Union Minister of New and Renewable Energy, Pralhad Joshi, said that the exchange of Green Ammonia Purchase Agreements and Green Ammonia Supply Agreements marks an important step in strengthening India’s energy security, especially at a time when the world is facing uncertainty. He was addressing the Exchange of Green Ammonia Agreements for the fertiliser sector under the National Green Hydrogen Mission at Atal Akshay Urja Bhawan in presence of Union Minister of Health & Family Welfare and Chemicals & Fertilisers J P Nadda, according to PIB release.
Union Minister Joshi highlighted that under the leadership of the Prime Minister Narendra Modi, India has demonstrated that economic growth and climate action can move together at scale and at speed. He noted that India is today one of the fastest growing renewable energy markets in the world and is on track to achieve 500 GW of non-fossil fuel capacity by 2030.
The exchange of agreements between industry, SECI and fertilizer companies, with a tenure of 10 years, marks a key milestone towards operationalising these projects, the Minister said. The long-term agreements provide demand certainty, enable financial closure and support large-scale investments in green ammonia production.
The Minister emphasised that energy security is closely linked to national security and highlighted the importance of reducing import dependence in critical sectors. He stated that replacing imported grey ammonia with green ammonia will strengthen domestic capability and build resilient supply chains. The initiative is expected to result in foreign exchange savings of approximately $2.5 billion over a period of 10 years through substitution of imported grey ammonia in non-urea based fertilizer units.
The Minister further noted that the next phase of India’s energy transition will focus on hard-to-abate sectors such as fertilizers, refineries, steel and transport, where green hydrogen and its derivatives will play a critical role. He added that green ammonia will not only serve as a clean feedstock but also help build a new industrial ecosystem, generate jobs and attract investments.
Large-Scale Allocation to Fertilizer Sector
Union Minister J. P. Nadda, described the initiative as a historic and forward-looking step towards building a robust green ammonia ecosystem in the country. He said that the agreements mark the operationalisation of green ammonia in India and reflect the Government’s strong commitment to promoting sustainable and affordable solutions in the fertilizer sector.
Highlighting India’s development model, he noted that the country has demonstrated that growth and sustainability can go hand in hand under the leadership of Prime Minister Modi. He emphasised that the initiative will reduce dependence on imports, improve affordability, and strengthen self-reliance in the fertilizer sector, ensuring that farmers have nothing to worry about. He further stated that with the allocation of about 7.24 lakh tonnes per annum of green ammonia, the country is moving decisively towards an Aatmanirbhar Bharat, while also creating new opportunities for growth and investment in the sector.
Union Minister of State for Power & New and Renewable Energy, Shripad Yesso Naik, Rajat Kumar Mishra, Secretary, Department of Fertilizers (DoF) and Santosh Kumar Sarangi, Secretary, Ministry of New and Renewable Energy (MNRE) also attended the event along with other senior officials from DoF, MNRE, and SECI.
