Coal India Ltd has signed a memorandum of understanding to supply 4,500MW of solar and wind power to Greenko founders-backed AM Green's green ammonia facilities, in a bid to diversify its operations and move towards cleaner fuels.

The agreement, inked on 7 May, is one of the largest renewable energy contracts in the world and will require Coal India to invest around ₹25,000 crore to set up capacities to fulfil the contract. This move is part of the company's efforts to become the country's integrated energy provider and reduce its dependence on coal.

Investment and Capacity

The investment of INR 25,000 crore will be used to set up solar and wind power capacities, with the solar power capacity expected to be around 2,500MW to 3,000MW and wind power capacity expected to be around 1,500MW to 2,000 MW.

The potential sites for wind projects will be explored in the southern states of the country, while solar plants will be set up in sunny states like Gujarat and Rajasthan. This investment will help Coal India to increase its renewable energy capacity and reduce its carbon footprint. The capacity expansion will also help AM Green to achieve its goal of producing 5 million tonnes per annum of green ammonia by 2030. AM Green will integrate the two renewable sources supplied by Coal India with pumped hydro storage to ensure a steady supply of green energy to its facilities. This will enable the company to produce green ammonia, green hydrogen, and other green molecules in a cost-competitive manner.

Partnership and Benefits

The partnership between Coal India and AM Green is expected to bring several benefits to both parties. Coal India will be able to diversify its operations and reduce its dependence on coal, while AM Green will be able to achieve its goal of producing green ammonia and green hydrogen. The partnership will also help to reduce the carbon footprint of both companies and contribute to the country's efforts to reduce its greenhouse gas emissions. The partnership is also expected to create new job opportunities and stimulate economic growth in the regions where the solar and wind power projects will be set up. The investment of ₹25,000 crore will also have a positive impact on the country's economy and help to achieve the government's target of increasing the share of renewable energy in the country's energy mix.

Green Energy and Sustainability

The partnership between Coal India and AM Green is a significant step towards increasing the use of green energy in the country. The production of green ammonia and green hydrogen will help to reduce the country's dependence on fossil fuels and contribute to the reduction of greenhouse gas emission.

Read More: India and Denmark Sign MoU; Strengthen Collaboration in Renewable Energy Sector

Stay Ahead with Our Global Project Tracker!

To stay ahead of the curve in the global Power industry, we invite you to connect with key decision-makers and gain valuable insights into the latest projects shaping this sector. By subscribing to our comprehensive database, you'll unlock access to a wealth of information on upcoming, in-progress, and completed projects, empowering you to make informed decisions.

Our platform is specifically designed to cater to the needs of engineering companies, industry professionals, investors, and government agencies, providing essential details, timely updates, stakeholder contacts, and business opportunities that drive growth. With our platform, you'll be able to navigate the complex Power landscape with confidence, identifying new avenues for collaboration and investment. To experience the full potential of our platform, register for your free power projects intelligence demo.