INDIA’S

GREEN HYDROGEN
REVOLUTION
- An Ambitious Approach

May 2024
 INDIA’S
GREEN HYDROGEN
REVOLUTION
An Ambitious Approach

May 2024
ACKNOWLEDGEMENT
Consultants/ Advisors
Ernst & Young LLP

Reproduction is authorised, provided the source is acknowledged, save where

otherwise stated.

Authors: (NGHM-PMU-EY LLP)

Braj N Singh
Tripti Ratn
Prakash Jha

Reviewers: (EY LLP)

Somesh Kumar
Sandeep Narang

Support Team: (EY LLP)

Ankush Mukati
Salman Hussain

Special Thanks:
Sh. Ajay Yadav, Jt. Secretary, MNRE
Sh. Prasad A Chaphekar, Dy. Secretary, MNRE

We express our sincere gratitude to all the industry leaders, who have expressed
their views on the subject matter.

Booklet Designed by:

Ernst & Young LLP

Disclaimer
This booklet has been prepared by PMU-NGHM (MNRE) with inputs received from
MNRE, publicly available information and data collected from different reports from
open sources. EY disclaims any and all liability for the use of information contained
in this booklet. While the experts and organisations listed in the acknowledgements
and appendix have provided inputs for the development of this report, their
participation does not necessarily imply endorsement of the report’s contents or
conclusions. The tables and charts in the report are based on the available data
accessed from various reliable sources. The sources have been duly recognized in
the booklet. Further, the views in the document do not necessarily reflect those of
EY and PMU-NGHM.
PREFACE
The world faces a pressing challenge: The Government of India already has a strong
DECARBONISATION. To combat climate focus on renewable energy with ambitious
change, nations around the globe are striving targets for capacity expansion. This focus
to reduce greenhouse gas emissions and on renewables is crucial for powering Green
transition towards cleaner energy sources. Hydrogen production and achieving the
International conferences like COP 26 (2021) mission’s goals. The economic potential of
and COP 28 (2023) have played a crucial role in Green Hydrogen in India is significant and
fostering global collaboration on this front. the mission projects creation of millions of
jobs, attracting substantial investments, and
The booklet includes overview of decarbonisation reducing dependence on fossil fuel imports.
scenario in India and the policy measures of This economic development will contribute to
the Government for supporting the need of India’s overall energy security and Aatmanirbhar
the hour, with right mix of decarbonisation Bharat (self-reliant India) goals.
pathways and technology levers.
Several major Green Hydrogen projects (Pilot
In this context, Green Hydrogen emerges as and Commercial) are already underway across
a game-changer. Produced using renewable India, showcasing the country’s commitment
energy sources like solar, wind, hydro and to its clean energy targets. Few success stories
biomass, Green Hydrogen offers a clean and of the projects have been showcased in the
sustainable alternative to fossil fuels. However, booklet. These projects pave the way for a
large-scale production necessitates significant greener future powered by innovation and
renewable energy capacity. sustainability.

Recognizing this potential, India launched the Financing Green Hydrogen and Renewable
National Green Hydrogen Mission in 2023. This Energy projects requires a multi-pronged
ambitious mission aims to establish India as approach. Traditional methods remain
a global hub for Green Hydrogen production, important, but innovative solutions and
usage, and export. The mission seeks to: supportive policies are crucial to unlock the full
potential of clean energy investments. Along
Drive down production costs through
 
with the financing options of debt and equity,
financial incentives for electrolyser
green financing facilities like Green Bonds &
manufacturing and Green Hydrogen
Sovereign Loans can be explored. Collaboration
production.
between public and private sectors is key to
Boost domestic demand by mandating
  bridging the financing gaps and accelerating
minimum Green Hydrogen consumption the transition to a sustainable future.
in specific sectors.

 Facilitate exports by establishing supportive

policies and strategic partnerships.
FOREWORD
As we stand at the cusp of a transformative era in energy evolution,
the significance of Green Hydrogen cannot be overstated. With
great enthusiasm that I introduce this booklet, depicting the brief
development of Green Hydrogen in India.

In recent years, the discourse around sustainable energy solutions has

shifted towards the imperative of decarbonisation, and Green Hydrogen
has emerged as a beacon of hope in this journey. Unlike its grey
counterpart, Green Hydrogen production offers a pathway free from
harmful emissions, harnessing the power of renewable energy sources
such as solar and wind. Through the process of electrolysis or biomass
gasification, water is transformed into a clean fuel that holds immense
Ajay Yadav potential across various sectors, from industry to transportation.
Joint Secretary
Ministry of New & India's commitment to this cause is underscored by the National Green
Renewable Energy Hydrogen Mission, a visionary initiative aiming to produce 5 million
tonnes of Green Hydrogen by 2030. This mission not only aligns with our
national goals for sustainability but also positions India as a frontrunner
in the global green energy landscape.

As we embark on this journey, it is imperative to prioritize quality

and safety at every step. The development of robust standards and
regulations will ensure that Green Hydrogen maintains its promise as a
safe and reliable energy source.

The booklet you hold in your hands is not just a compilation of articles;
it is a testament to our collective vision for a greener, more sustainable
future. Through insightful analysis and informed perspectives, we aim to
provide you with a comprehensive understanding of the development
of Green Hydrogen eco system in India.

Moreover, this booklet serves as a platform to highlight the pioneering

Green Hydrogen projects already underway in India. These projects
stand as testament to our nation's capacity for innovation and our
unwavering commitment to a cleaner, brighter tomorrow.

I am confident that this booklet will prove to be a valuable resource

for understanding the Indian initiatives for the development of Green
Hydrogen in India. By fostering dialogue, sharing knowledge, and
promoting collaboration, we can accelerate the adoption of Green
Hydrogen and usher in a new era of sustainable development.

