Home / Companies / News /  Acme to invest 52,474 cr for green hydrogen plant

NEW DELHI : Acme Group on Tuesday announced developing a green hydrogen and ammonia project in Tamil Nadu at an investment of 52,474 crore.

The proposed project includes a 5 giga watt (GW) solar power plant, a 1.5 GW electrolyzer, and 1.1 million tonne of ammonia production capacity.

Mint had reported on 9 May about Acme Solar Holdings Ltd looking to set up an integrated renewable energy and green ammonia production facility in Tamil Nadu at an investment of about $6 billion.

“This will be one of the largest plants in India and perhaps the largest in the world. This plant will produce green hydrogen and ammonia, which will help to de-carbonise sectors such as fertilizers, power, refining and steel, among others. The project requires four ingredients – solar radiation, access to port, availability of land and skilled resources. Tamil Nadu offers all of these," Acme group founder and chairman Manoj Kumar Upadhyay said in a statement.

Green hydrogen is produced by splitting water into hydrogen and oxygen using electrolysers. The electrolysis itself is powered by energy from renewable resources such as wind and solar. India has set a 5 million tonne green hydrogen production target by 2030 to help bolster its geopolitical heft and be a game changer for the country’ energy security. India imports 85% of its oil and 53% of gas requirements.

Acme Solar is the last Indian promoter-owned large green energy platform with 8.5 GW of operational and under-development projects. Founded in 2003 by Manoj Kumar Upadhyay, Acme Solar announced its plans to produce green hydrogen in India and Europe with Lhyfe Labs SAS of France. Acme Solar also made Equinor-promoted Scatec ASA an equal partner in its 1.2 million tonne per annum green ammonia project in Oman. Acme has signed an agreement with Japan’s NYK Line for the latter becoming strategic shipping partner for Acme’s green ammonia projects.

“ACME is willing to work with the government to help not only to build this project but also to create an ecosystem of smaller units," added Acme Group chief operating officer Sandeep Kashyap said in the statement.

With the government promoting the new-age, emission-free fuel, Indian firms such as Reliance Industries, Adani Group, and Greenko Group have shown significant interest in the space.

As part of its green hydrogen playbook, India is encouraging green hydrogen exports to Japan, South Korea, and Europe. The government has allowed concessional green electricity, waiver of inter-state transmission charges, land at renewable energy parks and mega manufacturing zones for promoting green hydrogen and green ammonia. Mint had reported about India’s plans to introduce a production-linked incentive (PLI) scheme to encourage the manufacturing of electrolyzers.

Catch all the Corporate news and Updates on Live Mint. Download The Mint News App to get Daily Market Updates & Live Business News.
More Less
Recommended For You
Get alerts on WhatsApp
Set Preferences My ReadsWatchlistFeedbackRedeem a Gift CardLogout