Bharat Petroleum Corporation (BPCL) has announced joint ventures (JV) with Sembcorp Green Hydrogen India (SGHI) and Bengaluru-based GPS Renewables to develop green hydrogen and compressed biogas (CBG) projects, respectively.

With Sembcorp, BPCL plans to develop, construct, and operate renewable energy projects and green hydrogen and its derivatives projects across India. It also plans to sell renewable energy and green hydrogen.

As part of the JV with GPS Renewables, BPCL plans to construct, operate, and maintain CBG plants across India, including selling CBG and its derivatives. BPCL plans to meet its CBG blending obligation mandate through this venture.

BPCL will hold 50% shareholding in both the JVs. Sembcorp Green Hydrogen and GPS Renewables will hold the remaining 50% in their respective JVs.

The consideration for the share capital subscription will be finalized when signing the definitive agreement.

BPCL plans to commission 10 GW of renewable energy by 2035. The company plans 200-300 CBG projects of 1.3 million metric tons annually and 2000 million tons per year of biomass-based hydrogen projects by 2040.

Speaking to Mercom India, a spokesperson from GPS Renewables said the company has planned 8-12 CBG projects with a total capacity of 150 tons per day. Each unit is estimated to have a capacity of 15 tons per day.

The capacity of the proposed plants will depend on the availability of suitable feedstock and CBG offtake potential. The projects will be set up in Uttar Pradesh, Bihar, Maharashtra, Odisha and West Bengal.

The CBG projects are planned to be operationalized in FY 2025-26 & FY 2026-27.

In August 2024, Sembcorp Industries commenced work on a green ammonia project in Tuticorin, Tamil Nadu. The company plans to export 200,000 MTPA of green ammonia to Japan in the first phase.

In April 2024, GPS Renewables secured $50 million in debt financing from a consortium of banks and non-banking financial companies to accelerate the rollout of its CBG and Renewable Natural Gas projects.