Statkraft Joins Hand with Aker Horizons to Explore Green Hydrogen and Ammonia Production Opportunities in India

International renewable energy developer and generator Statkraft has signed a collaboration agreement with Aker Horizons, through its portfolio company Aker Clean Hydrogen, to jointly explore opportunities for green hydrogen and ammonia production in India, targeting local steel and fertilizer industries.
 
The Memorandum of Understanding (MoU) was signed by Rahul Varshney, Country Manager – India, Statkraft in the presence of Indian Power Minister RK Singh and Norwegian Foreign Minister Anniken Huitfeldt.
 
Commenting on the development, Jürgen Tzschoppe, Executive Vice President International Power of Statkraft, said “with considerable renewable energy production and market activities in India, Statkraft is well-positioned to capture green hydrogen opportunities in this huge and important energy market. Developing such opportunities helps us grow our business and reduces greenhouse gas emissions in India.”

Emissions from the steel and ammonia industries contribute to close to 9 per cent of the global greenhouse gas emissions and are classified as hard-to-abate sectors, and green hydrogen can provide an emission-free alternative to decarbonize these industrial sectors and an opportunity to increase the security of supply of two commodities.
 
In line with this, the two organisations have agreed to explore joint development opportunities for fully-integrated renewable power generation and green hydrogen production in India, targeting domestic hard-to-abate industries such as the steel industry, as well as ammonia for domestic use and export.
 
The steel industry in India produces about 100 million tonnes of steel annually. In India, green hydrogen can be used to replace grey, fossil fuel-based hydrogen, coal and natural gas as fuel and feedstock, which can significantly reduce CO₂ emissions, while bolstering the country’s energy security, making it less vulnerable to energy market volatility.
 
On the partnership with Statkraft, Knut Nyborg, Chief Executive Officer of Aker Clean Hydrogen, said “we are excited to join forces with Statkraft to accelerate the transition from grey to green solutions in India.”
 
Nyborg further added “the potential environmental benefits from decarbonizing hard-to-abate industries like the steel and ammonia industry in India are substantial. India is a large consumer of hydrogen, have supportive governmental policies and benefit from world-class renewable energy resources, which offers significant opportunities for green hydrogen and ammonia production.”
 
India currently consumes approximately 7 million tonnes of grey hydrogen per year, making it the world’s second-largest hydrogen consumer. The country’s current hydrogen demand is expected to reach approximately 12 million tonnes by 2030 and about 28 million tonnes by 2050. India’s commitment to reach net-zero by 2070, announced during the 26th UN Climate Change Conference, will further increase green hydrogen demand in one of the fastest-growing economies in the world.