Following its earlier announcement on September 13, 2024, Bharat Petroleum Corporation Limited (BPCL) and Sembcorp have entered into a joint venture (JV) agreement to explore renewable energy and green hydrogen projects across India.

This strategic partnership aims to support India’s energy transition and development goals. The JV will also consider projects in green ammonia production and bunkering, emissions reduction for port operations and other emerging green fuel technologies. The potential projects will leverage Sembcorp’s renewables experience and BPCL’s expertise in the petroleum sector and infrastructure.

Speaking about the partnership, G Krishnakumar, Chairman & Managing Director, BPCL, said, “BPCL’s collaboration with Sembcorp marks a significant milestone in our journey towards a sustainable tomorrow. BPCL will leverage its combined aspirations, expertise and resources, to jointly explore the development of innovation-led, best-in-class renewable energy and green hydrogen solutions for supporting India’s ambitious climate goals and our own aspiration to achieve net-zero emissions by 2040 in Scope 1 and 2. BPCL is committed to building a robust renewable energy portfolio, with a target of 10GW, to meet the energy needs of tomorrow and become a Net Zero Energy Company by 2040.”

Vipul Tuli, President & CEO, Renewables, West, and CEO, Hydrogen Business, Sembcorp, said, “Sembcorp’s collaboration with BPCL seeks to support renewable energy and green hydrogen development in India. With Sembcorp’s renewables expertise and BPCL’s strength in the petroleum sector, we look forward to identifying opportunities to help decarbonise hard-to-abate sectors. Sembcorp is committed to delivering scalable, low-carbon solutions for a sustainable future.”

Sembcorp is pursuing the use of green hydrogen and ammonia as key decarbonisation pathways. With 6GW of renewables assets in India, Sembcorp is well-positioned to enable large-scale, low-cost green hydrogen production. The signing of this JV agreement is not expected to have a material impact on the earnings per share and net tangible assets per share of Sembcorp for the financial year ending December 31, 2025.

Sembcorp is also well-positioned in Oman. The Company announced the successful completion of its 588 MW Manah II solar project in the Ad Dakhiliyah governorate, achieving the milestone more than four months ahead of schedule. It was also highlighted that Manah II is its first greenfield renewable energy development in the Middle East and its largest utility-scale solar farm worldwide. The project is backed by a 20-year power purchase agreement (PPA) with Nama Power and Water Procurement Co., Oman’s sole power and water procurement authority.