India and Japan Ink First Agreement for Green Ammonia Export

New Delhi: In a landmark moment for India’s green energy sector, Union Minister of New and Renewable Energy, Pralhad Joshi, presided over the signing ceremony of the country’s first-ever Green Ammonia export agreement with Japan. The project marks a significant milestone in India’s quest to become a global leader in green hydrogen and ammonia production.

The Heads of Terms (HoT) agreement was signed between Sembcorp Industries, Sojitz Corporation, Kyushu Electric Power Co., and NYK Line, laying the foundation for a cross-border green ammonia supply partnership between India and Japan. This historic collaboration highlights India’s rising prominence in the global green energy landscape.

Sembcorp Industries will spearhead green ammonia production in India, utilizing renewable energy sources. Kyushu Electric Power Co. will integrate this green ammonia into its energy mix, reducing reliance on coal at its thermal power plants in Japan. Sojitz Corporation will serve as the business intermediary, connecting producers with consumers, while NYK Line will manage maritime transportation between the two nations.

Speaking at the event, Minister Joshi stated, “Today marks a historic moment with the signing of the first-ever agreement for Green Ammonia export from India to Japan. This will establish a robust supply chain and serve as a model for future green energy collaborations.”

He praised India’s rapid progress under Prime Minister Narendra Modi’s leadership in the green hydrogen and renewable energy sectors. The minister also announced the launch of tenders for 7.5 lakh tonnes per annum (TPA) of Green Ammonia, with an additional 4.5 lakh TPA capacity on the horizon. These initiatives are part of India’s broader strategy to incentivize the production of over a million tonnes of Green Hydrogen annually.

Minister Joshi highlighted the cultural and technological ties between India, Japan, and Singapore, emphasizing that the collaboration extends beyond green ammonia and includes shared efforts in energy efficiency and renewable technologies.

This agreement is a testament to India’s growing expertise in the green energy market and the country’s commitment to sustainable development. It reinforces India’s position as a key player in global green energy efforts, furthering its aim for energy independence and leadership in the renewable energy transition.