NTPC Renewable Energy lowest bidder to supply 70,000 tonnes ammonia, record lowest bid at Rs 51.8/kg

NTPC Renewable Energy Ltd has emerged as the lowest bidder for supplying 70,000 tonnes of green ammonia under the Strategic Interventions for Green Hydrogen Transition (SIGHT) scheme, with a discovered price of Rs 51.8/kg for Krishna Phoschem Ltd at its Meghnagar facility.

The price discovered is now the lowest in any such tender and lower than Acme Cleantech’s Rs 55.75/kg, opened last week for the supply of 75,000 tonnes to Paradeep Phosphate Ltd.

With grey ammonia prices reaching $515/tonne as of March 2025, this 10-year fixed-price bid, which converts to roughly $591/tonne, is likely to be in focus and set a benchmark for future tenders.


The tender from the Solar Energy Corporation of India (SECI) called for the supply of green ammonia across 13 fertilizer plants, totalling 724,000 tonnes.

The reverse auction for price discovery is being done separately for each plant and in phases because of the complexity of bid evaluation, according to an industry official.

Some of the procurers enlisted in the bidding document were Indian Farmers Fertiliser Cooperative (IFFCO) in Kandla, Madras Fertilisers’ Manali and Chennai units, Indorama India in Haldia, Mangalore Chemicals & Fertilisers’ Panambur unit, and Coromandel International’s Visakhapatnam unit.

SECI anchored the demand aggregation and will sign long-term offtake agreements, providing producers with market certainty over a 10-year contract period.

The tender was issued in June 2024, and the last date was July 10, after many extensions over the year.

The government is offering financial incentives under the National Green Hydrogen Mission, with Production Linked Incentives (PLI) of Rs 8.82/kg, Rs 7.06/kg, and Rs 5.30/kg for the first three years respectively, amounting to a total support of Rs 1,533.4 crore.

India consumes approximately 17–19 million tonnes of ammonia annually, with more than 50% of its hydrogen requirement used in fertiliser production.