BBN Bureau
Another IndianOil-L&T JV to manufacture Electrolyzers
MUMBAI, NEW DELHI/April 04-2022: In a bid to give boost to India’s decarbonization push, Indian Oil Corporation Ltd., (IndianOil), Larsen & Toubro (L&T) and ReNew Power (ReNew) India’s leading renewable energy company, have signed binding term sheet for the formation of a Joint Venture (JV) company to develop the nascent green hydrogen sector in India.
The tripartite venture is a synergistic alliance that brings together the strong credentials of L&T in designing, executing, and delivering EPC projects, IndianOil’s established expertise in petroleum refining along with its presence across the energy spectrum, and the expertise of ReNew in offering and developing utility-scale renewable energy solutions. Additionally, IndianOil and L&T have signed a binding term sheet to form a JV with equity participation to manufacture and sell Electrolyzers used in the production of Green Hydrogen.
3 cos to hold equal stake
A statement said the three companies will hold equal stake in the proposed Green Hydrogen JV and the Green Hydrogen JV aims to develop, execute & own green hydrogen assets in India.
SN Subrahmanyan, CEO & MD, L&T, said that India plans to rapidly march ahead in its decarbonization efforts, and production of Green Hydrogen is key in this endeavour.
“The IndianOil-L&T-ReNew JV will focus on developing Green Hydrogen projects in a time-bound manner to supply Green Hydrogen at an industrial scale,” Subrahmanyan added.
While L&T will bring its strong EPC credentials to the table, IOC being India’s premier oil refiner with extensive capabilities in chemical processes and refining has established deep R&D capabilities in many aspects of green hydrogen value chain, and ReNew Power has in a short time established itself as a leading renewable energy supplier, and has built itself a very strong reputation.
Stating that L&T considers this partnership as a significant step in India’s quest for alternative energy, he added that IndianOil-L&T JV will focus on production and sale of Electrolyzer in order to address another gap in the Green Hydrogen manufacturing chain.
An official statement noted that both these JVs aim to enable the nation’s ‘Aatmanirbhar Bharat’ mission to rapidly build, expand and bring in economies of scale to make green hydrogen a cost-effective energy carrier and a chemical feedstock for many sectors.
Shrikant Madhav Vaidya, Chairman, IndianOil, said that being the Energy of India, IndianOil is committed to powering India’s drive towards carbon neutrality by leveraging the power of green hydrogen.
“IndianOil is forging this alliance to realise India’s green hydrogen aspirations, which is in sync with the Prime Minister’s vision of making India a Green Hydrogen generation and export hub,” Vaidya added.
