India is set to convert an existing natural gas-powered ammonia and urea plant into a renewable energy-powered facility capable of producing approximately 1.1 million tonnes of green ammonia annually.
The project, undertaken by AM Green Ammonia (India) Private Limited, is backed by financing from the Asian Development Bank (ADB) and Japan.
According to the ADB, the facility is expected to become one of the world’s largest renewable-powered ammonia production plants, marking a significant step in India’s transition towards cleaner industrial production.
The financing package includes a US$100 million loan from the Leading Asia’s Private Infrastructure Fund 2, financed by the Japan International Cooperation Agency and administered by the ADB.
ADB President Masato Kanda said replacing fossil fuels with renewable energy in ammonia production could significantly reduce emissions and help transform the industry.
“By using renewable energy instead of fossil fuels, India can produce it with far lower emissions and at a scale that can help reshape this industry,” Kanda said.
The project also marks the first investment under the Action for Creating Energy Security for Long-term Resilience (ACCEL), an initiative launched by the ADB and Japan in May 2026.
The initiative aims to help countries and businesses across the Asia-Pacific region manage rising energy costs while developing more diversified and sustainable energy systems.
Green ammonia, produced using renewable energy, offers a lower-emission alternative to conventional ammonia, which is widely used in fertiliser manufacturing and other industries.
The project is expected to support India’s efforts to reduce dependence on fossil fuels and expand its clean energy industry. (Newswire)