IndianOil to Invest ₹1,660 Crore in Joint Venture with NTPC.

Indian Oil Corporation (IOC), the largest oil company in India, is embarking on a significant venture into renewable energy, with an investment of ₹1,660.15 crore in a joint venture formed with the energy giant NTPC Ltd. This joint venture, named IndianOil NTPC Green Energy Pvt Ltd., was established with a 50:50 ownership split between IOC and NTPC to develop renewable energy projects aimed at meeting the round-the-clock power needs of IOC's refineries.

In an announcement made via a stock exchange filing, IOC reported that its board, during a meeting held on October 13, approved the investment plan for the joint venture company. This plan is intended to facilitate the establishment of renewable energy power plants. Additionally, IOC's board gave the green light to an equity contribution of up to ₹1,660.15 crore to secure its 50 percent share in the equity share capital of the joint venture.

The joint venture was officially incorporated on June 2, with IOC partnering with NTPC Green Energy Limited, a wholly-owned subsidiary of NTPC Limited. The primary objective of IndianOil NTPC Green Energy Private Limited is to develop renewable energy-based power projects, including solar photovoltaic, wind, and other renewable energy sources, along with energy storage solutions. These projects will be designed to meet the continuous power requirements of new projects within Indian Oil Refineries, with the goal of generating a minimum capacity of 650 MW of round-the-clock renewable power to fulfill IOC's energy needs.

NTPC, through its subsidiary NGEL (NTPC Green Energy Limited), has set an ambitious target of building a renewable generation portfolio of 60 GW over the next decade as it aggressively pursues its green energy initiatives.

Previously, in March, IOC announced the consolidation of its green assets to enhance synergy, with the aim of building a portfolio of 3 GW of renewable energy and producing 0.6 million tonnes of biofuels by 2025. These renewable energy goals are set to expand to 35 GW by 2030 and an impressive 200 GW by 2050. In addition, the company plans to increase its biofuel production capacity from agricultural and municipal waste to 7 million tonnes and biogas to 9 million tonnes by 2050.

Currently, IOC's renewable energy portfolio stands at 239 MW, but it is actively expanding through new projects involving wind, solar, hydropower, and pumped hydro. Collaborating with NTPC, IOC is looking to bolster its renewable energy capacity by approximately 2.8 GW.

Furthermore, IOC is undertaking efforts to solarize 20,705 petrol pumps with a total installed capacity of 121 MW. It is intensifying its involvement in the electric vehicle (EV) sector by establishing 4,700 charging stations and 66 battery swapping stations. Additionally, IOC has entered into a battery joint venture with Israeli startup Phinergy.

The company is also making its mark in the emerging green hydrogen sector in India, with confirmed collaborations with ReNew Power Private Limited (ReNew) and Larsen & Toubro Limited (L&T) for green hydrogen projects. A green hydrogen capacity of 7 kilo-tonnes per annum is currently under development at the Panipat refinery.

Indian Oil Corporation (IOC), the largest oil company in India, is embarking on a significant venture into renewable energy, with an investment of ₹1,660.15 crore in a joint venture formed with the energy giant NTPC Ltd. This joint venture, named IndianOil NTPC Green Energy Pvt Ltd, was established with a 50:50 ownership split between IOC and NTPC to develop renewable energy projects aimed at meeting the round-the-clock power needs of IOC's refineries.

In an announcement made via a stock exchange filing, IOC reported that its board, during a meeting held on October 13, approved the investment plan for the joint venture company. This plan is intended to facilitate the establishment of renewable energy power plants. Additionally, IOC's board gave the green light to an equity contribution of up to ₹1,660.15 crore to secure its 50 percent share in the equity share capital of the joint venture.

The joint venture was officially incorporated on June 2, with IOC partnering with NTPC Green Energy Limited, a wholly-owned subsidiary of NTPC Limited. The primary objective of IndianOil NTPC Green Energy Private Limited is to develop renewable energy-based power projects, including solar photovoltaic, wind, and other renewable energy sources, along with energy storage solutions. These projects will be designed to meet the continuous power requirements of new projects within Indian Oil Refineries, with the goal of generating a minimum capacity of 650 MW of round-the-clock renewable power to fulfill IOC's energy needs.

NTPC, through its subsidiary NGEL (NTPC Green Energy Limited), has set an ambitious target of building a renewable generation portfolio of 60 GW over the next decade as it aggressively pursues its green energy initiatives.

Previously, in March, IOC announced the consolidation of its green assets to enhance synergy, with the aim of building a portfolio of 3 GW of renewable energy and producing 0.6 million tonnes of biofuels by 2025. These renewable energy goals are set to expand to 35 GW by 2030 and an impressive 200 GW by 2050. In addition, the company plans to increase its biofuel production capacity from agricultural and municipal waste to 7 million tonnes and biogas to 9 million tonnes by 2050.

Currently, IOC's renewable energy portfolio stands at 239 MW, but it is actively expanding through new projects involving wind, solar, hydropower, and pumped hydro. Collaborating with NTPC, IOC is looking to bolster its renewable energy capacity by approximately 2.8 GW.

Furthermore, IOC is undertaking efforts to solarize 20,705 petrol pumps with a total installed capacity of 121 MW. It is intensifying its involvement in the electric vehicle (EV) sector by establishing 4,700 charging stations and 66 battery swapping stations. Additionally, IOC has entered into a battery joint venture with Israeli startup Phinergy.

The company is also making its mark in the emerging green hydrogen sector in India, with confirmed collaborations with ReNew Power Private Limited (ReNew) and Larsen & Toubro Limited (L&T) for green hydrogen projects. A green hydrogen capacity of 7 kilo-tonnes per annum is currently under development at the Panipat refinery.

HBL