Oil India Limited (OIL) has announced the establishment of a wholly-owned subsidiary, OIL Green Energy, to manage its green and alternative energy ventures.
The company plans to invest Rs 250 billion by 2040 to diversify into renewable energy and decarbonisation technologies.
The subsidiary will oversee initiatives in biofuels, green hydrogen, renewable energy, carbon capture utilization and storage (CCUS), methanol, and geothermal energy.
OIL aims for non-fossil fuel energy to constitute 5-7% of its total energy portfolio by 2030, with a target of 12-15% by 2040.
OIL currently has an installed renewable energy capacity of 188.1 MW, including 174.1 MW of wind power and 14 MW of solar power, across states such as Rajasthan, Gujarat, and Assam. These projects have attracted investments of Rs 12.3 billion and generated Rs 8.7 billion in revenue until FY22.
The company is also advancing green hydrogen technology, with plans to set up India’s first 100 kW anion exchange membrane (AEM) green hydrogen plant at its Jorhat facility in Assam. OIL also intends to establish 25 compressed biogas (CBG) plants across the country.