In closing, I extend my gratitude to the contributors, who have made

this booklet possible. Together, let us strive towards a future powered by
clean, renewable energy, where Green Hydrogen takes its rightful place
at the forefront of our energy transition.

Warm regards,
FOREWORD
The world stands at the crossroads of an energy revolution, where
sustainability and innovation converge to create a future that is not
only green but also economically vibrant. India, with its rich history of
leadership in renewable energy, is at the forefront of this transformative
journey. It is with great pleasure that I welcome you to this special issue
of our booklet, where we explore the National Green Hydrogen Mission
of India and the various initiatives that are propelling this mission toward
success.

The National Green Hydrogen Mission of India represents a landmark

effort to position India as a global leader in the production, use and export
of Green Hydrogen (GH2) and its derivatives such as Green Ammonia and
Somesh Kumar Green Methanol. By harnessing the power of renewable energy sources
Partner like solar and wind, green hydrogen has the potential to decarbonize
Ernst & Young-LLP industries, reduce reliance on fossil fuels, decrease import and contribute
significantly to India’s climate goals. This mission embodies the spirit of
innovation and sustainable development, with a vision to create a robust
green hydrogen economy that benefits industries, communities, and the
environment.

The Ministry of New and Renewable Energy (MNRE), under Government

of India plays a pivotal role in this endeavour, with various schemes
designed to encourage the adoption of green hydrogen technologies.
Through strategic incentives, infrastructure development, and policy
frameworks, the ministry is laying the groundwork for a vibrant green
hydrogen ecosystem. The schemes by MNRE are not just about promoting
green hydrogen but also about fostering a culture of sustainability and
clean energy that resonates across the nation.

We also delve into the initiatives undertaken by various government

bodies and public-private partnerships, highlighting their collaborative
efforts to make the green hydrogen mission a reality. From pilot projects
that demonstrate the viability of green hydrogen in diverse applications
to financing options that support its large-scale deployment, these
initiatives showcase the commitment and creativity that drive India’s
green hydrogen vision forward.

Finally, we feature a selection of pilot projects that are leading the way
in green hydrogen innovation. These projects, ranging from industrial
applications to transportation and energy storage, demonstrate the
versatility and potential of green hydrogen in transforming various
sectors. They serve as beacons of progress, showcasing the tangible
impact of India’s green hydrogen mission.

We hope this booklet inspires you to learn more about the National Green
Hydrogen Mission of India and the collective efforts driving its success. As
we embark on this journey toward a greener, more sustainable future, let
us remember that innovation and collaboration are the keys to unlocking
the full potential of green hydrogen. Thank you for joining us, and enjoy
the read.

Warm regards,
CONTENTS
01 Executive Summary 08

02 Renewable Energy in India 10

03 Green Hydrogen -
The Clean Energy Carrier
14

04 Enabling Policy and Regulation 30

05 Financing Options in India 36

06 Major Projects -
Leading the Way
40
ACRONYM
ADB Asian Development Bank
AEM Anion Exchange Membrane
BEE Bureau of Energy Efficiency
BIS Bureau of Indian Standards
BESS Battery Energy Storage System
BoP Balance of Plant
BOS Balance Of Systems
CCUS Carbon, Capture, Utilisation and Storage
CEA Central Electricity Authority
CERC Central Electricity Regulatory Commission
COP Conference of Parties
CSP Concentrated Solar Photovoltaic
DC Direct Current
DISCOM Distribution Companies
ECIU Energy & Climate Intelligence Unit
EG Empowered Group
EPC Engineering, Procurement and Construction
ESG Environmental, Social and Governance
ETS Emission trading system
EU European Union
EV Electric Vehicle
EOUs Export Oriented Units
FCEV Fuel Cell Electric Vehicle
GA/GNH3 Green Ammonia
GB Green Bonds
GCF Green Climate Fund
GDP Gross Domestic Product
GHG Greenhouse Gas emissions
GH2 Green Hydrogen
GoI Government of India
GW Gigawatt
IPCC Intergovernmental Panel on Climate Change
IREDA Indian Renewable Energy Development Agency
IRENA International Renewable Energy Agency
ISTS Inter State Transmission Systems
LCoH Levelised Cost of Hydrogen
KTPA Kilo Tonnes per Annum
LiFE Lifestyle for Environment
MNRE Ministry of New and Renewable Energy
MoP Ministry of Power
MoEFCC Ministry of Environment, Forest and Climate Change
MMTPA Million Metric Tonnes Per Annum
MTCO2e Million Tonnes of Carbon Dioxide equivalent
MW Mega Watt
NDCs Nationally Determined Contributions
NGHM National Green Hydrogen Mission
NISE National Institute of Solar Energy
PEM Proton Exchange Membrane
PLI Production linked Incentive
PHS Pumped Hydro Storage Plant
PV Photovoltaics
RE Renewable Energy
REC Renewable Energy Certificates
RPO Renewable Purchase Obligation
RCS Regulations, Codes and Standards
RfS Request for Selection
RTC Round The Clock
SECI Solar Energy Corporation of India
SEZs Special Economic Zones
SHP Small Hydro Power
SHIP Strategic Hydrogen Innovation Partnership
SIGHT Strategic Intervention for Green Hydrogen Transition
SPV Special Purpose Vehicles
UAE United Arab Emirates
UNFCC United Nations Framework for Climate Change
WB World Bank
WRI World Resources Institute
INDIA’S “PANCHAMRIT” TO
ACHIEVE NET-ZERO

Ranks in top 5
globally to add
renewable energy

Increase the
energy mix from

2023 existing 42%

to 61% by end
of the current
Crossed the mark of
decade
175GW of renewable energy

