Govt wants multiple methanol plants over next 5-7 years: VK Saraswat

Methanol demand likely to go up to 15 million tonnes by 2030, govt working on regulatory frameworK

The Centre aims to promote methanol as a green fuel, and based on initial discussions, it anticipates multiple methanol plants to be established over the next five years, Niti Aayog member VK Saraswat said on Wednesday.

“We hope that as part of the coal gasification mission, there will be at least a couple of plants manufacturing coal-to-methanol in the next five to seven years. We are also collaborating with public and private industry to set up bamboo-to-methanol plants to produce green methanol, which will then be utilised for both domestic and export purposes,” Saraswat said.

The Centre is developing a regulatory framework for methanol production and usage based on global standards, he added.

 

Saraswat was speaking to reporters ahead of the second International Methanol Seminar and Expo in New Delhi, which begins on Thursday. This seminar, held after eight years, aims to highlight progress in the methanol economy since the first edition.

“Key Indian industries like Kirloskar, Ashok Leyland, Volvo Penta, FCTecNrgy, Wesman Thermal Process, Metfuel, Thermax, BHEL, NTPC, and Defence labs like NMRL have developed 100 per cent methanol buses, trucks, light commercial vehicles (LCVs), gensets, fuel cell and reformed-based energy applications, boilers, gas turbines, and other cutting-edge applications. The full range of products and technologies will be showcased at the Expo,” the Aayog stated in a press release.

India currently produces 0.8 million tonnes of methanol annually against a demand of 4 million tonnes. The government policy think tank expects this demand to rise to 10-15 million tonnes by 2030, which will necessitate a strong push to boost domestic production.

Methanol, in addition to being a transportation fuel, is used in chemical production, petrochemicals, and pharmaceuticals. The Aayog projects a 35 per cent reduction in carbon emissions with large-scale methanol adoption.

The government has also been working to replace diesel-consuming ships on inland waterways—about 50 vessels a day—with methanol-powered alternatives.

Indian firms file ECB intents worth $6 bn in August

Indian companies, including non-banking financial companies, filed their intent in August 2024 with the Reserve Bank of India to raise $5.90 billion through External Commercial Borrowings (ECBs). Of this, $5.45 billion is intended through the automatic route, while $449 million is sought through the approval route, according to RBI data.

Prominent companies that filed for ECBs include Adani Renewable Energy Fifty Seven Ltd with $715 million, financial services major Bajaj Finance Ltd with $750 million, and Ultratech Cement Ltd with $500 million.

Other entities filing for ECBs include Tata Capital Ltd for $350 million, Cholamandalam Investment and Finance Company for $300 million, HDB Financial Services for $250 million, and Tata Electronics Private Ltd for $190 million.

Cochin Shipyard OFS fully subscribed

Cochin Shipyard’s Rs 2,000-crore offer for sale (OFS) has nearly achieved full subscription. The share sale received bids for 12.8 million shares against 13.15 million on offer. Another 1.3 million shares reserved for retail investors will be auctioned on Thursday. Shares of the company fell 5 per cent in secondary market trading to close at Rs 1,589. The OFS floor price is set at Rs 1,540 per share, with most bids coming in at Rs 1,550. Through the OFS, the government—which currently holds a 72.86 per cent stake—is divesting a 5 per cent stake. State-owned Cochin Shipyard, the country’s largest shipbuilding firm, has seen its shares triple over the past year.