Larsen & Toubro Ltd. (L&T) and ReNew Power, a renewable energy company, have entered into a partnership agreement to tap the emerging green hydrogen business in India.
Both firms intend to build green hydrogen projects for various industries to help them reduce dependence on fossil fuel.
Under this agreement, L&T and ReNew will jointly develop, own, execute and operate green hydrogen projects in the country and in nearby countries.
S.N. Subrahmanyan, CEO & MD, L&T said “This partnership is a significant milestone in the journey towards building a green energy portfolio for L&T. It is synergistic and brings together the impeccable track record of L&T in designing, executing, and delivering EPC projects and the expertise of ReNew in developing utility-scale renewable energy projects.”
“We believe that green hydrogen is a promising alternate fuel and an important lever for achieving a cleaner future. L&T is extremely keen to add value in this space beyond the traditional EPC approach and is looking forward to working with ReNew,” he said.
Sumant Sinha, chairman & CEO, ReNew Power said, “Green hydrogen will be a key driver of the transition to cleaner sources of energy and this partnership will allow both companies to pool their knowledge, expertise and resources to take maximum advantage of this transition.”
“I expect this partnership to set new benchmarks in the Indian renewable energy space and look forward to working together with L&T,” he added.
This partnership is expected to enable both the companies to offer green hydrogen solutions to the industry mainly to refineries, fertilizer and steel companies. The partners intend to develop end-to-end competitive solutions.
Green hydrogen produced by splitting water into hydrogen and oxygen in an electrolyser using renewable-powered electricity can enable the world to meet its net zero emissions targets, the partners said.
Many countries, including India, have announced specific policy interventions to push for the widespread adoption of green hydrogen.
“It is anticipated that green hydrogen demand in India for applications such as refineries, fertilizers and city gas grids will grow up to 2 mmtpa by 2030 in line with the nation’s green hydrogen mission. This would call for investments upward of $60 billion,” both firms said in a joint statement.
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