1. Raising the non-fossil fuel-based energy

capacity of the country to 500 GW by 2030.
2. Half of the energy requirements of the
country would be met using renewable
energy sources by 2030.
 Achieve 410GW of
renewable energy 2050

To double the energy

consumption from 2070
2028 current 7% to 14%
To reach net-zero

Source: MNRE

3. Reduce one billion tons of carbon emission

by 2030.
4. The carbon intensity would be reduced to
less than 45% by 2030.
5. By 2070, India would become carbon
neutral and achieve net zero emissions.
PRIME MINISTER’S SPEECH
AT COP-26
‘India has delivered Paris commitments in letter and spirit’, said Mr. Narendra Modi

Friends,Today I am representing amid you, the land which gave this mantra thousands of years ago-

सम््-गच्छ-ध्वम््, (Let’s move together )

सम््-व-दद्वम््, (Let’s all interact together)

सम्् वोो माानसि� जाानतााम््। (Everyone’s minds should also be one)

Friends,

When I first came to Paris for the Climate Summit, it was not my intention to add one promise to the
many promises already being made in the world. I came with a concern for the humanity. I came as a
representative of a culture that gave the message of ‘Sarve Bhavantu Sukhinah’, which means “Happiness
for All” and so, for me the event in Paris was not a summit, it was a sentiment and a commitment. And
India was not making those promises to the world, but 125 crore Indians were making those promises to
themselves.

And I am happy that a developing country like India, which is working to lift crores of people out of
poverty, and which is working day and night on the Ease of Living for crores of people, today, despite
being 17 % of the world’s population, whose responsibility has been only 5 percent in emissions, it has left
no stone unturned to show that it has fulfilled its obligation.

Today the whole world believes that India is the only big economy which has delivered in letter and spirit
on the Paris Commitment. We are making every effort with determination; and we are working hard and
showing results.

Friends,

Today, as I come among you, I have brought India’s track record. My words are not just words; they are
announcements of a bright future for our future generations. Today, India ranks 4th in the world in
installed renewable energy capacity. India’s non-fossil fuel energy has increased by more than 25% in the
last 7 years and now it has reached 40% of our energy mix.

Friends,

Every year more passengers travel by Indian Railways than the population of the world. This huge railway
system has set a target of making itself ‘Net Zero’ by 2030.This initiative alone will lead to a reduction of
emissions by 60 million tonnes annually. Similarly, our massive LED bulb campaign is reducing emissions
by 40 million tonnes annually. Today, India is working at a faster pace on many such initiatives with a
strong will.

Along with this, India has also given institutional solutions to cooperate with the world at the international
level. As a revolutionary step in solar power, we initiated the initiative of International Solar Alliance. We
have created a coalition for disaster resilient infrastructure for climate adaptation. This is a sensitive and
vital initiative to save millions of lives.
 Friends,

I would like to draw your attention to one more important topic. Today, the world admits that lifestyle has
a big role in climate change. So, I propose before you a One-Word Movement.

This One-Word , in the context of climate, can become the basic foundation of One World. This word is
LiFE - Lifestyle For Environment. Today, there is a need for all of us to come together and take LiFE forward
as a campaign.

This can become a mass movement of environmental conscious lifestyle. What is needed today is mindful
and deliberate utilization, instead of mindless and destructive consumption. These movements together
can set goals that can revolutionise many sectors in diverse areas such as Fishing, Agriculture, Wellness,
Dietary Choices, Packaging, Housing, Hospitality, Tourism, Clothing, Fashion, Water Management and
Energy.

These are subjects where each of us should make conscious choice every day. These choices exercised
by billions of people daily around the world, will take the fight against climate change, billions of steps
forward every day. And I consider it as a movement on all grounds like on economic grounds, on scientific
grounds, on the basis of the experiences of the past century, it meets every criterion. This is the path of
self-realization. This is the only way to benefit.

Friends,

In the midst of this global brainstorming on climate change, on behalf of India, I would like to present five
nectar elements, ‘Panchamrit’, to deal with this challenge.

 First: India will take its non-fossil energy capacity to 500 GW by 2030.

 Second: India will meet 50 percent of its energy requirements from renewable energy by 2030.

 Third: India will reduce the total projected carbon emissions by one billion tonnes from now till 2030.

 Fourth: By 2030, India will reduce the carbon intensity of its economy by more than 45 percent.

 Fifth: by the year 2070, India will achieve the target of Net Zero.

These ‘Panchamrits’ will be an unprecedented contribution of India to climate action.

(The above is few lines from the Speech at COP 26 , Glasgow .The original speech was delivered in Hindi. The translation for the same has been taken from PIB.)
 1
CHAPTER

EXECUTIVE SUMMARY
 Executive Summary

COP 26 has given the birth to “Green Hydrogen” for Chapter 3: Green Hydrogen -
enabling India’s journey towards net zero by 2070. The Clean Energy Carrier

