Wedoany.com Report-Aug. 19, The Deendayal Port Authority (DPA) in Kandla, India, has launched a tender for the development of India’s first port-based biomethanol production facility on an Engineering, Procurement, and Construction basis. The initiative aims to establish a plant capable of producing approximately 10 tonnes of biomethanol daily, utilizing oxy-steam gasification to convert biomass into synthesis gas for fuel production.

The tender encompasses the design, engineering, procurement, construction, commissioning, and product certification of the facility. Bidders are required to provide details on the plant’s expected lifespan, warranties, capital expenditure, and operating costs. This project is a significant step toward sustainable fuel production, supporting India’s commitment to achieving net-zero emissions.

The biomethanol facility complements other sustainability efforts at Kandla Port. At the end of July, the DPA inaugurated a 1 MW green hydrogen power plant, marking progress toward cleaner energy solutions. Sarbananda Sonowal, India’s Union Minister of Ports, Shipping & Waterways, stated: “The inauguration of the green hydrogen facility at Kandla Port is a major step towards fulfilling PM Shri Narendra Modi ji’s 2030 vision.”

Earlier this year, Sonowal announced infrastructure investments worth ₹570 billion (approximately $6.6 billion) to modernize Kandla Port, enhancing operational efficiency and sustainability. These efforts align with India’s broader strategy to revitalize its maritime sector. In March 2025, the government allocated ₹2 trillion (about $23.8 billion) to strengthen shipping and shipbuilding, aiming to position India as a global leader in these industries while adhering to International Maritime Organization environmental standards.

Additionally, India is advancing alternative fuel initiatives. A notable project includes the development of the country’s first independent ammonia storage terminal by AVTL, a joint venture between Aegis Logistics Limited and Vopak India. This facility, with a capacity of 36,000 metric tons, is expected to be operational by the end of next year, further supporting India’s sustainable energy goals.

The biomethanol tender at Kandla underscores DPA’s commitment to fostering innovative, environmentally responsible solutions, strengthening India’s maritime and energy sectors while contributing to regional economic growth.