July 2, 2024: AM Green and SJVN Green Energy Limited (SGEL), a wholly owned subsidiary of SJVN, have signed a Memorandum of Understanding (MoU) for a long-term agreement to supply and source renewable energy. The agreement, inked on June 26, 2024, in New Delhi, will see SGEL providing approximately 4,500 MW of carbon-free energy to power the energy transition solutions provider’s upcoming green ammonia facilities. This is claimed to be among the largest pact in this sector in the world.
This collaboration positions the energy transition solutions firm as a leader in clean energy transition solutions, contributing to India’s ambition of becoming a reliable exporter of sustainable, low-cost green molecules and derivatives for industrial decarbonization worldwide.
Key Highlights of AM Green and SJVN Energy Pact for Sourcing and Supply of RE
Strategic Long-Term Investment: This collaboration represents a potentially far reaching investment by SJVN Green in a renewable energy project, making it one of the largest of its kind to date.
Clean Energy Mix: SGEL will establish the 4,500 MW capacity using solar and wind power, while the energy transition solutions provider will integrate it with pumped hydro storage to ensure a consistent supply of green energy.
Strategic Phases: SJVN plans to execute the project in three phases, with the first phase delivering 1,500 MW within two years.
Ambitious Goals: This initiative aligns with SJVN’s goal of reaching 25,000 MW of renewable energy by 2030 and an impressive 50,000 MW by 2040.
Green Ammonia Production: The energy transition solutions firm, backed by the founders of Greenko, aims to produce 5 million tons per annum (MTPA) of green ammonia by 2030, equivalent to about 1 MTPA of green hydrogen.
Global Impact: This collaboration positions energy transition solutions providers as a leader in clean energy transition solutions, contributing to India’s ambition of becoming a reliable exporter of sustainable, low-cost green molecules and derivatives for industrial decarbonization worldwide.
Mahesh Kolli, Founder of Greenko Group & AM Green, expressed delight at partnering with SJVN on this groundbreaking renewable energy supply contract. He emphasized the importance of AM Green’s role in India’s clean energy transition and global decarbonization efforts.
Ajay Singh, CEO of SJVN Green, echoed the sentiment, highlighting the project’s potential to accelerate renewable asset development in India. This collaboration also marks SJVN’s entry into supplying power to private sector entities.
In addition to this partnership, AM Green has secured power offtake agreements with NTPC Renewables and Gentari, positioning itself ahead of other companies in the race for green ammonia capacity in India and globally. With these agreements, AM Green is on track for a final investment decision (FID) for its first 2 MTPA green ammonia project.
The collaboration between AM Green and SJVN Green Energy represents a significant step toward a sustainable and cleaner energy future, benefiting both India and the global community .