Home India Ministry of New and Renewable Energy Exchange of Green Ammonia Agreements Under NGHM Mark Key Ste...
Date: 2026-03-30 Category: Press Release State: Union Government Country: India

Exchange of Green Ammonia Agreements Under NGHM Mark Key Step for India’s Energy Security: Union Minister Pralhad Joshi

Issued by Ministry of New and Renewable Energy · Not Applicable

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Executive Summary & Key Takeaways

**Executive Summary** On March 30, 2026, the Ministry of New and Renewable Energy formalised the exchange of Green Ammonia Purchase and Supply Agreements to operationalise a domestic green ammonia ecosystem. These 10-year agreements aim to decarbonise the fertiliser sector, enhance energy security, and reduce import dependence under the National Green Hydrogen Mission. Key goals include achieving 5 MMT of green hydrogen production and 500 GW of non-fossil fuel capacity by 2030. **Key Points / Main Content** **Strategic Objectives and Mission Goals** * The agreements are a part of the National Green Hydrogen Mission, which has a total outlay of ₹19,744 crore. * The initiative targets the production of at least 5 million metric tonnes (MMT) of green hydrogen per annum by 2030. * The move aims to transition "hard-to-abate" sectors—including fertilisers, refineries, steel, and transport—to green energy derivatives. **Economic and Financial Impact** * The substitution of imported grey ammonia with green ammonia is projected to save approximately $2.5 billion in foreign exchange over 10 years. * Competitive bidding conducted by the Solar Energy Corporation of India (SECI) led to price discovery between ₹49.75 and ₹64.74 per kg. * Discovered domestic prices are significantly lower than international benchmarks, which are reported at approximately ₹110 per kg. **Allocation and Operational Details** * SECI has allocated a total capacity of approximately 7.24 lakh tonnes per annum (TPA) to selected developers. * Supply is linked to 13 fertiliser units across India, providing demand certainty and enabling financial closure for production projects. * The long-term (10-year) nature of the agreements is designed to support large-scale investments and build resilient supply chains. **Impact Analysis** **Fertiliser Companies (e.g., IFFCO, Coromandel International, Paradeep Phosphates)** **Impact** These companies will transition from imported grey ammonia to domestically produced green ammonia, ensuring a stable and sustainable feedstock supply. **Action Required** Execute the 10-year purchase agreements and integrate green ammonia into their manufacturing units located in regions such as Gujarat, Odisha, Andhra Pradesh, and Goa. **Renewable Energy Developers (e.g., ACME Cleantech, NTPC Renewable Energy, Jakson Green)** **Impact** Developers gain long-term demand assurance, which facilitates financial closure and supports large-scale investment in green ammonia production infrastructure. **Action Required** Scale up production capabilities to meet the specific annual supply quantities (ranging from 15,000 to 1,00,000 MT per year) allocated to various fertiliser units. **Agriculture Sector and Farmers** **Impact** The shift to green ammonia is intended to improve the affordability and sustainability of fertilisers, contributing to long-term food security and "Aatmanirbhar Bharat" (self-reliance). **Action Required** Transition toward utilizing fertilisers produced through these sustainable and domestic supply chains. **Government and SECI** **Impact** Achieves a key milestone in the National Green Hydrogen Mission and the Strategic Interventions for Green Hydrogen Transition (SIGHT) Programme. **Action Required** Continue monitoring the implementation of these projects and maintain the transparent competitive bidding process to ensure further scale-up and investment.

