AM Green Ammonia: transmission infrastructure upgrades approved in India
By Geofrey Njovu on January 28, 2025
India’s National Committee on Transmission (NCT) has approved AM Green Ammonia’s application for general access to India’s inter-state electricity transmission system. AM Green Ammonia made the application requesting access to transmit 700MW and 1300MW of renewable electricity from July 2026 and January 2027, respectively. The renewable electricity, to be supplied by Gentari, will be used for the company’s renewable hydrogen and ammonia mega-production site in Kakinada, Andhra Pradesh.
To facilitate this, the authorities approved plans to upgrade transmission infrastructure by setting up a nearby 765/400 kV substation, with space to add a further three substations. The upgrade, which the NCT recommended to India’s Ministry of Power, would be completed in 24 months, costing about$188 million. This decision is subject to the ammonia project hitting key milestones for progress to its second phase, such as land acquisition. The Central Transmission Utility of India Limited projects that by 2030, renewable hydrogen and ammonia projects in the Kakinada area will have a cumulative demand of about 6GW of renewable electricity.
AM’s Kakinada project, which has already been awarded RFNBO pre-certification, reached FID in August last year for its 1 million tons-per-year first phase. The project will produce about 5 million tons per year of renewable ammonia once fully operational (by 2030). AMG Ammonia already has offtake agreements in place with Yara, Keppel and Uniper for its India-based projects.
Gentari & AM Green Ammonia: continuous renewable energy PPA
Energy supplier Gentari and AM Green Ammonia have signed a Power Purchase Agreement (PPA) in which Gentari will supply 650 MW of “round-the-clock” renewable energy to power AM Green Ammonia’s renewable ammonia facilities.
The firm and binding long-term PPA will see Gentari set up about 2,400 MW of wind and solar energy capacity in India’s Andhra Pradesh and Karnataka states. This will be integrated with 350 MW (2100 MWh) energy storage to supply firm and dispatchable power. The arrangement means that Gentari will match the Kakinada renewable ammonia plant’s energy requirements on an hourly basis (first phase).
The arrangement also aligns with the Renewable Fuels of Non-Biological Origin (RFNBO) framework, allowing AM Green Ammonia to access the European market in addition to other geographies.
We are elated to embark on this collaboration with AMG Ammonia, as it holds tremendous potential for accelerating the development of renewable assets in India. The solar project will be constructed at a single location and the wind projects will be spread across multiple locations connected through the ISTS network. This will be a one-of-its-kind project, integrating with energy storage to supply firm and dispatchable green energy to AMG Ammonia’s facilities. With our aligned vision and extensive expertise, we aim to drive rapid progress in expanding India’s renewable energy capacity and fostering sustainable growth in the green electron-to-molecule chain.
Navjit Gill, Gentari Country Head for India, in AM Green’s official press release, 9 December 2024
We are committed to contribute to India’s ambition of emerging as a green energy exporter and are targeting 5 MTPA green ammonia capacity by 2030. We look forward to deepening our partnership with Gentari and are confident that this agreement will be the first among many other agreements over the years. In Gentari, we have found a partner with a similar vision and immense capabilities.
Mahesh Kolli, Founder, Greenko Group & AM Green, in his organisation’s official press release, 9 December 2024