NTPC Renewable Energy Limited (NTPC REL) has signed a Memorandum of Understanding (MoU) with the Indian Army to establish green hydrogen projects on a Build, Own, and Operate (BOO) model in the Army's establishments.

NTPC REL is a wholly-owned subsidiary of NTPC Limited and currently has a portfolio of 3.6 GW RE capacity under construction.

The primary objective of the MoU is to reduce the Indian Army's dependence on fossil fuels, streamline logistics, and expedite decarbonisation.

NTPC REL CEO Mohit Bhargava and Indian Army's Lieutenant General Rajinder Dewan signed the MoU.

The two parties will jointly identify potential sites for green hydrogen projects that will supply electricity in a phased manner.

In addition, NTPC REL will design, develop and install renewable energy projects, such as solar and wind, for the Indian Army.

In a statement, the Union Power Ministry said that the MoU signals an advanced approach for modernisation by Indian Army and NTPC’s commitment to assist the nation in its decarbonisation goals.

"This agreement is a first of its kind and ushers in a new era of border security backed with energy security for the lines of defence of the country," it said.

The Indian Army currently powers its various off-grid locations with diesel generator sets. However, in line with the Prime Minister Modi's vision of "Panchamrit" and carbon neutral Ladakh, the Indian Army aims to reduce its reliance on fossil fuels and their logistics for power generation and heat.

Further, the NTPC Group has set an ambitious target of 60 GW RE capacity by 2032 and currently has 3.2 GW of installed RE capacity, the ministry said.