SECI Invites EOI to Identify CO₂ Sources for Green Urea and RFNBO Compliant Green Methanol

The Solar Energy Corporation of India Ltd. (SECI) has invited Expressions of Interest (EOI) to identify potential Carbon Dioxide (CO₂) sources across the country for the production of Green Urea and Renewable Fuels of Non Biological Origin (RFNBO) compliant Green Methanol.

The market consultation aims to map India's CO₂ availability and support the design of future schemes under the National Green Hydrogen Mission (NGHM). SECI clarified that the EOI is not a tender or request for proposal and carries no financial commitment, procurement obligation or preferential treatment for respondents. The exercise is intended solely to gather information that will help the Ministry of New and Renewable Energy (MNRE) and SECI formulate policies, design incentive mechanisms and assess infrastructure requirements for carbon capture, utilization and storage.

The National Green Hydrogen Mission, approved in January 2023, seeks to position India as a global hub for the production, utilization and export of green hydrogen and its derivatives. As the Scheme Implementation Agency for several components of the mission, SECI is focusing on two priority derivatives: Green Urea for the domestic fertilizer sector and RFNBO compliant Green Methanol for export markets, particularly the international shipping industry.

According to the EOI, the availability of a reliable and well characterized CO₂ source is as critical as renewable hydrogen or green ammonia for producing these derivatives. Since CO₂ sources vary widely in terms of location, purity, consistency and regulatory eligibility, SECI said it is necessary to understand the country's CO₂ resource landscape before introducing any support schemes or procurement programmes.

For RFNBO compliant Green Methanol, the EOI seeks information only on CO₂ sources that can satisfy the European Union's Renewable Energy Directive (RED III) requirements. These include biogenic CO₂ from sources such as distilleries, ethanol plants, biomass facilities, biogas upgrading units and pulp and paper industries, as well as Direct Air Capture (DAC) facilities. Fossil based industrial CO₂ may be considered only where it originates from installations covered by the European Union Emissions Trading System or an equivalent carbon pricing mechanism and remains eligible under applicable EU regulations. SECI noted that most Indian industrial CO₂ sources are unlikely to qualify under the current RFNBO framework because India does not have an EU ETS equivalent mechanism recognized for this purpose.

The corporation has also indicated a preference for CO₂ sources located close to export hubs, particularly Deendayal Port Authority in Kandla, Gujarat, and V.O. Chidambaranar Port Authority in Tuticorin, Tamil Nadu, although facilities near other ports may also be considered. Respondents have been asked to provide information on transport distances, logistics options and existing infrastructure to support methanol exports.

For Green Urea, SECI has adopted a broader approach by inviting responses from all credible CO₂ generating industries. Eligible sources include fertilizer plants, petroleum refineries, cement plants, steel and metallurgical facilities, ethanol and distillery units, pulp and paper industries, waste to energy plants, biomass and biogas projects, Direct Air Capture facilities and other industrial processes capable of supplying usable CO₂ streams.

To reduce transportation costs and improve project viability, SECI said future scheme design may give preference to CO₂ sources located near existing operational urea plants or announced greenfield urea projects. Respondents are required to identify the nearest operational and upcoming urea plants and provide logistics information, supply volumes and infrastructure requirements.

The EOI seeks detailed information on the technical characteristics of CO₂ streams, including annual generation, purity levels, daily production, seasonal availability, remaining project life, storage capacity and operational reliability. It also requests details on commercial expectations such as indicative pricing, preferred business models, minimum contract tenure and investment needed for carbon capture, purification, liquefaction, storage and transportation infrastructure.

SECI has further invited stakeholders to indicate the type of government support they consider necessary for developing CO₂ supply infrastructure. These include viability gap funding, capital subsidies, carbon transport pipeline networks, carbon capture and utilization linked incentives, access to carbon credit markets, regulatory support and port or consumer side infrastructure assistance, depending on the intended end use.

Responses may be submitted either online through a dedicated Google Form or offline at SECI's corporate office in New Delhi. The corporation has scheduled a pre EOI response meeting in online mode on August 18, 2026, to address stakeholder queries. Information received through the exercise will be used for internal assessment, policy formulation and future programme design, while maintaining confidentiality subject to applicable laws and regulatory requirements.