LSN News › India

Politics · India Bureau

India launches first port-based e-methanol plant at Kandla

India has broken ground on its inaugural port-based green methanol production facility at Kandla in Gujarat, a ₹2,300 crore venture aimed at decarbonising maritime shipping. The plant will produce clean fuel for international vessels using renewable energy sources.

LSN India · 26 September 2026

India launches first port-based e-methanol plant at Kandla

The Deendayal Port Authority (DPA) and Assam Petro-Chemicals Ltd (APCL) jointly commissioned the facility at Gujarat's Kandla port on Saturday, marking a significant step in India's commitment to sustainable shipping practices. Union Shipping Minister Sarbananda Sonowal, who laid the foundation stone, said the initiative positions India as a leader in maritime decarbonisation and underscores the country's growing influence in global shipping.

The production plant will generate 150 tonnes of e-methanol daily using renewable electricity, water, and biogenic carbon dioxide. The synthetic green fuel is designed to reduce emissions from international vessels travelling the lucrative Asia-Europe trade corridor, one of the world's busiest shipping routes.

E-methanol represents a cleaner alternative to conventional marine fuels and aligns with global efforts to reduce carbon emissions from the shipping industry. By establishing manufacturing capacity at a major port, India aims to support vessels operating under stricter international environmental regulations while creating domestic capacity in green fuel production.

The project reflects broader government initiatives to position India's ports as sustainable hubs within global maritime commerce. As environmental standards for international shipping tighten, facilities like the Kandla plant are expected to attract increased demand from shipping companies seeking compliant fuel alternatives.