New Delhi: NTPC Green Energy Ltd (NGEL) has signed a joint venture (JV) agreement with New & Renewable Energy Development Corporation of Andhra Pradesh Ltd (NREDCAP) for development of green energy projects.
Under the agreement, a joint venture would develop 25 GW of renewable energy projects in the state, along with green hydrogen and pumped storage projects (PSP).
“NREDCAP and NGEL signed JV agreement for development of 25 GW renewable energy projects, 0.5 MMTPA green hydrogen & derivatives, and 10 GW PSPs. This will bring ₹2 lakh crore investment to the state and provide huge employment opportunities,” said Chakradhar Babu, managing director of NREDCAP in a post on social media platform X.
Pumped storage project is a mechanism for energy storage in which water stored in two reservoirs at different elevations is used to produce electricity.
The agreement comes days ahead of the foundation laying ceremony for NGEL’s green hydrogen hub at Pudimadaka in Andhra Pradesh. The project is expected to be developed at an investment of ₹1.85 trillion. The plan is to produce 1,500 tonnes of green hydrogen every day.
In talks with buyers
On Wednesday, Mint reported that NTPC is is in talks with possible buyers of the green molecule. It is in talks with Japan’s engineering major Toyo Engineering Corp. and Norwegian power supply systems company Getek AS for offtake of the green hydrogen to be produced at the hub. Further, Australian mining major Fortescue is in talks with NTPC to produce green hydrogen at its Pudimadaka hub.
NTPC will offer companies the facility of producing green hydrogen at the hub, akin to the plug-and-play mode available at special economic zones.
NGEL, the green energy arm of state-run NTPC, has been taking the joint venture route to develop and supply green hydrogen. In June 2023, NGEL had incorporated a 50:50 JV with Indian Oil Corp. Ltd to supply the latter’s refineries with renewable energy for captive consumption. Later, in October, IOCL’s board approved an investment of up to ₹1,660.15 crore in the JV.
In June this year, Mint reported that NGEL is in talks with oil refiner and marketer Hindustan Petroleum Corp. Ltd and copper and aluminium maker Hindalco Industries to supply these companies with green hydrogen.
