India has taken a step toward cleaner maritime transportation with the groundbreaking of its first port-based e-methanol production facility at Deendayal Port Authority in Kandla, Gujarat. The foundation stone was laid on September 26, 2026, by Union Minister for Ports, Shipping and Waterways Sarbananda Sonowal, Gujarat Chief Minister Bhupendra Patel, and Assam Chief Minister Himanta Biswa Sarma. The project supports India's efforts to promote alternative marine fuels and reduce greenhouse gas emissions from shipping.

The facility is designed to produce up to 150 tonnes of e-methanol per day using renewable energy, water, and biogenic carbon dioxide. E-methanol is considered an alternative marine fuel that could help reduce emissions from vessels, depending on its production methods and overall fuel lifecycle. According to India's Ministry of Ports, Shipping and Waterways, the plant is intended to supply vessels operating along the Asia-Europe international trade corridor, strengthening the country's role in the emerging green shipping fuel market.

The project involves a planned investment of ₹2,300 crore and will be developed in two phases. The first phase is designed to produce 50 tonnes per day, with completion targeted for January 2027, while the second phase will add another 100 tonnes per day, with completion targeted for March 2027. The development is a joint initiative of Deendayal Port Authority and Assam Petro-Chemicals Ltd. Government projections indicate that the project could generate approximately 3,500 direct and indirect employment opportunities.

Once operational, the facility is expected to strengthen Kandla\'s capacity to support methanol-fueled vessels and expand India\'s green marine fuel infrastructure. The initiative also aligns with the country\'s long-term goal of achieving net-zero emissions by 2070. However, the projected production capacity, completion dates, and economic benefits remain subject to the project\'s implementation and commissioning. The development marks a planned expansion of India\'s alternative-fuel capabilities as the global shipping industry explores options for reducing its environmental impact.