SIGHT Programme Ammonia - Component II (Mode 2A) Tranche I

India has allocated INR 11.65 billion (USD 140 million) to subsidize 750 ktpa of renewable ammonia production over three years, with support decreasing from USD 106/t to USD 64/t. Projects must meet a carbon intensity cap of 2 kg CO₂-eq/kg H₂. The tender, extended to January 2025, has faced delays and industry pushback, prompting requests for more flexible timelines, USD-denominated bids, longer contracts, and reduced financial guarantees. As of March 2025, 13 projects totaling 724 ktpa were pre-selected, though supply has not yet begun. Recent amendments include improved payment security, reduced trading margins, and eased renewable energy readiness requirements.

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