Rajasthan To Get 1 GW Solar Power Plant By ONGC

Oil and Natural Gas Corporation (ONGC) is planning to build a 1 GW solar power plant in Rajasthan as a crucial step toward gaining a footing in the green energy sector. The management stated that the company has made contract with the state government to find 5000 acres of land to house its planned 1 GW project.

An ONGC official said, “We’re in contact with the government. We will proceed with the project at full speed as soon as the land is allocated. After receiving the authorised land, the mission may cost 5,000 crores and take three years to accomplish.”

The proposed facility will enable the company to sell power on the market in addition to helping to meet the internal needs for electrical energy.

ONGC hardly has a footprint at the moment in the renewable energy sector, with only 153 MW of wind and 31 MW of solar technological capacity. However, it has recently started to act on its unproven goals by working hard on several projects and forming partnerships with some power companies.

Together with Equinor of Norway, ONGC is investigating the feasibility of an offshore wind farm mission. To organise renewable energy projects, it has reached a preliminary agreement with NTPC, the country’s largest generator.

To set up a green hydrogen project, it has also partnered with Greenko, one of India’s major renewable energy companies.

To contribute to the fight against climate change and fulfill the nation’s expanding energy needs, pressure has been put on ONGC and other Indian oil companies to make significant inroads into the green agenda.

India’s oil production has been declining for years, and the almost complete lack of foreign investment in the upstream sector implies domestic players must do more to boost domestic output.

High oil and gasoline prices have improved ONGC’s cash flow, placing greater pressure on it to look for additional funding options.

Although ONGC executives believe that domestic demand for oil and gasoline won’t decline for a lot of years, they also believe that participation in the green energy sector is crucial in the fight against climate change.

Recently, Oil and Natural Gas Corporation (ONGC) and renewable energy company Greenko ZeroC signed a Memorandum of Understanding (MoU) to make green hydrogen, and green ammonia and jointly explore new markets in renewables, and other derivatives of green hydrogen.