The chapter dives deep into Green Hydrogen, explaining

Only a targeted approach towards Green Hydrogen
the Green Hydrogen value chain. It covers Green
eco system can enable India’s energy transition, while
Hydrogen standard, National Green Hydrogen Mission
supporting its growing energy needs. India has set a
, other initiatives by Ministry of New and Renewable
target to achieve net zero by 2070 at the United Nations
Energy towards achieving the goals of NGHM.
Climate Change Conference in Glasgow (COP26), held in
2021.
Chapter 4: Enabling Policies and Regulations
Green Hydrogen is the key to help meet India’s energy Recognizing the importance of supportive policies,
security needs while reducing emissions in hard-to- this chapter explores the role of government initiatives
abate sectors such as Steel, fertilizers, Refinery, Cement in fostering the development and adoption of Green
& Mobility, on the path to Net-Zero. Indian government Hydrogen. It analyses various policy instruments,
launched the ‘National Green Hydrogen Mission’ in early including feed-in tariffs, carbon pricing mechanisms, and
2023. regulatory frameworks aimed at creating a conducive
environment for Green Hydrogen production and
Today, most of the country’s hydrogen supply is grey utilization.
hydrogen, which is produced using fossil fuels in a
process that creates CO2 gas emissions. The National Chapter 5: Financing Green Hydrogen -
Green Hydrogen Mission has set a target to produce 5 Bridging the Gap
MMTPA of Green Hydrogen by 2030.
Financing Green Hydrogen projects often requires
innovative approaches due to their initial capital-intensive
Fortunately, India has a high potential in terms of
nature. This chapter examines various financing options,
renewable energy, which can support its goals for Green
including public-private partnerships, green bonds, and
Hydrogen growth but needs rapid capacity addition.
innovative financial instruments designed to bridge the
Government has released multiple of PLI schemes to
investment gap and accelerate the growth of the Green
encourage capacity addition of Renewable Energy in
Hydrogen sector.
every sectors such as Solar, On Shore Wind, Offshore wind,
Biomass, Hydro, & Pumped Storage, along with BESS
Chapter 6: Pilot Projects -
for storage to provide RTC (Round the Clock) renewable
Leading the Way
energy requirement for Green Hydrogen sector. Pilot
projects schemes have already been launched for use Showcasing the real-world implementation of Green
of hydrogen in Steel, Shipping and Mobility sector and Hydrogen, this chapter explores ongoing pilot projects
several other are in pipeline. across different sectors and geographies, thereby
providing valuable insights for future large-scale
Chapter 2: The Foundation - deployment.
Renewable Energy
This booklet aims to equip readers with a comprehensive
This chapter lays the groundwork by examining the
understanding of Green Hydrogen, its potential, and the
crucial role of Renewable Energy sources in powering
key factors governing its successful adoption in India. By
the production of Green Hydrogen. It explores the
analysing the various facets of this clean energy carrier,
current state of renewable energy deployment, analyses
the booklet contributes to the ongoing dialogue on
ongoing technological advancements, and discusses
achieving a sustainable and carbon-neutral future.
the challenges associated with large-scale integration.

9
 2
CHAPTER

RENEWABLE ENERGY IN INDIA

 Renewable Energy in India

2.1 Role 2.3 India’s Progress in RE

Renewable Energy is the key ingredient that makes
2.3.1 Current Status
hydrogen production truly green, without which
hydrogen would still rely on fossil fuels, defeating the Globally, India stands 4th in Renewable Energy Installed
purpose of this clean energy alternative. capacity (including Large Hydro), 4th in Wind Power
capacity & 5th in Solar Power capacity (as per REN21
The standard issued by the Ministry of New and Renewables 2022 Global Status Report). The country has
Renewable Energy (MNRE), Government of India outlines set an enhanced target of 500 GW of non-fossil fuel-based
the emission thresholds that must be met for hydrogen energy by 2030, at the COP26. This has been a key pledge
produced to be classified as ‘Green’, i.e., from Renewable under the Panchamrit and is the world’s largest expansion
Sources. plan in Renewable Energy. India’s installed non-fossil fuel
capacity has increased to 396% in the last 9 years.
“Green Hydrogen” shall mean hydrogen produced
using renewable energy, including, but not limited INDIA ON THE TOP
to, production through electrolysis or conversion
 4
th globally for total Renewable Power capacity
of biomass. Renewable energy also includes such
additions.
electricity generated from renewable sources which is
stored in an energy storage system or banked with the  4th in Wind Power Capacity and
grid in accordance with applicable regulations.
 5th in Solar Power Capacity globally.
Renewable Energy Sources  I
ndia assumed the presidency of the 13th Assembly of
the International Renewable Energy Agency (IRENA)
 Solar

 Wind As of Mar 2024, Renewable Energy sources, including

large hydropower, have a combined installed capacity
 Hydro
of 190.57 GW. The following is the installed capacity for
 Pumped Storage Renewables:

 Tidal
RE Capacity installed as of March 2024 (GW)
 Biomass

2.2 Requirement
To achieve its target of 5 MMT of Green Hydrogen 46.92 45.88
production, India will need 125 GW of Renewable
Energy, by 2030. This requirement can be mainly
fulfilled through Solar, Wind, and Pumped Storage.
India is on spree to enhance the installation of 0.58
Renewable Energy to 500 GW by 2030, to achieve its 5
goal. Several tenders have been floated for offshore
10.35
wind and Pumped Storage projects. Solar plants
have gained a huge momentum from last 10 years
and is on the rising trend, thanks to the initiatives by
81.81
SECI in accelerating the growth of Solar in India. Even
Concentrated Solar Power (CSP) is being thought of
to add to the capacity at minimum possible operating Wind Power Solar Power
cost of generation. Several Pumped Storage projects
have been announced by companies like Tata, JSW, Biomass / Co-generation Small Hydro Power
Torrent & others in last few months. Waste to Energy Large Hydro

11
India’s Green Hydrogen Revolution - An Ambitious Approach

2.3.2 Progress been estimated to be about 70 GW off the coast of

Gujarat and Tamil Nadu.
India saw the highest year-on-year growth in Renewable
Energy additions of 9.83% in 2022. The installed Renewable A revised strategy for development of offshore wind
Energy capacity (including large hydro) has increased by energy projects has been issued in September 2023,
around 128% since 2014. indicating a bidding trajectory for installation of 37
GW capacity of Off-shore Wind Energy. Further,
 Solar Central Transmission Utility has completed the
The installed solar energy capacity has increased by planning of required transmission infrastructure
more than 30 times in the last 9 years and stands for offshore wind projects for initial 10 GW offshore
at 88 GW as of 31 March 2024. India’s solar energy capacity (5 GW each off Gujarat and Tamil Nadu
potential is estimated to be 748 GWp as estimated coasts).
by National Institute of Solar Energy (NISE).

