Mumbai — In a significant step toward sustainable maritime operations, Mazagon Dock Shipbuilders Limited (MDL) has signed a $39 million contract with Shipping Corporation of India (SCI) to build the country’s first methanol dual-fuel platform supply vessel (PSV).
The agreement marks a milestone for India’s shipping industry, as it introduces cleaner fuel technology into commercial vessel operations while aligning with the nation’s broader climate and energy goals.
Project Overview
Under the deal, MDL will construct and deliver a 3000 deadweight ton (DWT) Platform Supply Vessel, specifically designed to operate on a dual-fuel system using methanol as an alternative to traditional marine fuels.
Key details:
- Contract Value: $39 million (approximately ₹320 crore)
- Vessel Type: 3000 DWT Methanol Dual-Fuel PSV
- Client: Shipping Corporation of India
- Builder: Mazagon Dock Shipbuilders Limited
- Delivery Timeline: As per mutually agreed contractual schedule
This will be the first vessel in SCI’s fleet capable of running on green methanol, a cleaner-burning fuel that significantly reduces emissions compared to conventional fuels like diesel.
Supporting India’s Green Energy Goals
The project aligns with India’s ambitious National Green Hydrogen Mission (NGHM), which promotes the adoption of green fuels such as hydrogen and methanol across industries.
Methanol, when produced from renewable sources, offers:
- Lower carbon emissions
- Reduced sulfur and particulate output
- Improved environmental compliance for global shipping standards
By integrating this technology, India is positioning itself to meet international decarbonization targets in the maritime sector.
Strategic Significance
Industry experts see this deal as a turning point for India’s shipbuilding and shipping ecosystem:
- Green Innovation: Demonstrates India’s entry into next-generation, eco-friendly vessel design
- Energy Transition: Reduces reliance on conventional fossil fuels in marine operations
- Global Competitiveness: Enhances MDL’s reputation as a builder of advanced, sustainable ships
- Self-Reliance: Supports the government’s “Atmanirbhar Bharat” (self-reliant India) initiative in shipbuilding
The vessel will primarily serve offshore operations, including transporting supplies and personnel to oil and gas platforms, while operating with a significantly lower environmental footprint.
Corporate Perspective
According to MDL officials, including Company Secretary Lalatendu Acharya, the contract falls within the company’s regular business activities. However, due to its financial and strategic importance, it was disclosed publicly in compliance with regulatory requirements.
Looking Ahead
The successful execution of this project could pave the way for wider adoption of methanol-powered vessels across India’s maritime sector. It also signals growing momentum in the global shipping industry toward cleaner fuels and sustainable practices.
As countries and corporations intensify efforts to reduce carbon emissions, India’s move to develop green-fuel vessels positions it as an emerging player in the future of sustainable shipping.