August 17, 2023 [Upstream]- India’s state-controlled Oil & Natural Gas Corporation (ONGC) is planning to significantly boost its renewables portfolio by the end of this decade with $12 billion of investments.
The company said on Tuesday that it is “charting a roadmap for opportunities in renewable energy and low-carbon sectors” aimed at scaling up its renewable portfolio to 10 gigawatts by 2030.
“ONGC is in an advanced stage of crafting collaborations with leading players in the energy space on various low-carbon energy opportunities including renewables, green hydrogen, green ammonia and other derivatives of green hydrogen,” it stated.
The company currently has 189 megawatts of electricity generation capacity from renewables and its new target of 10 GW capacity by 2030 could prove to be an ambitious one, industry sources have indicated.
The company’s chief executive Arun Kumar Singh recently said that the company is aiming to achieve net-zero carbon emissions by 2038 on the back of multiple low-carbon projects.
The Indian giant is exploring opportunities in offshore wind but did not reveal which projects are being targeted.
ONGC also aims to set up a 1 million tonnes per annum green ammonia plant at Mangalore.
In addition, ONGC stated that it is ramping up its focus “on research and development in carbon capture, utilization, and storage (CCUS) technologies to mitigate emissions from existing processes”.
The company has aligned itself with India’s ambitious goals to “curtail carbon emissions by 1 billion tonnes and simultaneously reduce carbon intensity by 45% by 2030”.
However, ONGC reiterated that oil and gas exploration and production “will remain the cornerstone of its energy business”.
“Extensive exploration in known basins as well as frontier plays, sustained production from existing fields and exploitation of deep-water fields remain the central areas of emphasis,” it noted.
ONGC has previously said it has cut the carbon emissions intensity of its operations by more than 12% since 2016.
India’s public-sector enterprises are under pressure from the government to scale down emissions and reduce their carbon footprints in line with global practices.
The government earlier unveiled a proposal that could compel oil refineries and fertiliser plants to use green hydrogen.
While ONGC has been predominantly focusing on its oil and gas operations, it has registered 15 clean development mechanism (CDM) projects with the United Nations Framework Convention on Climate Change under the Kyoto Protocol as a part of its sustainability drive.
ONGC’s CDM portfolio is said to include several solar-power projects, along with plans for wind power and carbon capture, utilisation and storage projects.
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