The Asian Development Bank (ADB) and the Government of Japan have signed financing agreements with AM Green Ammonia (India) Private Limited to support the development of one of the world’s largest green ammonia plants in India. The project marks the first investment under the Action for Creating Energy Security for Long-term Resilience (ACCEL), an initiative designed to strengthen energy security and support the transition towards sustainable energy systems across Asia and the Pacific.
The proposed facility will convert a former ammonia and urea plant from natural gas-based production to renewable energy-powered green ammonia manufacturing. With an expected production capacity of approximately 1.1 million tonnes per year, the project aims to reduce emissions from ammonia production while establishing a new export-oriented industry in India.
Ammonia is a key ingredient in fertilizer manufacturing and is widely used across several industrial applications. Conventional ammonia production relies heavily on fossil fuels, resulting in significant carbon emissions. The transition to renewable-powered production is expected to support cleaner industrial processes and strengthen India’s position in the emerging global green ammonia market.
The financing package includes a $100 million loan from the Leading Asia’s Private Infrastructure Fund 2. The fund is financed by the Japan International Cooperation Agency (JICA) and administered by ADB. The investment is intended to support the project’s development and contribute to expanding access to lower-emission industrial production technologies.
ADB President Masato Kanda said the project demonstrates how renewable energy can transform ammonia manufacturing by reducing emissions and enabling production at a significant scale. He added that the investment could help reshape the industry while creating opportunities for economic growth and employment.
Japan’s Finance Minister Satsuki Katayama highlighted the importance of strengthening Asia’s energy supply chains and welcomed the first joint project under ACCEL. She said Japan would continue working with ADB to diversify energy sources and improve economic resilience across the region.
Launched in May 2026 by ADB and Japan, ACCEL aims to help countries and businesses across Asia and the Pacific respond to rising energy prices and build more resilient energy systems. The initiative follows two tracks, providing short-term corporate liquidity support, particularly for small and medium-sized enterprises, and promoting diversified and sustainable energy systems over the medium to long term.
Japan supports ACCEL through its government-financed trust funds administered by ADB and cooperation with development finance institutions, including JICA and the Japan Bank for International Cooperation (JBIC).
The investment represents a step towards expanding renewable energy applications beyond electricity generation and advancing the decarbonisation of industrial supply chains in India and the wider region.
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