New Delhi: In a bid to diversify its operations, Maharatna PSU Oil and Natural Gas Corporation (ONGC) has inked a Memorandum of Understanding (MoU) with NTPC Green Energy Limited (NGEL) for setting up offshore wind projects, Pumped Storage Projects (PSPs) and other energy storage projects and Green Hydrogen projects. The MoU was signed on Wednesday. Under this agreement, the two companies will explore the feasibility of setting up these projects over a period of three years. NTPC Green Energy is a subsidiary of NTPC Limited.
"Oil and Natural Gas Corporation (ONGC) inked a Memorandum of Understanding (MoU) with NTPC Green Energy Limited (NGEL) to realise its Renewable Energy objectives towards energy transition on September 27. The MoU will primarily explore the feasibility and setting up of Renewable Energy Projects in various domains," said ONGC in a statement.
The MoU was signed by ONGC Executive Director Debdulal Adhikari and NGEL CEO Mohit Bhargava in the presence of ONGC Chairman & CEO Arun Kumar Singh and NTPC Limited Chairman and Managing Director & CEO Gurdeep Singh.
"The MoU envisages collaboration between the two mega entities in Renewable Power Projects in India and Overseas through offshore wind projects and exploring opportunities in the Storage, E-mobility, Carbon Credits and Green Credits, Nuclear, Green Hydrogen business and its derivatives (Green Ammonia and Green Methanol)," said the statement.
With an eye on India's net zero target of 2070, ONGC has initiated steps to diversify its business beyond oil and gas production by venturing into petrochemicals, power, and SEZ development business through Joint Venture route. Going forward into diversification ONGC has taken initiatives for Renewable Energy power generation and has installed around 189 MW capacity, including wind and solar PV plants spread across various locations. ONGC’s Energy Strategy focuses on renewable energy business. ONGC intends to achieve 10 GW RE Capacity by 2030 and has set a Net Zero target (Scope 1 & Scope 2) by 2038.