Oriana Power Finalizes ₹3,135 Crore Green Hydrogen Supply Agreement with SECI for Madhya Pradesh Facility

TrueRE Oriana Power has entered into a definitive 10-year agreement with the Solar Energy Corporation of India (SECI) for the large-scale production and supply of green hydrogen in Sagar, Madhya Pradesh. Executed under the National Green Hydrogen Mission, this project represents a significant capacity addition to India’s domestic green fuel infrastructure. The agreement establishes a long-term supply chain designed to transition regional industrial offtakers toward sustainable feedstock.

Core Contractual Parameters

The agreement defines the financial and operational benchmarks for the project, reflecting the competitive pricing reached through recent tender processes:

• Total Contract Value: ₹3,135 crore.
• Annual Supply Volume: 60,000 Metric Tonnes Per Annum (MTPA).
• Discovered Price: ₹52.25 per kg (representing the incentivized bid price under the SIGHT framework).
• Contract Duration: 10 years.

Project Scope and Technical Framework

Oriana Power holds an end-to-end execution mandate for the Sagar facility, encompassing land acquisition, statutory approvals, and technical implementation. The project’s economic viability is supported by a capital expenditure (CAPEX) structure aligned with MEC Intelligence’s industry modeling, which identifies a total project CAPEX requirement of approximately ₹4,751 crore for high-capacity green ammonia and hydrogen plants.

The facility will utilize an “Hourly Settlement” logic to synchronize renewable energy (RE) generation with electrolyser load, a critical parameter for minimizing the Levelized Cost of Hydrogen (LCOH) and storage requirements.

Technical Specs

• RE Generation Technology: Hybrid Solar-Wind configuration (optimized for maximum Plant Load Factor).
• Electrolyser System: Alkaline or PEM (Proton Exchange Membrane) technology.
• Capital Expenditure Breakdown:
  • Renewable Energy Plant: 64%
  • Hydrogen Electrolyser: 21%
  • Ammonia Production Unit: 9%
  • Hydrogen Storage Infrastructure: 4%
• Regional Grid Parameters: The Madhya Pradesh site features a strategic Landed Charge of ₹0.08 per unit, a significantly more competitive transmission regime than other industrial states such as Haryana (₹0.21) or Maharashtra (₹0.14).

Stakeholder Roles and Intermediary Structure

The project utilizes a tripartite supply chain structure to facilitate the movement of green hydrogen from the point of production to industrial application:

1. Producer: Oriana Power is responsible for the production and delivery of the green fuel, ensuring the facility maintains a stoichiometric balance between RE supply and hydrogen output.
2. Central Intermediary: SECI acts as the nodal agency, managing the contractual and distribution framework between the generator and the end-user.
3. End-Offtaker: Madhya Bharat Agro Products Limited will utilize the volume for fertilizer production. Given the technical limits on onsite CO2 availability, the offtaker will likely target a 20% Green Ammonia blend for the production of Green Urea, or move toward 100% Green Ammonia for DAP and NPK products.

National Strategic Context: The SIGHT Scheme

This agreement is executed under the Strategic Interventions for Green Hydrogen Transition (SIGHT) Scheme, the primary incentive mechanism of the National Green Hydrogen Mission. While the MEC Intelligence ground-truth data identifies a raw production cost (LCOH) of approximately ₹340.25/kg for green hydrogen, the discovered price of ₹52.25/kg in this contract reflects the specific regulatory and financial support provided under the SIGHT umbrella to bridge the cost gap between grey and green fuels.