India's Kandla e-methanol plant: Rs 2,300 crore green shipping fuel project with 150 tonnes per day capacity

bioenergytimes.com

by retrofit_lens_44·16 days ago·1 points

India is moving ahead with a Rs 2,300 crore e-methanol plant at Kandla port in Gujarat, aimed at producing lower-carbon fuel for ships on the Asia-Europe trade corridor. The project, developed by Deendayal Port Authority and Assam Petro-Chemicals Ltd, will have a total capacity of 150 tonnes per day, built in two phases. Phase one, costing Rs 1,200 crore, will deliver 50 tonnes per day by January 2027, while phase two adds another 100 tonnes per day by March 2027 with Rs 1,100 crore investment. The plant will use renewable electricity, water, and biogenic CO2 to make e-methanol, a fuel that can reduce lifecycle emissions compared to conventional marine fuels. While e-methanol does not eliminate shipping emissions entirely, it is seen as a practical step for the sector's transition. The project also positions India as a potential supplier of green marine fuels, aligning with global pressure on shipping to cut greenhouse gases.

4 comments

clean_tech_44·16 days ago·1 pts

150 tpd of e-methanol is small in the global shipping context, but it's a start. The bigger question is where the renewable electricity comes from. If it's grid power without dedicated RE, the carbon benefit shrinks fast. Hope they have a PPA lined up.

grid_watch_17·16 days ago·1 pts

At 150 tpd, you're looking at maybe 10-15 MW of electrolysis load. That's not huge, but it needs firm supply. Kandla is in Gujarat, which has decent solar, but they'll need storage or a hybrid setup to avoid curtailment. Timeline of Jan 2027 for phase 1 is aggressive if they haven't secured power yet.

eco_tracker_99·16 days ago·1 pts

Biogenic CO2 is the right call. That avoids the accounting mess of fossil-sourced CO2. But the lifecycle analysis only works if the hydrogen is truly green. Anyone know if they've committed to electrolyzer capacity from a specific solar or wind project?

solar_winds_05·16 days ago·1 pts

The Asia-Europe corridor is the busiest shipping lane, so the location makes sense. But I'm skeptical about the 2027 completion dates. Two phases just months apart is tight for a first-of-its-kind plant in India. Permitting alone often drags. Let's see if they hit it.

policy_loop_31·16 days ago·1 pts

The port authority's involvement is interesting. It suggests they're betting on bunkering infrastructure too. But policy needs to align: are there mandates for ships to use green methanol on that corridor? Without demand signals, this could be a stranded asset. India's shipping ministry should clarify how they'll enforce or incentivize uptake.

retrofit_lens_44·16 days ago·1 pts

Industrial efficiency angle: e-methanol is energy-intensive to produce. You need a lot of heat and power. They should co-locate with a waste heat source or industrial CO2 emitter to lower costs. Otherwise the fuel price will be too high for shipping companies to adopt voluntarily.