Coal India (CIL), is set to venture into the renewable energy sector with plans to develop 4.5 GW of green energy capacity. The project which is expected to unfold in phases, carries an estimated investment of Rs 25,000 crore. This is aimed at supplying carbon-free power to green ammonia production facilities of AM Green, an enterprise backed by the promoters of the Hyderabad-based Greenko Group.

AM Green has set a target of producing five MTPA of green ammonia by 2030. The proposed facilities are likely to be situated in Gujarat’s Kandla or other suitable locations. To support this goal, AM Green will source renewable power from Coal India’s upcoming projects. A non-binding memorandum of understanding (MoU) was signed between Coal India and AM Green Ammonia (India) on 07 May, 2025, in Kolkata. This agreement is considered one of the largest renewable energy contracts globally, underscoring the scale of the partnership.

As part of the project’s capacity, CIL plans to develop solar installations ranging between 2,500 MW to 3,000 MW and wind energy installations between 1,500 MW to 2,000 MW. Sites for solar power will be located in high-insolation States like Gujarat and Rajasthan, while wind energy installations are to be identified in southern regions of India. The power generated from these installations will be integrated and supplemented by pumped hydro storage by AM Green to ensure uninterrupted and stable green energy supply. This hybrid energy model aims to deliver a dependable and sustainable power solution, tailored to meet the continuous energy demands of green ammonia production.