State-owned Indian Oil Corporation Ltd. (IOC) on Friday announced its plan to build the country’s first green hydrogen plant at its Mathura refinery.
This push for the new age emission free fuel comes at a time when India, the world’s third-largest oil importer, is recalibrating its energy sourcing playbook keeping its strategic and economic interests in mind. Green hydrogen can be a game changer for India, which imports 85% of its oil and 53% of gas demand.
India’s largest refiner with a 32% share of the domestic market also plans to add another 25 million tonnes (mt) to its current capacity of 80.2 mt. India is a key refining hub in Asia, with an installed capacity of over 249.36 million tonnes per annum (mtpa). It has 23 refineries and plans to grow its refining capacity to 400 mtpa by 2025.
“Petroleum refining and marketing with much higher petrochemicals integration will continue to be IndianOil’s key focus area. We are going to add 25 million tonnes of refining capacity by the year 2023-24,” IOC chairman Shrikant Madhav Vaidya said in a statement.
Going ahead, the country’s largest fuel retailer plans to use green hydrogen to replace “carbon-emitting fuels used in the refinery to process crude oil into value-added products such as petrol and diesel,” and use electricity generated from clean energy sources for the same.
“While IndianOil has been working on various hydrogen production pathways, the current project at Mathura Refinery will be pioneering the introduction of green hydrogen in the Indian oil & gas sector,” the IOC statement said.