ONGC Plans Rs 1 Lakh Crore Investment For Energy Transition

State owned oil and gas producer ONGC has announced an investmen worth Rs 1 lakh crore by the end of this decade (2030) on energy transition projects. Most of the investments will be made on renewable energy projects.

ONGC has already declared its target of achieving net zero carbon emissions by 2038. The fresh announcement has been made by ONGC Chairman Arun Kumar Singh. “We have done our internal workings and are now confident that we can achieve net-zero for Scope-1 and Scope-2 emissions by 2038,” added the ONGC Chairman.

With the new announcement, the oil and gas producer has joined the league of other firms like Indian Oil (IOC), Hindustan Petroleum (HPCL), GAIL and Bharat Petroleum (BPCL) to inch towards net zero emissions programmes.

ONGC is pushing for renewable energy development to achieve its net-zero targets. As per reports, the oil and gas producer wants to raise its green electricity generation capacity from renewable sources from 189 MW to 1 GW by the end of the decade. The company had already announced in the past that it will set up 5 GW of RE projects in Rajasthan. ONGC Chairman said that the firm is scouting for a similar capacity and would like to add offshore wind energy projects.

Last October, ONGC had signed an agreement with the Rajasthan Government to find 5000 acres of land to house 1 GW of solar power projects. Besides, it will also produce one million tonne of green ammonia at Mangalore every year by establishing a plant. It has signed an MoU for green ammonia production with renewable energy major Greenko ZeroC.

ONGC has also said that the declining trend of oil and gas generation in 2022-23 has been reversed by it. The government owned company looks to increase production with projects both on the east and west coast of the country.