GAIL has joined forces with AM Green to establish renewable energy projects with a capacity of up to 2.5 GW, along with initiatives focused on green chemicals.
New Delhi [India], October 5: GAIL (India) Limited has collaborated with AM Green B.V. (AMG) to establish solar and wind hybrid renewable energy projects with a capacity of up to 2.5 GW in India, as stated by the state-owned PSU.
The two companies signed a memorandum of understanding (MoU) on Friday.
Under the MoU, the focus will be on the long-term supply of carbon dioxide (CO2) for hybrid renewable energy projects and the production of eMethanol in the country.
The agreement outlines plans to conduct studies for the long-term supply of approximately 350 KTA of CO2 produced by GAIL at its gas processing plants to facilitate eMethanol production.
According to the statement, GAIL will also have the option to invest in the proposed eMethanol project, securing a strategic partnership that aligns with both companies' goals to promote sustainable energy solutions.
The hybrid solar and wind projects, combined with Greenko's upcoming Pump Storage Projects, are designed to provide continuous power to end users, including the proposed eMethanol project, the PSU added.
Commenting on the partnership, Rajeev Singhal, Director (Business Development) at GAIL, said, "The signing of this MoU with AM Green highlights our commitment to leading sustainable energy initiatives. By ensuring CO2 supply for eMethanol production, we are taking proactive steps to reduce carbon emissions and promote alternative fuel development."
He further added, "The development of renewable energy projects will contribute to reducing the nation's carbon footprint and advancing India's transition towards a greener energy future. The collaboration between GAIL and AMG is set to boost technological innovation in India while driving economic growth and environmental sustainability."
Mahesh Kolli, Group President of AM Green, remarked, "This partnership showcases AM Green's growing leadership as a global clean energy transition platform while supporting India's aspiration to become a key exporter of sustainable, low-cost green molecules and derivatives, driving global industrial decarbonization. The production of green methanol will also aid in the decarbonization of hard-to-abate sectors such as shipping, steel, and cement."
GAIL, a Maharatna Central Public Sector Enterprise, is India's leading natural gas transmission and distribution company, operating gas pipelines, processing and petrochemical plants, and holding interests in upstream oil and gas blocks and LNG regasification terminals across India.
AMG, a subsidiary of the AM Green Group founded by Greenko's founders, operates ammonia production facilities powered entirely by carbon-free energy sources like solar, wind, and hydropower.