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Economy News, Latest Economic News Today | The HinduBusinessLine

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Unruly shrub fuels Kandla’s eco goals
2026-05-03 · via Economy News, Latest Economic News Today | The HinduBusinessLine
GREEN REFILLS. Kandla port aims to become a bunkering hub for low-carbon fuels

GREEN REFILLS. Kandla port aims to become a bunkering hub for low-carbon fuels | Photo Credit: ANI

In the dry stretches around Deendayal Port Authority (formerly Kandla port) in Gujarat, Prosopis juliflora — locally known as gando bawal — has long been viewed as a nuisance. The invasive shrub spreads rapidly, degrades land and crowds out native vegetation. Now, it is being recast as a resource at the heart of a bio-methanol project at the port to convert waste biomass into clean fuel. The project is among several ‘green’ initiatives launched under the auspices of the Harit Sagar Guidelines (2023) and Maritime India Vision 2030 to achieve net-zero goals.

The pilot project, currently at the engineering stage and slated for commissioning by March 2027, is being developed as a technology demonstration unit at an estimated cost of about ₹100 crore. While modest in scale, its implications for clean energy, waste utilisation and port-led sustainability are significant. “This is a biomass-to-methanol project. We are handling the biomass-to-syngas conversion, while Thermax Ltd is taking care of the syngas-to-methanol synthesis,” says Ankur Jain, Managing Director of Ankur Scientific Energy Technology Ltd.

At full capacity, the plant will produce around 5 tonnes of methanol per day, using 15–20 tonnes of biomass. The primary feedstock will be Prosopis juliflora. “We will work with the local people to collect this biomass,” Jain explains.

How the process works

The transformation of a low-value biomass into a high-value liquid fuel involves a series of controlled thermochemical and catalytic reactions.

It begins with biomass gasification, a high-temperature process (typically 700–1,000 degrees C) carried out in a controlled, low-oxygen environment. Inside the gasifier, the biomass passes through four distinct stages: Drying, where moisture is removed; pyrolysis, where it breaks down into volatile gases and char; oxidation, which generates heat through partial combustion; and reduction, where carbon reacts to form carbon monoxide and hydrogen. The output is syngas, a combustible mixture that retains the chemical value of the original biomass.

The raw syngas cannot be used directly. It undergoes conditioning to remove impurities such as particulates, tars and sulphur compounds to protect downstream catalysts.

Its composition is fine-tuned, especially the hydrogen-carbon monoxide ratio, through reactions like the water-gas shift, ensuring optimal conditions for methanol synthesis.

The cleaned syngas is compressed and fed into a methanol synthesis reactor, where it passes over a copper-based catalyst at a temperature of 200–300 degrees C and pressure of 50–100 bar. Carbon oxides react with hydrogen to form methanol in an exothermic reaction. The unreacted gases are recycled into the system to improve efficiency.

Finally, the product stream is cooled, allowing methanol to condense into liquid form. It is refined through distillation, removing water and trace impurities to produce fuel-grade methanol for industrial or maritime use.

The process is both efficient and flexible. It can accommodate a variety of feedstock, including agricultural residues such as peanut shells and sawdust. “There is enough and more supply,” Jain says about feedstock availability.

From an economic standpoint, bio-methanol occupies a middle ground. “This will be much cheaper than e-methanol (electro-methanol, a synthetic fuel made from green hydrogen and captured carbon dioxide) but more expensive than conventional variants,” Jain says.

The cost is expected to fall once the process is scaled up and optimised. The aim is to produce low-carbon marine fuel that meets stringent international requirements on emissions reduction, sustainable sourcing and supply chain traceability, for use in both domestic and export markets such as Europe.

Greener ports

For Deendayal Port Authority (DPA), the project is as much about learning as it is about production. The bio-methanol produced is expected to be blended with conventional fuels to power tugs and other port service vessels. The pilot will generate critical insights on feedstock logistics, process stability and integration within port ecosystems.

What makes the Kandla initiative particularly compelling is its circular approach. It tackles the problem of an invasive species, creates local livelihoods, produces cleaner fuel and even offers carbon sequestration benefits. By turning gando bawal into green methanol, the project demonstrates how local challenges can be reimagined as opportunities. What was once an ecological burden may soon help power a more sustainable future.

Larger strategic play

The bio-methanol push is part of a larger strategy. DPA is simultaneously exploring a ₹3,500 crore e-methanol project of 1.5-2 lakh tonnes per annum capacity, as it seeks to position itself as a bunkering hub for low-carbon fuels on the busy shipping corridor between the ports of Rotterdam and Singapore by the end of the decade.

With Singapore and Rotterdam already established as major bunkering hubs and collaborating on cleaner fuel adoption, Kandla is positioning itself as an additional supply node, aiming to cater to nearly 200 vessels that are running on methanol-based fuels along this corridor by 2030.

Methanol bunkering has already moved from the planning stage to on-ground execution at DPA. On April 2, the port successfully carried out its first shore-to-ship methanol bunkering trial, validating fuel transfer systems, safety protocols and operational readiness. The exercise saw participation from industry partners including Stolt Tankers, JM Baxi, Aegis Vopak and Indian Oil Corporation Ltd, with technical verification by DNV.

The port is now building on this milestone to further expand its bunkering capabilities. Using its existing infrastructure of storage tanks, pipelines and jetties — already handling methanol as a cargo — Kandla is preparing for ship-to-ship bunkering operations in the next phase. With plans to secure the supply of up to 500 KTPA of green e-methanol by 2028–29, the port is steadily positioning itself as a future refuelling hub.

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Qantas has also reduced frequency on domestic and New Zealand routes.

Chalabala

Published on May 4, 2026