NTPC shares trade in green after MoU signing with Japan's Mitsubishi Heavy Industries

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NTPC shares were trading in the green on October 17, opening at Rs 165.10 and reaching a high point of Rs 169.05. The rise in share price could be attributed to the signing of a Memorandum of Understanding (MoU) with Japan's Mitsubishi Heavy Industries and its subsidiary Mitsubishi Power India Private Limited.

The MoU was signed to demonstrate the feasibility of hydrogen co-firing blended with natural gas in MHI 701D gas turbines installed at NTPC's Auraiya Gas Power Plant in Uttar Pradesh, a press release by the Ministry of Power stated.

Ujjwal Kanti Bhattacharya, Director (Projects) of NTPC, Tatsuto Nagayasu, CMD, Mitsubishi Power India, and Hiroyuki Shinohara, Vice President, Mitsubishi Power India were present at the signing of the MoU.

As a leader in power generation in India, NTPC aims at transitioning the process of generating energy with more eco-friendly modes. Hydrogen co-firing in gas turbines can play a key role in reducing CO2 emissions, achieving decarbonising targets and fulfilling the 2021 United Nations Climate Change Conference (COP26) commitments.

In order to achieve decarbonisation in energy generation, NTPC is exploring various new hydrogen generation technologies along with hydrogen usage so as to ensure future readiness, develop the required capabilities, and technical expertise, and align with the national decarbonising and hydrogen mission targets, the release stated.

Mitsubishi and NTPC will collaborate to carry out the study and identify key actions for introducing hydrogen co-firing at NTPC's gas-based combined cycle power plant in Auraiya. The hydrogen required for the project will be supplied by NTPC, according to the MoU.

Manish Kumar Srivastava, Executive Director of NTPC  emphasised India's commitment to achieving the net-zero target and climate goals.

“NTPC is committed to play a key role in India’s energy transition journey as the country marches ahead to achieve the net-zero target and climate goals. NTPC is pioneering various hydrogen-related initiatives and is carrying out R&D works in this field so as to bring in a technology which can provide green, affordable, reliable and sustainable power for all. This MoU is one of the few steps taken by NTPC to meet these targets. We believe that partnering with MHI Limited which has global expertise in this technology will help us meet our objectives under the National Hydrogen Mission,”  Srivastava said.

Tatsuto Nagayasu, CMD of Mitsubishi Power India said, “The momentous event of the signing of the MOU signifies the focus of NTPC and Mitsubishi Heavy Industries towards achieving the goal of decarbonisation of the power generation sector and their commitment to addressing the pressing issue of climate change.”