In a landmark move for India’s sustainable energy sector, NeuEN Green Energy Pvt. Ltd., a collaboration between Bharat Petroleum Corporation Limited (BPCL) and Sembcorp Green Hydrogen India Private Limited, has clinched a deal to provide Numaligarh Refinery Ltd. (NRL) with an annual supply of 10,000 tonnes of green hydrogen. The contract, illustrating a significant stride in India’s commitment to clean energy, positions BPCL, a Fortune Global 500 entity and one of India’s Maharatna PSUs, at the forefront of the national drive towards renewable energy sources.
NeuEN, formed as an equal partnership between BPCL and Sembcorp Industries’ fully owned subsidiary, is aimed at spearheading initiatives in renewable energy, particularly in the production of large-scale green hydrogen. This new agreement underscores BPCL’s dedication to transforming India’s industrial and refining landscape by incorporating green hydrogen into its primary processes, in line with the country’s ambitions for energy transition and decarbonization objectives. The project is noted for achieving the lowest rate yet for green hydrogen in India, marking a pivotal moment for the economic feasibility of this sustainable energy resource.
The initiative entails setting up a green hydrogen production plant within the NRL premises in Assam, with a long-term commitment to purchase the hydrogen produced. Slated to commence commercial operations by 2028, the facility will use renewable energy combined with sophisticated storage technologies to ensure dependable, continuous production, facilitating the refinery’s shift towards reduced carbon emissions.
BPCL’s Chairman & Managing Director, Sanjay Khanna, remarked on the significance of the project, highlighting it as a critical component in BPCL’s strategy to diversify and strengthen its energy portfolio. Khanna emphasized the competitive nature of the bidding process as indicative of the maturing green hydrogen market and BPCL’s intent to develop scalable, economically viable solutions. He reiterated the company’s focus on robust implementation strategies and its contribution to both industrial decarbonization and the enhancement of India’s energy independence.
The project’s pricing model has set a new international precedent for the cost-efficiency of green hydrogen, reflecting its growing viability and scalability in India. Designed with a renewable energy hybrid system integrated with cutting-edge energy storage solutions, the facility aims to ensure efficient and uninterrupted operation of its electrolysers.
Vipul Tuli, Sembcorp’s President & CEO of Renewables, West, and CEO of Hydrogen Business, acknowledged the project as a crucial advancement in realizing India’s green hydrogen potential. Tuli pointed out that the project’s groundbreaking pricing was facilitated by the structured long-term purchase agreements, expressing pride in supporting NRL’s decarbonization objectives alongside BPCL.
Shelly Abraham, Chairman of NeuEN, commented on the synergy between BPCL’s robust local market presence and infrastructure with Sembcorp’s global renewable expertise. This partnership is geared towards integrating sustainable solutions into refinery operations and championing industrial decarbonization over the long term.
This venture not only reaffirms BPCL’s commitment to sustainable development and national green hydrogen initiatives but also solidifies its role in leading India towards a more sustainable energy future, enhancing the Northeast region’s contribution to national energy goals.
