NTPC and ONGC Join Forces for Green Energy Initiatives in India
In an exciting development, two major Indian companies, NTPC and ONGC, have teamed up to create a joint venture focused on renewable energy. This collaboration involves their green energy subsidiaries, NTPC Green Energy Ltd and ONGC Green Energy Ltd. The Ministry of Power announced this partnership, which aims to explore new energy opportunities.
Joint Venture Details
The joint venture agreement was signed on February 7, 2024, during India Energy Week 2024. After receiving necessary approvals from DIPAM and NITI Aayog, NTPC Green Energy Ltd has applied to the Ministry of Corporate Affairs to establish a 50:50 joint venture with ONGC Green Energy Ltd.
Focus Areas
The new company will explore various renewable energy sectors, including solar, wind (both onshore and offshore), energy storage, and green molecules like hydrogen and ammonia. It will also look into sustainable aviation fuel, green methanol, e-mobility, and carbon credits. Additionally, the joint venture plans to acquire renewable energy assets and participate in offshore wind tenders in Tamil Nadu and Gujarat.
Strategic Goals
The Ministry of Power highlighted that this partnership aligns with India’s goals for a sustainable future. Both companies bring expertise and resources to significantly impact India’s renewable energy landscape, promoting innovation and environmental care.
India’s Green Energy Commitment
India is working to reduce its reliance on fossil fuels by embracing renewable energy. At the COP26 summit in 2021, India made a “Panchamrit” pledge, aiming for 500 GW of non-fossil electricity capacity and generating half of its energy from renewables by 2030. The country also plans to cut emissions by 1 billion tonnes and reduce GDP emissions intensity by 45% by 2030, with a goal of net-zero emissions by 2070.
Doubts Revealed
NTPC -: NTPC stands for National Thermal Power Corporation. It is a large company in India that produces electricity, mainly using coal and gas. They are now also focusing on green energy, which is energy that is good for the environment.
ONGC -: ONGC stands for Oil and Natural Gas Corporation. It is a big company in India that finds and produces oil and gas. They are now working on green energy projects to help the environment.
Green Energy -: Green energy is energy that comes from natural sources like the sun, wind, and water. It is called ‘green’ because it does not harm the environment like burning coal or oil does.
Joint Venture -: A joint venture is when two or more companies come together to work on a project. They share resources and knowledge to achieve a common goal.
Renewable Energy -: Renewable energy is energy that can be used over and over again, like solar and wind power. It does not run out and is better for the planet.
Green Molecules -: Green molecules refer to clean fuels like hydrogen that do not pollute the air. They are used to power things without harming the environment.
Offshore Wind Tenders -: Offshore wind tenders are competitions to build wind farms in the sea. These wind farms use wind to make electricity and are located away from land.
Net-zero Emissions -: Net-zero emissions mean balancing the amount of greenhouse gases put into the air with the amount taken out. It helps stop climate change and is a goal for many countries, including India.
