May 16, 2024 | Carbon credits |
Yara Clean Ammonia, the world's largest ammonia trader, has entered a long-term agreement with India's Greenko ZeroC, the green ammonia production arm of AM Green. This landmark deal significantly boosts the green ammonia industry and advances the net-zero goals of both nations.
The agreement secures 50% of the renewable ammonia supply from Phase 1 of AM Green’s Kakinada plant in Andhra Pradesh. Greenko’s facility aims to produce and export renewable ammonia using round-the-clock carbon-free energy by 2027, complying with EU renewable energy standards.
Yara Clean Ammonia will use this renewable ammonia to produce low-emission fertilizer and decarbonize industries such as shipping and power generation. AM Green’s President, Mahesh Kolli, emphasized the partnership's role in transforming various industries and enhancing AM Green’s leadership in the green energy transition.
Green ammonia, which emits no CO2 upon combustion, is seen as a key future fuel, aligning well with the hydrogen economy. Despite challenges in financing and renewable power capacity, the partnership aims to establish a sustainable supply chain for low-emission ammonia, signaling a significant step toward a greener agriculture sector.