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To explore the state's solar potential, the Himachal Pradesh government on Wednesday signed a memorandum of understanding with Oil India Ltd to establish a framework for cooperation in harnessing and developing new and renewable energy sources in the state.

The pact was signed by Harikesh Meena, Director (Energy), on behalf of the state government, and Pankaj Kumar Goswami, Director (Operations), Oil India Ltd, in the presence of Chief Minister Sukhvinder Sukhu.

The Chief Minister said the company would explore the possibilities of setting up floating solar power plants in water reservoirs, besides establishing ground mounted solar power projects.

He said the Oil India can also set up a plant for producing green hydrogen and green ammonia on a pilot basis.

Himachal Pradesh has abundance in green energy and opportunity in producing green hydrogen, and the state government has taken various initiatives to harness this potential, the Chief Minister said, as he asked Oil India to send a team of experts next week to inspect the sites for implementing these projects.

Sukhu said that a review meeting will be held on May 26 to discuss the progress of the proposed projects.

The Chief Minister also asked Oil India to avoid unnecessary delays in establishing these projects, an official statement said.

Sukhu said this will be a milestone in making Himachal Pradesh the first green energy state in the country by March 31, 2026.

The Chief Minister said the collaboration between the government and Oil India will focus on developing various new and renewable energy sources, including solar energy, green hydrogen, compressed biogas, geothermal energy and wind energy.