GAIL and AMG enter into a 2.5 GW RE Agreement

GAIL and AMG enter into a 2.5 GW RE Agreement

GAIL (India) Ltd and AM Green (AMG) signed a Memorandum of Understanding (MoU) for the development of up to 2.5 GW of solar-wind hybrid renewable energy projects across India.

The deal would also involve a study on the utilization of around 350 kta (kilotons per annum) of CO2 generated by GAIL at its gas processing plants. CO2 will be utilized to make eMethanol from renewable energy. This scheme offers an opportunity to reduce emissions by giving old carbon dioxide a new life as an energy feed stock, and GAIL is contemplating equity participation in the proposed eMethanol Project.

The solar-wind hybrid projects will be complemented by the energy storage systems, which should ensure power at all times. It will be utilized in supporting the production of eMethanol by AMG and other operations. The parent group of AMG, AM Green, is involved in manufacturing ammonia using renewable sources of energy, including solar, wind, and hydropower. The ammonia produced from AMG will meet the European Union’s Renewable Fuels of Non-Biological Origin (RFNBO) standards defined in the Renewable Energy Directive (RED III). Their facility in Kakinada is already pre-certified for that standard, and other facilities are undergoing ongoing pre-certification processes.

AMG is also proposing large-scale biorefineries that would use different feedstocks to develop products for such industries as aviation, chemicals, and others, in order to help in the decarbonization of those industries.

GAIL is India’s largest public sector enterprise engaged in the transmission and distribution of natural gas besides a group company in the upstream business of petrochemicals, oil and gas explorations, and liquefied natural gas (LNG). The tie-up with AMG is part of its foray into renewable energies.