 Wind

A study was conducted by the National Institute of

Wind Energy to assess the wind power potential of
the country at a height of 150 Meters. The potential
now assessed for onshore projects is 1,163 GW.
However, the potential sites having high Capacity
Utilization Factor (CUF) of 36% and above (which is
necessary for financial viability of the project) is 163
GW. India has already utilized sites of total capacity of
42 GW and now a balance 120 GW would be available
for new development.
 National Green Hydrogen Mission
 Offshore Wind Energy
The Union Cabinet approved the National Green
India is blessed with a coastline of about 7600 km Hydrogen Mission with a total initial outlay of INR
(Mainland) surrounded by water on three sides 19,744 Cr, including an outlay of INR 17,490 Cr for the
and has good potential for offshore wind energy SIGHT programme, INR 1,466 Cr for pilot projects,
generation. Initial assessment of offshore wind INR 400 Cr for R&D, and INR 388 Cr towards other
energy potential within the identified zones has Mission components.

Target - 2030

 Reduction of the carbon intensity of the economy by 45% by 2030, over 2005 levels.

 50% of its energy requirements from renewable energy by 2030.

 500GW Non-fossil energy capacity by 2030.

 Reduction of total projected carbon emissions by one (01) billion tonnes from 2023 to 2030.

 F
ive (05) million tonnes of annual production capacity of Green Hydrogen by 2030, supported
by 125 GW of renewable energy.

 50 Solar Parks with an aggregate capacity of 37.49 GW.

 Wind Energy has an offshore target of 30 GW by 2030

 26.7 GW of Pumped Storage requirement by 2032

 47.2 GW of BESS requirement by 2032

12
 Renewable Energy in India

 Wind-Solar Hybrid Policy ii. Various waivers like Inter State Transmission
Charges and other beneficial discom policies for
In 2018, National Policy was announced to promote
Green Energy transmission were introduced.
an extensive grid-connected Wind-Solar PV
hybrid system for efficiently utilizing transmission
Renewable Purchase Obligation (RPO): Government
infrastructure and land. A way to address the
of India has notified the Renewable Purchase Obligation
intermittency challenge of one renewable power
(RPO) targets for designated consumers up to March
source is to combine solar and wind, achieving
2030 under the Energy Conservation Act, 2001
better grid stability. It provides flexibility in a share
of wind and solar components in the hybrid project;
The minimum share of Renewable Energy is set to
however, the capacity of one resource must be at
progressively increase over the years. In 2024-25, 29.91%
least 25% of the rated power capacity of other
of the total energy must come from renewable energy
resources.
sources. This will gradually rise to 43.33% in 2029-30.

The cost of Solar and Wind Power has significantly

Separate RPO for ‘Distributed Renewable Energy (DRE)’
declined. Solar, for instance, has become cheaper
has been introduced.
than coal-based power in most regions. This
economic advantage makes renewable energy an
The new trajectory represents a significant step towards
attractive choice for power generation companies
a greener and more sustainable energy landscape and
and consumers alike.
will help entities in long-term planning.

2.4 Government Policies and

Year Wind HPO Other Total
Initiatives RPO RPO RPO
Ambitious Targets: The Indian government has set
2024-25 3.36% 1.08% 26.37% 29.91%
ambitious Renewable Energy targets, aiming for a
significant portion of the country’s energy mix to come 2025-26 3.36% 1.48% 28.17% 33.01%
from clean sources.
2026-27 4.29% 1.80% 29.17% 35.95%
Supportive Schemes: Policy initiatives like the
Production Linked Incentive (PLI) Scheme offer financial 2027-28 5.23% 2.15% 31.43% 38.81%
incentives for manufacturing & promoting domestic
2028-29 6.61% 2.51% 32.69% 41.36%
production of Renewable Energy equipment . The
National Green Hydrogen Mission further strengthens 2029-30 6.94% 2.82% 33.57% 43.33%
this focus on clean energy solutions.
These drivers are expected to continue propelling
i. PLI scheme in Solar PV manufacturing with India’s Renewable Energy sector forward. As costs
financial outlays of INR 24,000 Cr was introduced decrease further, technologies become even more
under AatmaNirbhar Bharat, along with imposition efficient, and the government maintains its focus on
of Basic Customs Duty of 25% on Solar Cell & 40% on clean energy goals, India is well-positioned to become a
Solar PV Modules w.e.f. 01.04.2022. global renewable energy powerhouse.

13
 3
CHAPTER

GREEN HYDROGEN-
THE CLEAN ENERGY CARRIER
 Executive Summary

Hydrogen – the missing link: It has

Hydrogen is a versatile source of energy been realized that hydrogen will act
that can contribute to decarbonisation of as a critical enabler to achieve the
global economy if produced using low- global targets to limit the increase
carbon emitting sources. The Government in temperature to 1.5-degree Celsius,
of India is inclining towards Hydrogen as a adapt to adverse impacts of climate
future fuel and feedstock. The objective of change and fostering low greenhouse
this chapter is to bring insights from global gas emissions development. In 2020,
hydrogen ecosystem, their key challenges and there was an inescapable excitement
recommendations for India. around hydrogen. Globally, countries
are proposing ambitious targets,
pilot projects and huge number
of investments towards creating
hydrogen ecosystem.

