Larsen & Toubro (L&T) has signed an agreement to manufacture electrolysers with McPhy Energy, a France-based electrolyser technology and manufacturing specialist. Both companies intend to form a long-term partnership to investigate the opportunities emerging in the emerging green hydrogen market. L&T intends to build a gigatonne-scale manufacturing facility for electrolysers based on McPhy technology in India to meet domestic demand as well as those from other selected geographies.
McPhy will grant L&T an exclusive licence of its pressurised alkaline electrolyser technology for the manufacture of electrolysers, including future product upgrades, as part of this collaboration. The proposed agreement aligns with L&T’s strategic vision of being present throughout the green energy value chain, while the collaboration also advances McPhy’s goal of expanding beyond the European market.
The collaboration will capitalise on L&T’s strong presence in the energy sector across the entire value chain of manufacturing, EPC, and services, as well as McPhy’s technology and research leadership in this sector.
REGlobal’s Views: L&T has taken many initiatives in the green hydrogen space including the setting up of a green hydrogen project at its own facility. The company has signed partnership agreements with oil majors and renewable energy developers as well as electrolyser manufacturers to establish its base in the entire green hydrogen ecosystem. With India targetting rapid capacity build up in the green hydrogen space for both domestic consumption and exports, this is a right time for a company like L&T to develop its strengths in this space.