CM Himanta Flags Off Assam–Gujarat e-Methanol Plant at Kandla
Synopsis
Assam CM Himanta Biswa Sarma unveiled a ₹2,300 crore, 150 TPD e-Methanol Plant at Kandla, Gujarat — a first-of-its-kind inter-state green-fuel partnership targeting India's maritime decarbonisation under the National Green Hydrogen Mission.
Key Takeaways
Assam CM Himanta Biswa Sarma marked the launch of a ₹2,300 crore e-Methanol Plant at Kandla, Gujarat on 26 September 2026 .
The facility has a capacity of 150 tonnes per day (TPD) , making it one of the larger e-methanol plants announced in Asia.
The project represents a first-of-its-kind Assam–Gujarat inter-state partnership for green-fuel production.
E-methanol produced at Kandla is intended to power India's maritime industry as a low-carbon marine fuel.
The plant aligns with India's National Green Hydrogen Mission (2023) and IMO decarbonisation targets for shipping.
Commissioning timelines and offtake agreements for the plant are key milestones to watch.
A ₹2,300 crore green-fuel facility rising on the Gujarat coast just became the most concrete symbol yet of India's cross-regional clean-energy ambition. Assam Chief Minister Himanta Biswa Sarma on Saturday, 26 September 2026 marked the launch of a first-of-its-kind Assam–Gujarat partnership — a 150 TPD e-Methanol Plant at Kandla — calling it a green chapter for India's maritime industry.
What the Kandla plant actually does
E-methanol — produced by combining green hydrogen with captured carbon dioxide — is rapidly emerging as one of the most viable drop-in fuels for large cargo vessels, which cannot easily run on batteries alone. At 150 tonnes per day (TPD) of output capacity, the Kandla facility would rank among the larger e-methanol plants announced in Asia. Kandla, located in the Kutch district of Gujarat, is one of India's highest-volume ports and a logical anchor point for any marine-fuel supply chain on the western seaboard.Why an Assam–Gujarat axis matters
The pairing of two states separated by more than 2,000 kilometres is not accidental. Assam brings biomass feedstock corridors and carbon-capture potential from its hydrocarbon legacy infrastructure; Gujarat brings port access, industrial land, and a mature chemical-processing ecosystem. Chief Minister Sarma's presence at the unveiling signals that the Assam government is positioning itself as an active upstream partner in the green-fuel value chain — not merely a bystander to coastal states' energy transition. India's National Green Hydrogen Mission, launched in 2023, explicitly targets derivatives such as e-methanol to decarbonise hard-to-abate sectors. The Kandla plant slots directly into that policy architecture, with maritime shipping as its primary off-take market.India's maritime decarbonisation clock is ticking
The International Maritime Organization (IMO) has set binding targets to cut shipping emissions by at least 50 per cent by 2050 relative to 2008 levels, with a net-zero ambition close behind. Indian ports and shipowners face growing pressure from global cargo clients to demonstrate low-carbon supply chains. A domestic e-methanol source at a major port like Kandla would reduce India's dependence on imported green fuels and give its shipping sector a competitive edge in international trade lanes where green certification is fast becoming a commercial prerequisite. State-to-state green-infrastructure MoUs are multiplying across India, but an operating plant — not merely a signed agreement — is what moves the needle. Whether the Kandla facility hits its commissioning milestones and secures long-term offtake contracts will determine whether this partnership becomes a replicable model for the rest of the country.Point of View
But as equity partners in the value chain. The ₹2,300 crore Kandla plant tests whether India's National Green Hydrogen Mission can produce operational assets, not just policy documents. For the BJP's North-East strategy, demonstrating cross-state developmental wins — especially with Gujarat, the party's home-base — carries political dividend beyond the project's industrial merit. The real measure of success, however, will be the plant's commissioning date and whether it secures binding offtake contracts from Indian and international shipping lines.
NationPress
26 Sept 2026
Frequently Asked Questions
What is the e-Methanol Plant at Kandla?
It is a ₹2,300 crore facility with a capacity of 150 tonnes per day (TPD) located at Kandla port in Gujarat's Kutch district, designed to produce e-methanol as a green marine fuel under an Assam–Gujarat inter-state partnership.
What is e-methanol and why is it used in shipping?
E-methanol is produced by combining green hydrogen with captured carbon dioxide. It is a liquid fuel compatible with existing ship engines and is seen as one of the most viable low-carbon alternatives for large cargo vessels that cannot run on batteries.
How does this plant connect to India's National Green Hydrogen Mission?
India's National Green Hydrogen Mission, launched in 2023, targets the scale-up of green hydrogen and its derivatives — including e-methanol — to decarbonise sectors like maritime shipping. The Kandla plant is a direct industrial output of that policy framework.
Why is Assam involved in a plant located in Gujarat?
The Assam government is participating as an upstream partner, potentially contributing feedstock corridors and carbon-capture capacity from its legacy hydrocarbon infrastructure, while Gujarat provides port access and industrial land near Kandla.
What are the IMO targets driving India's maritime green-fuel push?
The International Maritime Organization has set targets to cut shipping emissions by at least 50 per cent by 2050 compared to 2008 levels, with a net-zero ambition close behind, putting pressure on Indian ports and shipowners to adopt low-carbon fuels.
