production. Shri Joshi highlighted India’s strategic focus on partnerships, regulatory frameworks, and significant investments as key drivers of its success in the green energy sector.
As part of this ambitious initiative, the Minister announced that a tender for 7.5 lakh tonnes per annum (TPA) of Green Ammonia is currently live, with additional tenders for 4.5 lakh TPA capacity also in the pipeline. These efforts are integral to India’s broader strategy to incentivize the production of over a million TPA of Green Hydrogen, showcasing the country’s intent and capability to scale up green energy production at an unprecedented pace.
The Minister also underscored the deep cultural and people-to-people ties between India, Japan, and Singapore, noting the collaboration among the three nations on energy efficiency and renewable energy technologies. He expressed optimism that this agreement is just the beginning of India’s expanding capabilities in the green energy sector, with even more ambitious and impactful projects expected in the near future.
This landmark agreement will reinforce India’s position as a key player in the global green energy market as well as reflects the Government of India’s steadfast support for green hydrogen and renewable energy initiatives. The collaboration with Japan is seen as a testament to India’s growing expertise and commitment to sustainable development and energy independence.
Highlights of the agreement:
The signing ceremony for heads of terms (HoT) for the cross-border green ammonia supply from India to Japan was also graced by H.E. Mr Simon Wong, High Commissioner of the Republic of Singapore to India; Yuta Hikichi, First Secretary, Embassy of Japan in India; Ajay Yadav, JS, MNRE ; and Vipul Tuli, Chairman – South Asia & CEO – Hydrogen Business, Sembcorp Industries. This agreement represents the first such collaboration between India, Singapore and Japan, underscoring India’s growing prominence in the global green energy landscape.
The Heads of Terms (HoT) agreement was signed between Sembcorp Industries, Sojitz Corporation, Kyushu Electric Power Co., and NYK Line, solidifying a cross-border green ammonia supply partnership from India to Japan. This agreement represents the first such collaboration between the two nations, underscoring India’s growing prominence in the global green energy landscape.
- Singapore-headquartered Sembcorp Industries will lead the production of green ammonia in India, utilizing renewable energy sources.
- Kyushu Electric Power Co. has committed to integrating this green ammonia into their energy mix, partially replacing coal consumption at their thermal power plants in Japan.
- Sojitz Corporation will act as the business intermediary, facilitating the connection between the ammonia producer and the offtaker.
- NYK Line will oversee the maritime transportation of the green ammonia from India to Japan.