Exhibit 1: Global initiative towards Hydrogen economy

~ US$10.2t ~ 30 countries
Expected Global Announced National
Investment until 2050 Hydrogen Mission Plan

~ 250 cities ~ US$70b ~ 20 countries

Targets for 100% Government support to Announced sales ban on
Renewable energy transition to hydrogen ICE vehicles before 2035

~ US$2.5t ~ 114 countries

Expected Global Countries have or plan
Investment until 2050 to set targets for cutting
emission

Source: Hydrogen Council Report

15
India’s Green Hydrogen Revolution - An Ambitious Approach

Exhibit 2: Global Hydrogen Projects

19 Projects

226 Projects
46 projects

8 projects

24 projects

Source: Hydrogen Council Report

Growing hydrogen momentum: Decarbonisation of hard-to-abate sector: Hydrogen

is a potential fuel and feedstock to reduce carbon
why now? intensities of sectors such as transportation, industrial
and residential applications.
Decarbonisation targets: Under the Paris agreement,
countries have pledged to reduce national emissions Technological advancement: There is a significant
and impact of climate change through “Nationally improvement in the efficiency of electrolyser and fuel
Determined Contributions (NDCs)” targets. However, cells technologies.
to meet such ambitions targets, countries will have to
install large number of Renewable Energy systems. Falling technology cost: The cost of hydrogen produced
It is also essential to find an alternative fuel for from the electrolysis has fallen by ~ 60% since 2010. Also,
applications where direct electrification is not the price of Fuel Cell Electric Vehicles (FCEV) has declined
feasible. Hence, hydrogen could be a viable fuel by ~ 65% over the past 10 years.
with huge potential to achieve global decarbonisation
targets.
Why is India betting big on
A complementary solution to Renewable Energy: hydrogen?
Renewable Energy technologies have witnesses Energy security: The global pandemic has taught the
tremendous growth both in terms of technical and nations to diversify their energy demand as well as their
financial feasibility. It is required to store and utilize geographical availability. The fluctuations in the oil &
excessive energy produced during generation hours. gas market have disrupted supply-demand chain and
Hydrogen can be the missing piece to complement causes variation in the fuel cost. Developing countries
Renewable Energy systems. like India need to find out an alternative to strengthen
its National Energy Security.
Supporting grid load management via storage
solutions: The grid load requirements and better grid Emission targets: India is the third largest global CO2
resiliency due to increasing Distributed Renewable emitter (~7% of global CO2 emission) well below China
Energy installations can be managed with Green & United States. Earlier, it was committed to reduce its
Hydrogen based energy storage system. emissions intensity by 33-35% under the Paris Agreement
which has been revised to 45% by 2030.

16
 Green Hydrogen - The Clean Energy Carrier

Economic dependencies & balance of trade: India US$30 bn / year on Oil & Gas, Coal, Transmission &
is the world’s third largest crude oil importer with an Distribution, Renewable Energy and Electric Vehicles.
import dependency of over 80%. It also imports 54% of Some proportion of these subsidies can be diverted for
natural gas and 24% of coal requirements which largely the development of hydrogen ecosystem.
affects India’s financial account balance. India’s oil
import bill in FY20 and FY19 was approx. US$101.4 billion Hence, India can grab this early opportunity to capture
and US$111.9 billion, respectively. entire value chain of hydrogen and look out for global
exports
Energy Subsidies: Along with the high cost of imported
fuel, India gives away overall energy subsidies of approx.

Exhibit 3: Type of Hydrogen

Colour

Black/Brown
Type Grey Hydrogen Blue Hydrogen Turquise Hydrogen Pink Hydrogen Green Hydrogen
Hydrogen

Coal
Methane Gasification Electrolysis/
Coal Gasification
Process Reformation &Methane Pyrolysis Electrolysis Biomass
Reformation Gasification
with CCUS

Renewable
Source Coal Natural Gas Fossil Fuel Methane Nuclear Energy
Energy

INSIGHTS

 Hydrogen can be obtained from fossil fuels, biomass, as well as a combination of water & renewables.

 Natural gas is now the most common source of hydrogen generation, accounting for roughly
three-quarters of the total dedicated hydrogen production of around 70 million tonnes per year.

 Currently, most of the world’s hydrogen is being produced from natural gas and coal. When hydrogen
is produced using renewable energy sources, it is termed as Green Hydrogen. Water electrolysis is most
matured technology to produce Green Hydrogen.

Exhibit 4: Global hydrogen production

Global Hydrogen Production
Hydrogen can be produced using
Water Electrolysis
different technologies, but sustainable
4%
production technologies will create
future possibilities of adoption and scale. Natural gas
Today, hydrogen is mainly produced Coal Gasification steam
18% methane
from fossil fuels such as coal & natural
reforming
gas. However, it can be generated from
(SRM)
various feedstocks. The cost of hydrogen, 48%
market-competitiveness and market-
timeframe is affected by location of
Oil Reforming
production technology and its volume of 30%
production
Source: IRENA Report

17
India’s Green Hydrogen Revolution - An Ambitious Approach

3.1 Green Hydrogen Value Chain as nitrogen oxides, hydrocarbons and particulate
matter. Whereas hydrogen only emits water as a
The specific energy of hydrogen is between by-product.
120-140 MJ per kg while that of diesel and gasoline
fuel is between 30-45 MJ per kg. Therefore, hydrogen Although Hydrogen is not a new concept as energy
specific energy is around 3X to 4X times higher than carrier, Green Hydrogen has gained momentum for its
gasoline and diesel fuels. contribution towards decarbonisation. Green Hydrogen
, although a colorless gas, has got its name as green
Similarly, specific energy of hydrogen is around 30X due to the low emission of green house gas , during its
to 90X times higher than batteries. Also, diesel and production process, including the emission associated
gasoline emit approx. 75-85 g CO2 per MJ of energy with the production of energy it consumes. The FOUR
produced along with other harmful substances such pillars of Green Hydrogen Value Chain is depicted as
follows:

