Rs.2,300 Crore Kandla E-Methanol Plant Gets Green Light

GANDHIDHAM: Kandla is set to become a major hub in India’s green shipping push, with Gujarat Chief Minister Bhupendra Patel and Assam Chief Minister Himanta Biswa Sarma laying the foundation stone for a ₹2,300-crore e-methanol plant at Deendayal Port on Saturday. The 150-tonne-per-day facility is expected to create more than 3,500 direct and indirect jobs and strengthen India’s efforts to develop cleaner marine fuels.

The project is being established as a joint venture between the Deendayal Port Authority (DPA) and Assam Petro-chemicals Limited (APL). Union Minister for Ports, Shipping and Waterways Sarbananda Sonowal was also present at the foundation ceremony held at the DPA Exhibition Ground in Gandhidham.

Patel described the project as an important step towards India’s green-energy transition.

“Kandla’s e-methanol project will give a new direction to India’s green energy vision in the times to come,” Patel said.

He said the project brings together Gujarat’s maritime infrastructure and Assam’s industrial capabilities, reflecting the concept of ‘Ek Bharat – Shreshtha Bharat’.

Patel said Deendayal Port was not only a key maritime gateway for Gujarat but also for the country, adding that the development of green hydrogen, green methanol and green shipping infrastructure was gaining momentum. He said the port was being developed as a Green Hydrogen Hub under the National Green Hydrogen Mission, with facilities for production, storage, handling and transportation of green hydrogen and its derivatives.

The Chief Minister also highlighted the project’s potential to support the maritime sector’s decarbonisation. Green methanol production and bunkering facilities at Kandla could provide cleaner fuel options for ships and reduce dependence on conventional fossil fuels.

Assam Chief Minister Himanta Biswa Sarma called the project a major industrial partnership between the two states.

“Gujarat is providing leadership to the nation in the sectors of solar energy, green hydrogen, and battery storage,” Sarma said.

He said the project could expand further and facilitate the adoption of green methanol for domestic and international shipping.

Union Minister Sarbananda Sonowal said the project would strengthen the Gujarat-Assam partnership while creating employment opportunities for the younger generation.

“The e-methanol plant will forge a strong bond between Assam and Gujarat and, in collaboration with Government of India institutions, will steer the national economy in a new direction,” Sonowal said.

With a capacity of 150 TPD, the plant is expected to produce 150 tonnes of e-methanol daily. Officials said the project would generate opportunities across engineering, logistics, transportation, supply chains and allied sectors.

Assam Petro-chemicals chairman Bikul Deka said domestic production of green marine fuel would support India’s energy security and the broader Atmanirbhar Bharat objective.