Kandla e-methanol project sets a 150-tonne daily capacity target
Deendayal Port Authority and Assam Petro-Chemicals have laid the foundation for a two-phase project intended to supply lower-carbon marine fuel.
Deendayal Port Authority and Assam Petro-Chemicals have laid the foundation for a planned e-methanol facility at Kandla Port with a stated total capacity of 150 tonnes per day.
The official plan assigns 50 tonnes per day to a first phase valued at ₹1,200 crore and scheduled for January 2027. A second phase, scheduled for March 2027, would add 100 tonnes per day at a stated cost of ₹1,100 crore. The process is intended to combine renewable power, water and biogenic carbon dioxide, with marine fuel supply identified as a target use.
Why it matters
Shipping needs scalable fuel options that can reduce lifecycle emissions without waiting for an entirely new global vessel fleet. Port-linked production could shorten supply chains and support emerging green-shipping routes.
SCULTRA point of view
Capacity announcements are an early signal, not operating evidence. The decisive milestones will be financial closure, contracted renewable inputs, construction progress, verified fuel quality, lifecycle-emissions accounting and committed buyers.
Limitations
The source is a foundation-stage announcement. Project cost, employment and export figures are projections, and the release provides no independent engineering review, emissions assessment, offtake agreement or commissioning evidence.
Source: Press Information Bureau / Ministry of Ports, Shipping and Waterways, 26 September 2026.