india-inks-pact-to-export-green-ammonia-to-japan

India has signed a landmark agreement to export green ammonia to Japan, marking a significant advance in its ambition to become a global leader in green energy, particularly in green hydrogen and ammonia production, according to the Ministry of New & Renewable Energy (MNRE).

 

The Heads of Terms (HoT) project offtake agreement was formalised between Sembcorp Industries, Sojitz Corporation, Kyushu Electric Power, and NYK Line, establishing a cross-border green ammonia supply partnership from India to Japan. Minister of New & Renewable Energy Pralhad Joshi was present at the signing.

 

Under the agreement, Sembcorp Industries will spearhead the production of green ammonia in India, using renewable energy sources. Kyushu Electric Power has pledged to incorporate this green ammonia into its energy mix, aiming to partially replace coal at its thermal power plants in Japan.

 

Sojitz Corporation will act as the business intermediary, connecting the ammonia producer with the off-taker, while NYK Line will manage the maritime transport of green ammonia from India to Japan.

 

“This agreement will create a robust supply chain from production in India to consumption in Japan, setting the stage for future collaborations in the green energy sector,” Joshi said.

 

The Minister also announced that a tender for 750,000 tonnes per annum (TPA) of green ammonia is currently open, with additional tenders for a further 450,000 TPA also available.

 

These initiatives are part of India's broader strategy to incentivise the production of over one million tonnes per annum of green hydrogen,demonstrating  the country's intent to rapidly scale up green energy production, he added.

 

Joshi expressed confidence that this agreement is just the beginning of India’s growing capabilities in the green energy sector, with future projects expected to be even more ambitious and impactful.

 

The agreement highlights India's role as a key player in the global green energy market and reflects the government’s strong support for green hydrogen and renewable energy initiatives. The collaboration with Japan underscores India’s expanding expertise and commitment to sustainable development and energy independence.