Photo Courtesy: nenow
Guwahati: Assam Chief Minister Himanta Biswa Sarma, Gujarat Chief Minister Bhupendra Patel, and Union Minister Sarbananda Sonowal broke ground at Deendayal Port in Kandla, Gujarat. The officials gathered for the foundation stone-laying and Bhoomi Pujan ceremony for a high-capacity e-methanol production plant. It is a major push for green energy. This joint venture between Assam Petro-Chemicals Limited and the Deendayal Port Authority carries an estimated investment of Rs 2,300 crore.
The facility will produce 150 tonnes of e-methanol every day. Annual output should reach 50,000 tonnes once the site hits full capacity. This fuel serves as a low-carbon alternative for the maritime sector. It helps lower carbon emissions across the shipping industry. The first phase requires over Rs 1,200 crore to get off the ground.
The project will generate more than 3,500 direct and indirect jobs. This move allows the state-owned APCL to expand its operations far beyond the borders of Assam. It gives the company a national stage to prove its technical and commercial strength. Speaking at the event, Sarma noted, "The project as a significant development for the state, noting that an Assam-based public sector undertaking was extending its operations beyond the state and contributing to India’s clean-energy transition." The leaders hope this collaboration pushes India toward its broader energy goals.
Updated at 26th September 2026 at 10:00pm
The project will roll out in two stages. The first phase, slated for completion by January 2027, adds 50 tonnes of daily capacity for Rs 1,200 crore. The second phase finishes by March 2027, adding another 100 tonnes with an additional Rs 1,100 crore investment. The DPA and APCL split the capital 76 to 24. DPA is kicking in 75 acres of land, desalinated water, green hydrogen, and Rs 567.32 crore in equity.
Engineers plan to manufacture the fuel using renewable power, water, and biogenic carbon dioxide. At an estimated cost of US$750 per tonne, this domestic product aims to undercut the global rate of US$1,300 per tonne. The fuel targets vessels running the Asia-Europe trade corridor.
Gujarat Chief Minister Bhupendra Patel said, "Gujarat is proud to lead that journey. Kutch and the long coastline of Gujarat will now power the world's ships through Kandla. This plant turns our renewable strength into an export and makes Gujarat's coast a gateway for India's green energy to the world."
Union Minister Sarbananda Sonowal added, "Just as India is now building its own ships and containers, it will soon make the clean fuel that powers global trade. In the years ahead, Kandla will become a green-fuel hub on the Singapore-Rotterdam route, and this plant a model for every major port in the country."
The push is part of a larger plan to add 100 ships to the national merchant fleet within five years, aiming for a spot among the world's top five ship-owning nations by 2047. Other maritime infrastructure efforts include a Rs 1,520-crore shipbuilding project at Vadinar and a proposed repair cluster in Porbandar.
Comments