(Reuters) -India’s ACME Group, in a joint venture with Japan’s IHI Corp, will develop one of the country’s largest green ammonia projects in the eastern state of Odisha, the companies announced on Wednesday.
The companies did not disclose the details of the investment, but IHI will acquire a 30% stake in the joint venture, while ACME will retain the remaining 70%.
WHY IT’S IMPORTANT
India has been pushing to position itself as a global hub for green hydrogen and its derivatives, such as green ammonia. However, large projects have yet to take off due to constraints around financing and a lack of incentives provided by state governments.
The IHI Corp-Acme project aims to produce 0.4 million tonnes of green ammonia annually, having already secured the land and completed the front-end engineering design.
CONTEXT
Green ammonia is used in energy and industrial applications, as a fuel and feedstock to decarbonise sectors.
The green ammonia produced by the joint venture will be supplied to Japanese industries, including power generation and chemicals, the companies said.
BY THE NUMBERS
India is aiming for net-zero emissions by 2070 and a 500-gigawatt renewable energy target by 2030.
However, India’s clean industrial projects pipeline worth $89 billion is facing financing bottlenecks, with only one project reaching a final investment decision in the first six months of 2025, as per a report by Mission Possible Partnership.
(Reporting by Yagnoseni Das in Bengaluru; Editing by Vijay Kishore)
