Indian Farmers Fertiliser Cooperative Ltd. (IFFCO) has signed an initial deal with ACME Cleantech Solutions in Gurugram, India, to purchase 2 lakh tonnes of ammonia per year – equivalent to roughly 200,000 mt/y – produced by renewable energy.
The ammonia will be manufactured at ACME’s plant in Gopalpur, Odisha, which will have a total production capacity of around 1.3 million mt/y of renewable ammonia when at full capacity. The ammonia purchased by IFFCO will be used at IFFCO’s DAP Paradeep Unit in Odisha and at its DAP/NPK Kandla Unity in Gujarat.
ACME will retain a green credit in the form of an Internationally Transferable Mitigation Outcomes (ITMO) under Article 6 of the Paris Agreement from the sale of renewable-based ammonia. Each ITMO corresponds to one metric ton of carbon dioxide equivalent that has been reduced or removed. The ITMO can be traded with another country.