RWE Supply & Trading has signed a MoU with AM Green Ammonia B.V. (AMG) for the long-term provision of 250,000 tonnes of green ammonia annually from AMG’s facilities in India. The ammonia will be produced at the Kakinada and Tuticorin sites in India, with an initial production of 50,000 tonnes at Kakinada and up to 200,000 tonnes sourced from Tuticorin. 

The production will be powered by solar, wind, and hydroelectric energy, ensuring compliance with EU standards for Renewable Fuels of Non-Biological Origin (RFNBO) under the Renewable Energy Directive (RED III). The Kakinada facility has received pre-certification for RFNBO compliance, and other facilities are expected to undergo the same process. The deliveries from AMG’s sites are anticipated to begin in 2027, with a subsequent offtake agreement to outline the contractual terms between RWE and AMG.

In May 2024, RWE announced plans to develop a green hydrogen project in Grangemouth, Scotland. Under the terms of the project, RWE will supply the first hydrogen produced to INEOS Grangemouth. Once completed, approved, and operational, the initial capacity is expected to be up to 200 MWe, capable of producing up to 3.6 tonnes of hydrogen per hour, with the possibility of expanding to 600 Mwe later. 

REGlobal’s Views: India is expected to emerge as an important export hub for green hydrogen and its derivatives especially for the industries in Europe. RWE is building its own green hydrogen facilities as well as supplementing this with other collaborations with various green hydrogen producers globally, to ensure carbon-free fuels for industries in Europe.