APM Terminals (APMT) Pipavav has signed a series of Memorandums of Understanding (MoUs) to develop a complete green hydrogen ecosystem and port infrastructure.
The first-move advantage of this initiative will reportedly provide economic benefits for both the local and regional economy, boost employment and support wider decarbonisation goals.
The three MoU signed by APMT pull together a consortium of local and international partners to set up a 100 per cent green value chain.
The agreements will enable the production, transportation by ship, storage and transshipment, and the distribution of hydrogen. This is expected to drive significant volumes at APMT, bring associated economic benefits and boost regional employment.
APMT signed MoU with integrated power company, NTPC, and multinational conglomerate, Welspun Group, to develop green hydrogen production and distribution facilities on land provided by the port, for both export and domestic use through various models.
As part of the agreement with NTPC the project will explore sourcing renewable power from NTPC Green Energy Limited (NGEL).
A MoU signed with the Gujarat Maritime Board will reportedly help facilitate permissions for the construction of a Liquid Berth and marine infrastructure development at Pipavav Port.
Together with a new container berth, yard, and container handling equipment, the investment is estimated to be around INR3,320 crore ($400.1 million).
“We expect hydrogen demand to rise sharply over the next two decades, and the series of MoU signed today will give Pipavav and Gujarat State a first mover advantage, making it a front runner for attracting ongoing investment to make the most of this new global opportunity,” said Girish Aggarwal, Managing Director of APMT Pipavav.
“APM Terminals Pipavav is committed to the community, environment and to the region. By signing ground breaking MoU predominantly in the capital investment and Green Hydrogen space we bring together all the parties required to make this a success and reiterate our commitment to the state of Gujarat,” Aggarwal added.