Govt holds high‑level Pre‑EOI meeting to set up green urea plants
New Delhi, June 26
The Department of Fertilizers held a high‑level Pre‑Expression of Interest meeting at PDIL headquarters in Noida to advance plans for establishing green urea plants, an official statement said on Friday.
An Invitation for Expression of Interest was issued by the Department of Fertilizers earlier this week for the establishment of Green Urea Plants in India, the statement from the Ministry of Chemicals and Fertilizers.
The initiative marks a monumental shift toward sustainable agriculture, carbon neutrality, and technological self-reliance, the ministry said.
The meeting drew broad participation from public and private stakeholders, including NTPC, Solar Energy Corporation of India, technology suppliers for ammonia‑urea, major Indian fertilizer companies and manufacturers of electrolyzers, green hydrogen and green ammonia.
The statement added that massive turn-up online and off-line from prospective players across the entire value chain indicates strong industry interest in bringing the initiative to reality.
The meeting highlighted coordinated government support to make green production economically viable, including Rs 19,744 crore from the Ministry of New & Renewable Energy to accelerate critical green energy infrastructure.
Department of Fertilizers (DoF) will create the institutional and market-parity framework to seamlessly integrate Green Ammonia into the national fertilizer manufacturing chain.
To address cost challenges and protect local fertilizer units, Solar Energy Corporation of India (SECI), has already tendered-for purchasing Green Ammonia from producers. SECI will supply it to domestic fertilizer companies at standard market-linked Grey Ammonia prices
Green Ammonia currently costs more to produce than conventional Grey Ammonia, making Green Urea uncompetitive without support.
To encourage private sector participation, a direct financial incentive scheme under the NGHM (Green Ammonia Mode 2A) was detailed.
A total procurement target of 7.24 lakh metric tonne per annum of Green Ammonia has been allocated through a transparent, competitive e-Reverse Auction managed by SECI.
Discussions also focused on technical processes, using the 150 TPD Green Urea pilot plant at Pudimadaka, Andhra Pradesh-developed by NETRA (the R&D wing of NTPC)-as a benchmark.
This facility demonstrated the integration of advanced Carbon Capture and Utilization (CCUS) systems with water electrolysis, supporting the use of carbonated fly ash, food-grade materials, and synthetic fuels.
— IANS
Reader Comments
Good intention, but I wonder about the cost. Green ammonia is more expensive than grey ammonia, and farmers are already struggling with high fertilizer prices. Will subsidies cover this? And what about the water needed for green hydrogen? In a water-stressed country, we need to think holistically. Just my two rupees.
Impressive coordination across ministries and PSUs. NTPC's R&D wing showing the way with that pilot plant. But 7.24 lakh MT per annum target seems ambitious for now. Let's see if private players step up with the right technology. India needs to leapfrog to green tech, not just follow the West.
This is the kind of forward-thinking policy we need! Using CCUS with fly ash from thermal plants is brilliant - turning waste into value. But I hope the SECI procurement mechanism actually works smoothly. Government coordination is key here, and we've seen delays before. Fingers crossed 🤞
A necessary step but execution will be everything. The cost parity mechanism with grey ammonia is smart - otherwise domestic producers would be priced out. As a farmer's daughter, I just hope this translates to lower costs for the guy in the field. Deploy at scale, do it transparently, and involve farmer cooperatives early.
Great to see India leading on green ammonia production! The e-Reverse Auction process for procurement seems transparent. But I'm concerned: is there a plan to retrain workers from existing urea plants? Green transition should be just - not leave people behind. Also, let's ensure this doesn't increase electricity demand stress on the grid.
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