What is Adani-TotalEnergies deal?: The companies said on Tuesday that this is as part of a deal with Adani Enterprises Ltd to develop the world’s largest green hydrogen ecosystem.
French energy major TotalEnergies will buy 25 per cent stake in Adani New Industries Ltd (ANIL). Adani and Total Energy will create the world’s largest green hydrogen ecosystem. Adani New Industries Limited will invest $50 billion in Green Hydrogen.
The companies said on Tuesday that this is as part of a deal with Adani Enterprises Ltd to develop the world’s largest green hydrogen ecosystem. Here’s what you need to know about the Adani-Total Energy deal.
What is Adani-TotalEnergies deal?: India, the world’s third largest carbon dioxide emitter, plans to produce 5 million tonnes of green hydrogen annually by 2030, according to a Reuter’s report, to help it become a net-zero carbon emitter by 2070.
ANIL aims to invest $50 billion over a decade in green hydrogen and allied ecosystems. In the starting phase, it plans to develop green hydrogen production capacity of one million tonnes per year by 2030.
India has endorse stimulus plans and companies including Reliance Industries, Indian Oil Corp and Adani Group have commited to invest billions of dollars to develop clean energy projects in India.
Green hydrogen produced using renewable energy has some of the best environmental credentials of the various colors of the clean burning fuel.
What is Adani-TotalEnergies deal?: The Adani Group already has tie-ups with TotalEnergies to build liquefied natural gas terminals, gas utilities and renewable energy businesses in India.
TotalEnergies, one of the world’s largest oil and gas producers, has faced criticism from climate activists and has in recent years been moving into the renewable energy sector and moving away from hydrocarbon-focused activities.
Billionaire Gautam Adani said, “Our belief in our ability to produce the world’s least expensive electron will drive our ability to produce the world’s least expensive green hydrogen. This partnership will open up many exciting downstream avenues.”
Patrick Poyne, chief executive of TotalEnergies, said the entry of ANIL “is a major milestone in implementing our low-carbon hydrogen strategy.”
In addition to decarbonizing the hydrogen to be used at its European refineries by 2030, Poyne said the French energy major also plans to pursue mass production of green hydrogen as it expects by the end of this decade. The market will boom.