ONGC Clarifies: Green Energy Focus Without Immediate Listing Plans
- Muhammad Ahmad
- Dec 16, 2024
- 2 min read
Company emphasizes its long-term sustainability goals but rules out near-term public listing of ONGC Green Limited
ONGC is building a green energy portfolio
No immediate plans for ONGC Green Limited IPO: ONGC confirms it is focused on green energy expansion but has no current plans to list its subsidiary.
Strategic investments planned: ONGC aims to develop 10 GW of renewable energy by 2040 and is exploring green hydrogen production.
India's green energy landscape evolves: Competitors like Adani Green and NTPC are already advancing in green initiatives.
State-owned Oil and Natural Gas Corporation (ONGC) has clarified that while it is actively building a portfolio in renewable energy, any decision to list ONGC Green Limited (OGL) on the stock market will be deferred until the company’s board considers it appropriate. The announcement amidst growing public and media speculation about a possible Initial Public Offering (IPO) for its green subsidiary.
The clarification underscores ONGC's increasing focus on sustainability and renewable energy projects while signaling a cautious approach toward financial restructuring. ONGC plans to decarbonize its operations and align with India's target of achieving 500 GW renewable energy capacity by 2030. However, the absence of immediate listing plans reflects the corporation’s focus on steady long-term growth rather than short-term financial manoeuvres.
ONGC's Green Energy Growth
India's renewable energy sector is one of the largest globally, and it will achieve 50% of installed capacity from non-fossil fuels by 2030. ONGC plans to contribute by:
Investing ₹1 lakh crore to build renewable capacity, including green hydrogen and ammonia production.
Collaborating with NTPC Green Energy for offshore wind projects.
ONGC Green Limited is designed to oversee solar, wind, biogas, and hydrogen energy ventures. Notably, the company recently acquired a 100% stake in PTC Energy Limited, adding operational renewable assets to its portfolio. Despite these investments, ONGC's green portfolio currently accounts for only 176 MW—small compared to competitors like Adani Green, which manages over 8,300 MW.
“Any decision regarding a public listing remains for the future, as and when decided by the ONGC Board,” the company reiterated. For now, ONGC remains committed to its ambitious renewable energy projects, setting the groundwork for sustainable growth.
This strategic pause in IPO planning contrasts with competitors' aggressive market entry strategies, reflecting ONGC's cautious yet deliberate approach to energy transition.