ONGC and NTPC Green partner for domestic and worldwide renewable energy initiatives

28 Sep 2023 , 11:47 AM

Tuesday saw the signing of an MoU by the government-run Oil and Natural Gas Corporation (ONGC) and NTPC Green Energy Limited (NGEL) to collaborate on the creation of renewable energy projects.

According to a release from ONGC, the MoU would largely examine the viability and establishment of renewable energy projects in a variety of fields.

In addition to exploring opportunities in storage, e-mobility, carbon credits and green credits, nuclear, and the green hydrogen business and its derivatives, including green ammonia and green methanol, it envisions cooperation between the two mega entities in renewable power projects in India and abroad through offshore wind projects.

The largest single-location PSU refinery in the nation, Mangalore Refinery and Petrochemicals Limited (MRPL), and ONGC on Tuesday jointly announced that they had signed a crude oil sales agreement (COSA).

The two parties have signed the agreement for the sale and purchase of crude oil. Up until March 31st, 2024, the current agreement between ONGC and MRPL will be in effect.

ONGC has expanded its operations over the years through joint ventures in petrochemicals, power, and SEZ development in addition to its core exploration and production activities.

According to a statement from the firm, as part of its diversification efforts, ONGC has deployed roughly 189 MW of capacity in wind and solar PV plants scattered across several areas.

The oil and gas company has set a net zero aim by 2038, which includes both scope 1 and scope 2. It also plans to reach 10 GW of renewable energy capacity by 2030.

According to the state-run company’s CMD Arun Kumar Singh, it intends to invest over Rs 2 trillion in the energy transition between now and 2038. The corporation has previously declared its intention to invest Rs 1 trillion by 2030 in energy transition programmes.

Additionally, 25 compressed biogas (CBG) facilities are expected to be operational by FY26.

With a developing carbon market, the CMD had stated that it makes excellent financial sense to invest in green initiatives. In Rajasthan, ONGC has already agreed to build 5 GW of solar power capacity, and it is currently looking for 5 GW more.

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