India’s Oil & Gas Major, Largest Utility Company Form Offshore Wind Joint Venture

Business & Finance

February 8, 2024, by Adrijana Buljan

Oil and Natural Gas Corporation (ONGC) and NTPC Green Energy Limited (NGEL) have signed a joint venture agreement to develop offshore wind energy projects both in India and internationally.

The agreement, signed on 7 February, will see India’s largest oil and gas company and the fully owned subsidiary of India’s largest utility company NTPC joining forces to develop renewable energy and other energy transition projects, with a primary focus on offshore wind.

The partners will also explore potential opportunities in areas such as energy storage and green hydrogen and its derivatives such as green ammonia and green methanol.

The agreement on forming the joint venture follows a memorandum of understanding (MOU) the two companies signed last year.

Under the MOU, ONGC and NGEL were exploring the feasibility and identifying potential renewable energy projects across various sectors.

Both the MOU and the joint venture agreement are built upon an MOU that NTPC, the parent company of NGEL, and ONGC signed back in 2020, outlining the path to setting up a joint venture company in the renewable energy market.

The signing of the joint venture agreement between India’s two energy majors came shortly after the country launched the 4 GW offshore wind tender, offering areas for development off Tamil Nadu.