India Explores Roadmap For Green Urea And Green Ammonia Procurement

02 Jul 2026 CW Team

The Ministry of New and Renewable Energy will provide financial support of Rs 19,744 crore, equal to Rs 197.44 billion (bn), to accelerate green energy infrastructure. The Ministry of Chemicals and Fertilisers described the initiative as a shift towards sustainable agriculture and technological self reliance.

The Department of Fertilisers will build the institutional and market framework to integrate Green Ammonia into fertiliser manufacturing. To address higher costs versus Grey Ammonia a differential subsidy mechanism will have the Solar Energy Corporation of India purchase Green Ammonia and supply it at market linked Grey prices while the Department covers the difference. Producer incentives under NGHM Green Ammonia Mode 2A will support projects.

A procurement target of seven hundred and twenty four thousand tonne per year will be allocated via a competitive e reverse auction managed by SECI, with incentives commencing from commercial supply. Benefits will be secured for 10 years through binding agreements to provide long term certainty. The meeting also highlighted a 150 tonne per day Green Urea pilot at Pudimadaka developed by NETRA integrating carbon capture and water electrolysis.

Officials said India’s Net Zero target for 2070 and the National Green Hydrogen Mission present an opportunity to transform domestic urea production, noting continued imports of around 10 million (mn) tonne annually and the age of many plants. The roadmap envisages integrated projects combining renewable energy, Green Hydrogen, carbon capture, Green Ammonia and urea production to bolster fertiliser and energy security while supporting climate goals.

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The government is pursuing a roadmap to establish Green Urea production and plans to procure seven hundred and twenty four thousand tonne of Green Ammonia per year, equal to 0.724 million (mn) tonne (t) under the National Green Hydrogen Mission. The Department of Fertilisers convened a pre?EOI meeting at Projects and Development India Limited in Noida chaired by joint secretary K.K. Pathak, attended by public and private stakeholders. The Ministry of New and Renewable Energy will provide financial support of Rs 19,744 crore, equal to Rs 197.44 billion (bn), to accelerate green energy infrastructure. The Ministry of Chemicals and Fertilisers described the initiative as a shift towards sustainable agriculture and technological self reliance. The Department of Fertilisers will build the institutional and market framework to integrate Green Ammonia into fertiliser manufacturing. To address higher costs versus Grey Ammonia a differential subsidy mechanism will have the Solar Energy Corporation of India purchase Green Ammonia and supply it at market linked Grey prices while the Department covers the difference. Producer incentives under NGHM Green Ammonia Mode 2A will support projects. A procurement target of seven hundred and twenty four thousand tonne per year will be allocated via a competitive e reverse auction managed by SECI, with incentives commencing from commercial supply. Benefits will be secured for 10 years through binding agreements to provide long term certainty. The meeting also highlighted a 150 tonne per day Green Urea pilot at Pudimadaka developed by NETRA integrating carbon capture and water electrolysis. Officials said India’s Net Zero target for 2070 and the National Green Hydrogen Mission present an opportunity to transform domestic urea production, noting continued imports of around 10 million (mn) tonne annually and the age of many plants. The roadmap envisages integrated projects combining renewable energy, Green Hydrogen, carbon capture, Green Ammonia and urea production to bolster fertiliser and energy security while supporting climate goals.

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