The Essar Group is set to invest ₹30,000 crore over the next four years in establishing a green hydrogen plant in Jamnagar, Gujarat. The initiative marks a significant move towards clean energy as a cornerstone for the conglomerate’s new growth phase.
Prashant Ruia, Director of Essar Capital, highlighted that the group aims to decarbonize its UK oil refinery, develop a green steel plant in Saudi Arabia, and create an LNG and electric infrastructure to reduce emissions from long-haul heavy trucks. Additionally, Essar is exploring the mining of critical minerals, essential for electric vehicle batteries, solar panels, and wind-turbine magnets.
As reported by businessline, to produce hydrogen and oxygen, the company plans to leverage 4.5 GW of renewable energy from its sister company, Essar Renewables, through water electrolysis. Hydrogen, which emits only water upon combustion, is not feasible for shipping. Instead, it is converted into green ammonia, which is easier to transport.
“Our goal is to produce green molecules that can be directly transported, rather than relying on green ammonia, which then needs to be converted back into hydrogen at a high cost. We are focusing on creating a complex that can generate green molecules from hydrogen, mainly for the biofuels sector, and export them,” Ruia explained.
