India’s largest oil and gas producer, Oil and Natural Gas Corporation Limited (ONGC), is making a major move into clean energy. The company is planning to purchase 2.5–3 gigawatts (GW) of renewable energy projects, according to Executive Director Satyan Kumar.
At present, ONGC already has about 2.5 GW of renewable capacity.ONGC wants to build a huge 10 GW renewable energy portfolio by 2030, which shows its clear commitment to India’s green energy future.
To make this shift smoother, the company also plans to import 3 million tons of LNG every year through long-term contracts, some of which could be signed within a year.
Earlier this year, ONGC announced it could invest as much as $11.5 billion (₹1 trillion) in clean energy by 2030. For this financial year alone, the investment stands at $115 million (₹10 billion), meaning the company will need to scale up its efforts nearly 100 times to meet the target.
The energy company plans to expand into different types of clean energy, including solar, wind, hydropower, biogas, green hydrogen, and green ammonia. For this, funding will come from both cash flows from its oil and gas business and new borrowings.
Interestingly, while many European oil and gas majors are slowing down their clean energy push, ONGC is moving in the opposite direction, accelerating its green investments to secure a strong foothold in India’s clean energy future.
Source
0 Comments