Key Entities Referenced

National Green Hydrogen Mission (NGHM): The primary framework aimed at positioning India as a global hub for green hydrogen and its derivatives, with a production target of 5 MMT per annum by 2030. Strategic Interventions for Green Hydrogen Transition (SIGHT) Programme: An incentive program under the NGHM that facilitates the production and cost-competitiveness of green hydrogen and green ammonia through competitive bidding. Solar Energy Corporation of India (SECI): The implementing agency that conducted the competitive bidding process for green ammonia allocation and facilitates agreements between developers and fertilizer units. Ministry of New and Renewable Energy (MNRE): The lead ministry responsible for overseeing the implementation of the National Green Hydrogen Mission and the transition to green energy sources. Green Ammonia Purchase and Supply Agreements: Long-term 10-year contracts signed between industry developers and fertilizer companies to provide demand certainty and operationalize the green ammonia ecosystem.
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Ministry of New and Renewable Energy Exchange of Green Ammonia Agreements Under NGHM Mark Key Step for India’s Energy Security: Union Minister Pralhad Joshi Operationalisation of Green Ammonia Ecosystem to Benefit Farmers and Strengthen Aatmanirbhar Bharat: Union Minister J P Nadda India Accelerates Shift to Green Ammonia in Fertilizer Sector; Boost to Domestic Capability and Supply Chain Resilience National Green Hydrogen Mission Achieves Key Milestone with Large-Scale Green Ammonia Allocation Posted On: 30 MAR 2026 8:09PM by PIB Delhi Union Minister of New and Renewable Energy, Pralhad Joshi, today said that the exchange of Green Ammonia Purchase Agreements and Green Ammonia Supply Agreements marks an important step in strengthening India’s energy security, especially at a time when the world is facing uncertainty. He was addressing the Exchange of Green Ammonia Agreements for the fertiliser sector under the National Green Hydrogen Mission at Atal Akshay Urja Bhawan in presence of Union Minister of Health & Family Welfare and Chemicals & Fertilisers Shri J P Nadda. Addressed the signing ceremony of Green Ammonia Purchase Agreements and Green Ammonia Sale Agreements in the presence of Minister, Shri @JPNadda ji. MoS Shri @shripadynaik ji was also present at the ceremony. These long-term agreements will provide demand certainty, unlock… pic.twitter.c om/12XyXq8FG2 — Pralhad Joshi (@JoshiPralhad) March 30, 2026 Union Minister Joshi highlighted that under the leadership of the Prime Minister Shri Narendra Modi, India has demonstrated that economic growth and climate action can move together at scale and at speed. He noted that India is today one of the fastest growing renewable energy markets in the world and is on track to achieve 500 GW of non-fossil fuel capacity by 2030.The exchange of agreements between industry, SECI and fertilizer companies, with a tenure of 10 years, marks a key milestone towards operationalising these projects, the Minister said. The long-term agreements provide demand certainty, enable financial closure and support large-scale investments in green ammonia production. The Minister emphasised that energy security is closely linked to national security and highlighted the importance of reducing import dependence in critical sectors. He stated that replacing imported grey ammonia with green ammonia will strengthen domestic capability and build resilient supply chains. The initiative is expected to result in foreign exchange savings of approximately $2.5 billion over a period of 10 years through substitution of imported grey ammonia in non-urea based fertilizer units. The Minister further noted that the next phase of India’s energy transition will focus on hard-to-abate sectors such as fertilizers, refineries, steel and transport, where green hydrogen and its derivatives will play a critical role. He added that green ammonia will not only serve as a clean feedstock but also help build a new industrial ecosystem, generate jobs and attract investments. Large-Scale Allocation to Fertilizer Sector Union Minister Shri J. P. Nadda, described the initiative as a historic and forward-looking step towards building a robust green ammonia ecosystem in the country. He said that the agreements mark the operationalisation of green ammonia in India and reflect the Government’s strong commitment to promoting sustainable and affordable solutions in the fertilizer sector.Highlighting India’s development model, he noted that the country has demonstrated that growth and sustainability can go hand in hand under the leadership of Prime Minister Modi. He emphasised that the initiative will reduce dependence on imports, improve affordability, and strengthen self-reliance in the fertilizer sector, ensuring that farmers have nothing to worry about. He further stated that with the allocation of about 7.24 lakh tonnes per annum of green ammonia, the country is moving decisively towards an Aatmanirbhar Bharat, while also creating new opportunities for growth and investment in the sector. Union Minister of State for Power & New and Renewable Energy, Shri Shripad Yesso Naik, Shri Rajat Kumar Mishra, Secretary, Department of Fertilizers (DoF) and Shri Santosh Kumar Sarangi, Secretary, Ministry of New and Renewable Energy (MNRE) also attended the event along with other senior officials from DoF, MNRE, and SECI. Background The Government of India is implementing the National Green Hydrogen Mission with an outlay of ₹19,744 crore, aimed at positioning India as a global hub for the production, utilization, and export of green hydrogen and its derivatives. The Mission targets the production of at least 5 million metric tonnes (MMT) of green hydrogen per annum by 2030, while enabling decarbonization of key sectors, enhancing energy security, and attracting investments. Under the Mission, the Strategic Interventions for Green Hydrogen Transition (SIGHT) Programme is being implemented for incentivising the production of Green Hydrogen in India and cost competitiveness through transparent competitive bidding. In this context, Solar Energy Corporation of India (SECI) has conducted competitive bidding for the supply of green ammonia to fertilizer units across the country. The bidding process has led to the discovery of competitive green ammonia prices, with the lowest discovered price of approximately ₹49.75 per kg and an overall discovered price range of about ₹49.75 – 64.74 per kg. In comparison, internationally discovered prices have been reported at approximately Euro1000 per tonne (around ₹110 per kg), indicating that the prices discovered in India are competitive as compared with global benchmarks. Through this process, SECI has allocated a total capacity of approximately 7,24,000 tonnes per annum (TPA) to selected developers, with supply linked to 13 fertilizer units across the country. The competitive bidding has ensured transparency, efficient price discovery, and long-term demand assurance, thereby enabling scale-up and investment in green ammonia production. The following companies signed the agreements: S. Name of Manufacturing Unit Quantity of Developer / Discovered Fertilizer Green Winner Price No. Company Ammonia (Rs/kg) (MT per year) 1. Indian Farmers Kandla (Gujarat) 1,00,000 ACME 54.73 Fertiliser Cleantech Cooperative Limited (IFFCO) Paradeep (Odisha) 1,00,000 ACME 49.75 Cleantech 2. Coromandel Kakinada (Andhra 85,000 Jakson Green 50.75 International Pradesh) & OCIOR Limited (CIL) Vishakhapatnam 50,000 ACME 51.89 (Andhra Pradesh) Cleantech 3. Paradeep Paradeep (Odisha) 75,000 ACME 55.75 Phosphates Cleantech Limited (PPL) Zuarinagar (Goa) 25,000 ACME 62.84 Cleantech Paradeep Mangalore 15,000 SCC 57.65 Phosphates Infrastructure Limited (PPL) Pvt. Ltd4. Ostwal Krishna Phoschem 70,000 NTPC 51.80 Limited, Meghnagar Renewable (Madhya Pradesh) Energy Madhya Bharat Agro 60,000 Oriana Power 52.25 Products Limited-II, Limited Sagar (Madhya Pradesh) Madhya Bharat Agro 70,000 SCC 53.05 Products Limited-III, Infrastructure Dhule (Maharashtra) Ltd 6. Indorama India Haldia (West Bengal) 20,000 ACME 64.74 Private Limited Cleantech (IIPL) *** Navin Sreejith (Release ID: 2247064) Visitor Counter : 365 Read this release in: Urdu , ही , Kannada

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