BPCL and Sembcorp Joint Venture to Drive Green Hydrogen and Renewable Energy Projects in India
Key Ideas
  • BPCL and Sembcorp have signed a joint venture agreement to develop green hydrogen and renewable energy projects in India, including green ammonia production and bunkering.
  • India aims to have at least 500GW of clean energy capacity by 2030, with a target to produce five million tonnes of green hydrogen annually, requiring 125GW of renewable energy.
  • State-run oil refiners like BPCL are shifting towards greener alternatives, aligning with India's goal to reduce fossil fuel reliance and boost investments in renewable energy.
  • Sembcorp Energy India, a subsidiary of Sembcorp, already operates a significant wind and solar portfolio of around 5.8GW in India.
Indian refiner Bharat Petroleum Corporation (BPCL) and Sembcorp have entered into a joint venture agreement to spearhead the development of green hydrogen and renewable energy projects throughout India. Apart from focusing on green hydrogen, the collaboration will also explore initiatives in green ammonia production, emissions reduction for port operations, and other sustainable fuel technologies. This strategic partnership is in line with India's ambitious target of achieving 500 gigawatts (GW) of clean energy capacity by 2030. The country is also aiming to produce five million tonnes of green hydrogen annually by the same year, a goal that will necessitate the deployment of 125GW of renewable energy. State-owned oil refiners such as BPCL are progressively seeking alliances to transition away from fossil fuels and embrace more environmentally friendly alternatives. Sembcorp, in a separate endeavor, had previously inked an agreement with the eastern state of Odisha to construct a green hydrogen plant and industrial park by 2025. Sembcorp Energy India, the local arm of Sembcorp, already manages a substantial wind and solar portfolio totaling approximately 5.8GW spread across various regions in the country. These initiatives underscore a concerted effort to drive the adoption of sustainable practices and reduce carbon emissions in India's energy landscape.
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