1 PRODUCTION & TECHNOLOGY

Green Hydrogen refers to hydrogen
2 STORAGE & TRANSPORTATION
Green Hydrogen’s potential as a clean
produced through electrolysis, which energy carrier, hinges upon efficient
splits water molecules (H2O) into storage and transportation solutions
hydrogen (H2) and oxygen (O2) using
Storage Methods
electricity generated from renewable
 Compressed Gas Storage
sources like solar, wind, or hydro.
 Liquefied Hydrogen Storage
Electrolysis is the heart of the production  Solid-State Hydrogen Storage
process, several developments are (Hydrides)
taking place, through R&D, focussing Transportation Methods
on efficiency,life and cost of the  Pipelines
electrolyser stack.
 Road Transport
 Ships
Popular Technology -
Alkaline electrolyser, PEM, SOEC, AEM Challenges
 Energy Efficiency
 Cost Reduction
 Safety Concerns

3 APPLICATIONS
Green Hydrogen boasts a remarkable
4 ASSOCIATED ASPECTS
In the overall Green Hydrogen value
versatility, making it a potential Chain , the role of Regulations, Codes and
game-changer across various sectors. Standards is vital for Safety of Equipment
and Human Life and to have the product
 Fuel Cell Electric Vehicles (FCEVs)
of quality acceptable for end use. Several
 Aviation and Maritime Aspects includes

 Industry  Renewable Energy

▶ Fertilizer  Water Quality

▶ Refinery  Standards
▶ Steel ▶ Safety
▶ Transport (Road, Rail) ▶ Equipment Quality
▶ Shipping ▶ Product (GH2) Quality
▶ Power Generation

18
Green Hydrogen - The Clean Energy Carrier

19
India’s Green Hydrogen Revolution - An Ambitious Approach

3.2 India’s Potential as World India has c (PHS), which acts like a large-scale “water
battery”, storing excess energy from renewable sources
Leader in Green Hydrogen (like solar and wind) during off-peak hours and releasing
it back during high demand, contributing towards RTC
Green Hydrogen has enormous potential to decarbonise
(Round The Clock) availability of Renewable Energy for
several industrial sectors like mobility, steel, refinery,
Green Hydrogen production. Several Projects have been
petrochemicals, fertilizer, reduce carbon emissions and
announced (by companies like Tata, Jindal, Greenko,
achieve energy independence. The Green Hydrogen
Torrent, etc) to enhance the capacity of PHS to support
production capacity in India is projected to reach 5
the RTC availability of Renewable Energy.
MMTPA, reducing the reliance on import of fossil fuels
and curtailing the cumulative imports of fossil fuels
worth INR 1 trillion (US$12.03 billion) by 2030.

India has a huge potential to become the

world leader in Green Hydrogen. India’s target is not only
to meet its power demand but to become an exporter of
Green Hydrogen in the world.

The factors contributing towards the India’s aim to

become the world leader are mainly:

1. Availability of abundant and cheap Renewable Power

2. Legislative Support

3. Grid Stability
National Electricity Plan 2022 has estimated the need for
4. Coastline and ports 18.8GW of PHS by 2032. Along with PHS, BESS is being
5. Engineering, Procurement & Construction capability developed on large scale to enable the availability of
renewable energy on RTC basis. On 28th February 2024,
The current renewable installed capacity of India and Solar Energy Corporation of India Limited (SECI) has
the vision to establish 500 GW by 2030, in terms of Solar, commissioned India’s largest Battery Energy Storage
Wind (both Onshore & offshore), Pumped Hydro Storage, System (BESS) with an installed capacity of 152.32 MWh
Hydro Power Plants and BESS will support to achieve and dispatchable capacity of 100 MW AC (155.02 MWp
the National Green Hydrogen Mission of India. India’s DC) Solar Photovoltaic plant with 40 MW/120 MWh BESS
geographical location near the equator ensures ample in Rajnandgaon, in the state of Chhattisgarh in India.
sunlight throughout the year (Solar irradiance of 4-7
kWh/m2/day). Vast availability of land particularly in the Grid Stability is critical for Green Hydrogen generation.
Thar Desert of Rajasthan and Gujarat, receive very high India has one of the largest synchronous grids in the
solar irradiance. Many regions experience long periods of world, capable of handling intermittent renewable
clear skies (clear bright days is around 250-300, with a energy and it has achieved ‘One Nation-One Grid-
total of 2300-3200 sunshine hours per year) optimizing One Frequency’. Electrolyser, the core equipment for
solar power generation. Continuously declining costs Green Hydrogen production, require a consistent and
of solar panels make solar-powered Green Hydrogen stable power supply to operate efficiently and prevent
increasingly cost-competitive. damage. As Green Hydrogen is produced primarily from
renewables, fluctuations in solar and wind generation
India has a long coastline and various regions with can disrupt production unless the grid is managed
substantial wind resources, providing another avenue effectively. Due to high base load power along with the
for renewable energy to power Green Hydrogen renewables, the national grid (the electricity Grid of India)
production. Especially southern & western part of is very stable to serve the developers with the renewable
India like Tamil Nadu, Karnataka, Gujarat, Maharashtra, energy, supporting production of Green Hydrogen &
Rajasthan experiences significant wind potential due to its derivatives. The various policies of the Government
specific geographical features like wind corridors, where of India like waiver of Inter State Transmission Charges
strong and consistent wind speeds prevail, offering (ISTS charges), faster connectivity and several favourable
ideal locations for wind power generation Continued electricity policies by individual state governments,
advancements in wind turbine technology, including banking provisions, etc gives an upper hand towards the
larger and more efficient models, can further improve availability of cheap renewable power to the developers
the cost-effectiveness of wind-powered Green Hydrogen of the Green Hydrogen value chain.
production.

