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NTPC to Set Up 20 GW Renewable Power Capacity in Andhra Pradesh for Green Hydrogen Production

Arnes BiogradlijaBy Arnes Biogradlija01/05/20232 Mins Read
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NTPC, India’s largest power producer, has recently announced its plan to build a green hydrogen hub in coastal Andhra Pradesh with a budget of more than ₹1 lakh crore.

The project will involve installing 13.4 GW of solar power and 6.6 GW of pumped storage capacity, which will be utilized for manufacturing green hydrogen through electrolysis. The renewable power capacity, including storage, will be a total of 20 GW, and the project is expected to be completed by 2030, with the first half likely by 2026-27.

The area earmarked for the project is spread over 1,200 acres, which will be divided into two areas of 600 acres each and will feature an industrial and a hydrogen hub. The industrial area will have manufacturing facilities for new energy technologies, such as electrolysers, fuel cells, batteries, solar wafers, solar modules, wind turbine equipment, and carbon capture systems.

The rationale behind creating the hub is to focus on exports in South Asia, particularly for green hydrogen and green methanol. Besides, talks are on for manufacturing green ammonia here and transporting it to the UK. The land at Pudimadaka, a coastal village around 50 km from Visakhapatnam, has been allotted by the AP Industrial Investment Corporation (APIIC).

NTPC is also holding deliberations with domestic and international companies for manufacturing electrolysers and other green energy products and services. Talks are already on with an Australian company for establishing green hydrogen manufacturing facilities, but nothing has been finalized so far.

The project is part of NTPC’s evolving strategy to expand the renewable business into green energy considering the future growth opportunities in clean energy transition. NTPC has transferred all its green energy projects to NTPC Green Energy (NGEL). Through the park, the government aims to target South Asia and European markets for green energy products, services, and technologies as India has sufficient land and skilled manpower.

In conclusion, NTPC’s green hydrogen hub in Andhra Pradesh is a significant development in the renewable energy sector in India. The project aims to provide a significant boost to the country’s green energy economy and will help India meet its COP26 pledges. It also has the potential to create a thriving ecosystem of green energy technology, products, and services, creating numerous job opportunities and accelerating India’s green energy transition.

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