ACME Cleantech Solutions Private Limited (ACME Group) has locked in long-term offtake deals with two major Japanese companies under the National Green Hydrogen Mission (NGHM) IHI Corporation for green ammonia and Mitsubishi Gas Chemical Company, Inc. (MGC) for green methanol. The agreements were signed at a ceremony held at Atal Akshay Urja Bhawan in New Delhi.
The National Green Hydrogen Mission was approved in January 2023 with an outlay of ₹19,744 crore, with the aim of positioning India as a global hub for producing, using, and exporting green hydrogen and its derivatives. The Mission runs a programme called SIGHT (Strategic Interventions for Green Hydrogen Transition) which provides financial support for production through a transparent bidding process managed by the Solar Energy Corporation of India (SECI). ACME Group has been awarded a production capacity of 3,70,000 tonnes per annum (370 kTPA) under SIGHT, and that allocation forms the backbone of these export deals.
The deals: green ammonia and green methanol
Under the agreement with IHI Corporation, ACME will supply 4,05,000 tonnes per annum (405 kTPA) of green ammonia. The arrangement is backed by Japan’s Contract for Difference (CfD) scheme for low-carbon ammonia, administered by METI, which provides price support to Japanese off-takers and ensures the long-term commercial viability of such imports.
ACME has also signed a 10-year deal with Mitsubishi Gas Chemical Company for the supply of 1,00,000 tonnes per annum (100 kTPA) of green methanol from its Paradip facility. The project is aligned with global decarbonisation goals, particularly in the maritime sector, and is designed to meet European Renewable Fuels of Non-Biological Origin (RFNBO) requirements as well as International Maritime Organization (IMO) standards for cleaner marine fuels.
What the deals signal
Union Minister for New & Renewable Energy Pralhad Joshi said the agreements reflect broader confidence in India’s green hydrogen ecosystem. “I welcome Japan’s decision to extend its CfD subsidy support to the ACME-IHI Green Hydrogen project. It reflects the growing global confidence in India’s green hydrogen ecosystem and our emergence as a trusted partner in the global clean energy transition. Under the leadership of Prime Minister Shri Narendra Modi ji, the National Green Hydrogen Mission is creating a strong and future-ready ecosystem. It is attracting global investments, building international partnerships, and opening new markets for Indian green hydrogen and its derivatives,” he said.
Secretary of the Ministry of New & Renewable Energy, Santosh Kumar Sarangi, said the agreements have delivered three things the Mission was looking for: a market linkage with Japan for green ammonia and green methanol that gives investors confidence; proof that the green hydrogen sector is becoming commercially mature, with Indian clean fuels now being positioned as a reliable supply source for the global market; and the creation of international green hydrogen and green ammonia value chains. Takehiko Matsuo, Vice Minister at Japan’s METI, also addressed the event, calling the agreements a flagship outcome of deepening India-Japan cooperation in clean energy.
Scale and strategic significance
These deals represent one of the largest green ammonia and methanol offtake commitments from India to Japan to date. They point to the growing commercial maturity of India’s green hydrogen ecosystem and reinforce long-term demand for the production capacities built under the SIGHT programme. For Japan, the partnerships serve energy transition and energy security objectives by securing a stable supply of low-carbon fuels from India.
The agreements were signed in the presence of senior officials from the Ministry of New and Renewable Energy, representatives from the Government of Japan including METI, and leadership from ACME Group, IHI Corporation, and MGC, following project overviews presented by the ACME Group.
Key Takeaway: The long-term offtake agreements signed by ACME Group with IHI Corporation for 405 kTPA of green ammonia and Mitsubishi Gas Chemical Company, Inc. (MGC) for 100 kTPA of green methanol mark a significant milestone under the National Green Hydrogen Mission. Backed by the SIGHT programme, the agreements strengthen India’s position as a global supplier of green hydrogen derivatives, support the development of international green hydrogen value chains, and reinforce India-Japan cooperation in clean energy and low-carbon fuel supply.
M.C.Q.
Question 1: The National Green Hydrogen Mission was approved by the Government of India in:
- A. January 2021
- B. January 2022
- C. January 2023
- D. July 2023
Question 2: The SIGHT program under the National Green Hydrogen Mission is implemented through which organization?
- A. NTPC Limited
- B. Indian Renewable Energy Development Agency (IREDA)
- C. Power Grid Corporation of India
- D. Solar Energy Corporation of India (SECI)
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