ONGC to Invest ₹2 Lakh Crore in Green Hydrogen and Renewable Energy for Net Zero Emissions

State-owned Oil and Natural Gas Corporation (ONGC) is gearing up to invest approximately ₹2 lakh crore to achieve its goal of net zero carbon emissions by 2038. This ambitious plan includes setting up renewable energy sites, green hydrogen plants, and eliminating gas flaring entirely.

ONGC, which accounts for a significant portion of India’s crude oil and natural gas production, unveiled a detailed 200-page roadmap outlining its path to net zero emissions. The company aims to balance its clean energy initiatives while maintaining its hydrocarbon output to meet national energy demands.

Key Investments and Projects:

1. Renewable Energy and Green Hydrogen: ONGC will invest ₹97,000 crore by 2030 to establish 5 gigawatts (GW) of renewable energy capacity, including solar parks, wind turbines, biogas facilities, and offshore wind projects.
2. Green Hydrogen and Ammonia: An additional ₹65,500 crore will be allocated by 2035 for green hydrogen and/or green ammonia plants, with another ₹38,000 crore earmarked by 2038 for offshore wind projects totaling 1 GW.
3. Gas Flaring Reduction: ONGC plans to invest ₹5,000 crore to eliminate gas flaring by 2030 through advanced technologies, aiming to significantly reduce methane emissions.
4. Offshore Wind and Pump Storage: Initiatives include installing 0.5 GW of offshore wind turbines by 2030 and expanding to 1 GW by 2035. The company will also invest ₹20,000 crore to develop 3 GW of pump storage plants for storing electricity from renewable sources.
5. Additional Clean Energy Initiatives: Investments will extend to biogas, carbon capture technologies, and other clean energy projects to further reduce environmental impact.

Despite these green initiatives, ONGC will continue its exploration and production activities to meet ongoing energy demands. Crude oil extracted by ONGC fuels industries and vehicles, while natural gas is used for electricity generation and other industrial applications.

The company’s commitment to achieving net zero emissions involves addressing both direct emissions (Scope 1) from its operations and indirect emissions (Scope 2) from purchased energy sources.

In the fiscal year 2023-24, ONGC produced 21.14 million tonnes of oil and 20.648 billion cubic metres of gas, underscoring its pivotal role in India’s energy sector.