Larsen & Toubro, India’s infrastructure and engineering behemoth, said on Thursday that it has reached an agreement with Norway’s Hydrogen Pro to build a gigawatt of “green hydrogen” electrolyzer in India.
Larsen & Toubro and Hydrogen Pro have agreed to form a joint venture in India to construct a gigawatt-scale alkaline water electrolyzer based on Hydrogen Pro technology for the Indian market and a few other countries.
According to the website of the Indian monthly “Swarajya” magazine, India is a particularly favorable setting for green hydrogen manufacturing because of the cheap prices of generating renewable electricity from solar PV sources and the quantity of wind energy.
Prospects for Collaboration
Hydrogen Pro, a prominent provider of electrolyzer technology, is aiming for a green hydrogen production cost of $1.2 per kilogram in 2022, with its core offering being the creation of a high-pressure alkaline electrolyzer.
According to the business, their innovative electrode technology lowers the cost of electrical energy, which accounts for 70-90 percent of the cost of manufacturing green hydrogen.
The planned joint venture is in accordance with Larsen & Toubro’s strategic goal of joining the green energy value chain and Hydrogen Pro’s aim of establishing a worldwide manufacturing edge, according to the company.
The energy business is experiencing a profound shift, according to Larsen & Toubro’s CEO, with green hydrogen emerging as a significant fuel in the future energy basket.
Given the two firms’ vast relationships across the energy industry and strong competence in engineering, procurement, and construction, he continued, the MoU with Hydrogen Pro represents a win-win agreement.
Illing Nygaard, CEO of Hydrogen Pro, was thrilled to sign a Memorandum of Understanding with Larsen & Toubro, which is the appropriate partner for launching Hydrogen Pro in the Indian market, which has a significant potential for hydrogen-based solutions.
Ambitions
India has launched the world’s largest renewable energy growth plan, aiming to generate 175 GW of renewables by 2022 and 500 GW by 2030.
India aspires to attain energy security by lowering its rising energy import cost and providing a green alternative to businesses like refineries, fertilizers, steel, and transportation, which have difficult-to-mitigate emissions.
According to India’s green hydrogen strategy, which calls for $60 billion in expenditures, demand for green hydrogen is estimated to reach two million metric tons per year by 2030.
