Pralhad Joshi leads signing of green ammonia export agreement to Japan

In a significant development for the Indian green energy sector, Union Minister for New and Renewable Energy, Shri Pralhad Joshi, presided over the signing of a historic agreement for the export of green ammonia from India to Japan. The offtake agreement for the project marks a key step in India’s drive to become a global leader in green hydrogen and ammonia production.

A Heads of Terms (HoT) agreement has been signed between Sembcorp Industries, Sojitz Corporation, Kyushu Electric Power Co. and NYK Line, establishing a pioneering cross-border partnership for the supply of green ammonia. This collaboration, the first of its kind between India and Japan, underlines India’s growing position in the global green energy scene.

Sembcorp Industries will spearhead the production of green ammonia in India, using renewable energy sources. Kyushu Electric Power Co. has committed to integrating this green ammonia into its energy mix, significantly reducing coal consumption at its thermal power plants in Japan. Sojitz Corporation will act as an intermediary, connecting the ammonia producer with the consumer, while NYK Line will manage the sea transportation of green ammonia from India to Japan.

At the event, Shri Pralhad Joshi highlighted the significance of this partnership by stating, “Today is a historic day as we celebrate the first-ever agreement to supply Green Ammonia from India to Japan. This agreement will establish a robust supply chain from production in India to consumption in Japan, setting the stage for future collaborations in the green energy sector.”

The Minister highlighted India’s rapid progress in green hydrogen and renewable energy under the leadership of Prime Minister Shri Narendra Modi. He reiterated India’s commitment to become a global leader in green hydrogen and ammonia production through strategic partnerships, a strong regulatory framework and significant investments.

Shri Pralhad Joshi also announced that the tender for 7.5 lakh TPA of Green Ammonia is currently open and additional tenders for 4.5 lakh TPA are also in progress. This is part of India’s broader strategy to encourage production of over one million tonnes per annum of Green Hydrogen, demonstrating India’s capability and intent to scale up green energy production at an unprecedented pace.

The Minister further discussed the strong cultural and people-to-people ties between India, Japan and Singapore, noting the ongoing cooperation in energy efficiency and renewable energy technologies. He expressed confidence that this agreement marks only the beginning of India’s expanding role in the green energy sector, with future projects expected to be even more ambitious and impactful.

This agreement not only reinforces India’s position as a key player in the global green energy market, but also reflects the Indian government’s unwavering support for green hydrogen and renewable energy initiatives. The collaboration with Japan underlines India’s growing experience and commitment to sustainable development and energy independence.