DPA Kandla signs landmark MoU with Assam Petro-Chemicals for setting up of e-Methanol Plant

By Admin

30 Jan, 2026

A Major Leap Towards Green Maritime Energy

In a significant stride towards clean energy adoption and maritime decarbonisation, Deendayal Port Authority, Kandla has signed a Memorandum of Understanding (MoU) with Assam Petro-Chemicals Ltd (APCL) for setting up a state-of-the-art e-Methanol Plant at Kandla Port. This landmark collaboration marks a major milestone in India’s journey towards a sustainable, future-ready and green maritime ecosystem.

MoU Signed in the Presence of National Leadership

The MoU was signed at Dibrugarh, Assam, in the august presence of Sarbananda Sonowal, Union Minister for Ports, Shipping & Waterways, and Himanta Biswa Sarma, Chief Minister of Assam, along with other distinguished dignitaries.

The agreement was formally signed by Sushil Kumar Singh, IRSME, Chairman, Deendayal Port Authority, Kandla. Nilabhra Dasgupta, IRS, Deputy Chairman, DPA, was also present on the occasion, underscoring the strategic importance of the initiative.

Kandla Port as a Green Hydrogen Hub

Deendayal Port is a Major Port under the administrative control of the Ministry of Ports Shipping and Waterways, Government of India, and is strategically located on the western coast of Gujarat. The port has been identified as one of the nominated ports to be developed as a Green Hydrogen Hub under the National Green Hydrogen Mission.

Envisioned by the Hon’ble Prime Minister Narendra Modi, the Mission aims to position India as a global hub for the production and export of green hydrogen and its derivatives, strengthening India’s leadership in clean energy and sustainable trade.

Building a Complete Green Fuel Ecosystem

In alignment with this national vision, DPA, Kandla is developing a comprehensive ecosystem for the production, storage, handling and transportation of green hydrogen and its derivatives. The port is also evolving into a Green Bunkering Hub capable of supplying zero-carbon, environment-friendly fuels to ships calling at Indian ports.

While DPA, Kandla has already established robust pipelines, storage systems and fuel-handling infrastructure, APCL will bring its technological expertise to set up green methanol production within the port jurisdiction. This collaboration will create a fully integrated green fuel value chain at Kandla Port.

Strategic Importance on Global Trade Routes

Once commissioned, the e-Methanol facility will enable Kandla to emerge as a major green fuel supply point on international trade routes, including vessels operating on the Singapore–Rotterdam corridor. This positions the port as a preferred destination for environmentally conscious global shipping lines.

Investment, Capacity and Employment Generation

The project will commence with the establishment of a 50 TPD green methanol production facility, involving a capital investment exceeding Rs. 1,200 crores. The initiative is expected to generate approximately 3,500 direct and indirect employment opportunities, delivering significant benefits to local youth and the regional economy.

Boost to Trade and Maritime Growth

Upon commissioning, the project is expected to attract more deep-sea-going vessels to Kandla Port, enhance cargo traffic and significantly boost trade and allied business activities across the hinterland, the state and the nation.

Advancing India’s Net-Zero and Atmanirbhar Vision

The partnership between DPA, Kandla and APCL represents a bold and transformative step towards India’s Net-Zero goals. It will reduce dependence on imported fuels, strengthen energy security, and advance the Atmanirbhar Bharat and “Make-in-India, Make-for-the-World” vision.

This landmark MoU firmly positions India on the global maritime map as a leader in green fuels and maritime decarbonisation, setting a powerful example for sustainable port-led development worldwide.