Industry NewsLatest NewsPowerSpotlight

Reliance, L&T, Greenko & Welspun Reportedly Top Bidders to Develop Green Hydrogen Hub

Reliance Industries Ltd. (RIL), Larsen & Toubro (L&T), Greenko Group, and Welspun New Energy Ltd. have reportedly emerged as top bidders in an auction conducted by Deendayal Port Authority (DPA) to develop a Green Hydrogen hub at Kandla port in Gujarat. This hub is expected to come up with an estimated total investment of Rs. 1 lakh crore.

The successful bidders will be responsible for developing Green Hydrogen and Green Ammonia generation units as a part of this Green Hydrogen hub.

Green Hydrogen Hub to be Developed over 4,000 Acres

Deendayal Port Authority has allocated over 4,000 acre of land at Kandla port for the establishment of Green Hydrogen and Green Ammonia units. In October 2023, the port authority had received Expressions of Interest (EoI) for 14 land parcels, each measuring 300 acre.

A report by Moneycontrol dated 10th April 2024 quoted a senior DPA official saying that the tender “…will be awarded to four companies including Reliance Industries, Larsen & Toubro, Welspun New Energy and Greenko, who have emerged as the four highest bidders” for the development of Green Hydrogen and Green Ammonia generation facilities at the Kandla port. Moneycontrol further quoted a second DPA official saying that the contracts pertaining to the Kandla Green Hydrogen hub have not been signed yet since the Election Commission’s Model Code of Conduct for 2024 Lok Sabha polls came into effect before the opening of bids. It is therefore expected that an official announcement about the Kandla Green Hydrogen Hub would be made after the 2024 Lok Sabha elections.

Even though this information has not been made public officially, The Economic Times reported on 10th April 2024 that in March 2024 out of the total 14 land parcels at Kandla, Reliance Industries has been allotted six land parcels, L&T has been given five, Greenko Group had got two, and Welspun had been allocated one land parcel. Further, the target generation capacity at Kandla Port Green Hydrogen hub has been stated as 7 Million Mteric Tonne Per Annum (MMTPA) of Green Ammonia and 1.4 MMTPA of Green Hydrogen.

Kandla Green Hydrogen Hub in line with National Green Hydrogen Mission

Kandla Green Hydrogen hub aligns with Government of India’s (GoI) National Green Hydrogen Mission. The mission aims to position India as a global leader in Green Hydrogen production, utilization, and export. National Green Hydrogen Mission targets to achieve 5 MMTPA of Green Hydrogen production by 2030.

A PIB release from Ministry of Ports, Shipping and Waterways (MoPSW) dated 21st February 2023 had stated that the ministry had “identified and nominated” Odisha’s Paradip port, Deendayal Port Authority’s Kandla port in Gujarat, and V.O. Chidambarar Port in Tamil Nadu for the development of Hydrogen hubs. These hubs would be “…capable of handling, storage and generation of green hydrogen by the year 2030”.

About Deendayal Port Authority: Deendayal Port Authority, located in Kutch district of Gujarat, is one of India’s major ports on the west coast. The Port Authority was incorporated on 29th February 1964 and is under Ministry of Shipping, Government of India.