20
 Green Hydrogen - The Clean Energy Carrier

National Green Hydrogen Mission is a visionary step India possess a high talent pool of EPC (Engineering,
by Government of India in the energy transition and Procurement and Construction) professionals for
will help in reducing India’s dependency on fossil fuels execution of large-scale Green Hydrogen projects. EPC
resources. Mission aims to make India a Global Hub for companies play a crucial role in building infrastructure,
Production, Utilization and Export of Green Hydrogen driving industrialisation, and creating employment
and its derivatives. The Mission will help India in opportunities, contribute to indigenous technology
decarbonisation towards its goal of Net-Zero and development and innovation to meet India’s evolving
become energy Independent. Several steps have been needs and drives demand for skilled engineers and
taken till date in terms of Production linked incentive technicians, promoting technical education and skill
(PLI) schemes to produce electrolysers (Make in India development in India.
Initiative) and Green Hydrogen. In January 2024, a total
of 8 companies have been awarded the contract for India boasts a vast pool of skilled engineers, technicians,
establishment of electrolyser manufacturing (totalling and project managers experienced in various sectors like
1500 MW) and 10 companies for production of Green energy, infrastructure, and industrial plants. Technical
Hydrogen (totalling 412 thousand Metric Tonness). Education in India constitutes towards high skill capacity
Several schemes for Pilot projects under Shipping, with numerous engineering colleges and technical
Steel and Mobility has been announced to encourage institutes, creating a steady flow of skilled manpower into
participation form Industry. the EPC sector. Many Indian EPC companies have executed
large-scale projects worldwide (global experience), gaining
experience and expertise in international standards and
best practices. Relatively lower labour costs compared
to developed economies contribute to the cost-
competitiveness of Indian EPC firms.

3.3 National Green Hydrogen

Mission of India
India has set its sight on becoming energy independent
by 2047 and achieving Net Zero by 2070. To achieve
its goal and commitment, Government of India has
Standards and Regulations have been released and recognised the critical role of Green Hydrogen. India,
under development to ensure quality and safety of with its vast renewable energy resources, also could
the Green Hydrogen ecosystem. Emerging favourable produce Green Hydrogen for the world. India currently
regulations around production, storage, and use of imports over 40% of its primary energy requirements,
Green Hydrogen streamline processes and reduce costs worth over USD 90 billion every year. Major sectors like
for developers mobility and industrial production are significantly
dependent on imported fossil fuels. Many major
All concerned Ministries, Departments, Agencies, and economies have declared Hydrogen strategies as part
Institutions of the Central and State Governments has of the broader climate and clean energy related actions.
undertaken a focussed and coordinated steps to ensure
successful achievement of the Mission objectives. The National Green Hydrogen Mission aims to provide
Ministry of New & Renewable Energy (MNRE) is a comprehensive action plan for establishing a Green
responsible for overall coordination and implementation Hydrogen ecosystem and catalysing a systemic response
of the Mission. to the opportunities and challenges of this sunrise
sector. The Union Cabinet has approved National Green
India has the advantage of big coastline and availability
Hydrogen Mission on 4th of January 2023. The initial
of water along with several ports to facilitate the export
outlay for the Mission is Rs.19,744 crore, including an outlay
of Green Hydrogen. These regions can support large
of ₹ 17,490 crore for the SIGHT programme, ₹ 1,466 crore
scale production and/or utilization of Hydrogen has been
identified and developed as Green Hydrogen Hubs. In for pilot projects (₹ 455 crore up to 2029-30 for low carbon
the initial steps, three ports namely Deendayal (Kandla, steel projects, ₹ 496 crore up to 2025-26 for mobility
Gujarat), Paradip (Odisha) and V.O. Chidambaranar pilot projects, ₹ 115 crore up to 2025-26 for shipping pilot
(Tuticorin, Tamil Nadu) have been identified for the projects. ₹ 400 crore up to 2025-26 for Hubs and other
development of Green Hydrogen Hubs. projects) ₹ 400 crore for R&D, and ₹ 388 crore towards
other Mission components.

21
India’s Green Hydrogen Revolution - An Ambitious Approach

MNRE has formulated the scheme guidelines for Make in India from the inception stage, a bouquet of
implementation of the respective components. The incentives aimed at indigenisation of the value chain
Mission will result in the following likely outcomes by and increasing Green Hydrogen production and uptake
2030: is being developed. Utilisation in the refineries, fertilizers
and city gas sectors will also create a sustained demand
 Development of Green Hydrogen production
to support new investments in Green Hydrogen
capacity of at least 5 MMT (Million Metric Tonne) per
production. The first phase will also lay the foundation for
annum
future energy transitions in other hard to-abate sectors
 Over Rs. Eight lakh crores in total investments by creating the required Research and Development
impetus.
 Creation of over Six lakh jobs

 Cumulative reduction in fossil fuel imports over Rs. In this phase, Pilot projects are being undertaken for
One lakh crore initiating green transition in steel production, long-haul
heavy-duty mobility and shipping. Parallelly, work will
 Abatement of nearly 50 MMT of annual greenhouse
commence on establishing a framework of regulations
gas emissions
and standards to facilitate the growth of the sector
and enable harmonisation and engagement with
international norms.

The scale up of Green Hydrogen production and use,

and the proposed measures under the Mission in the
first phase, are expected to drive down costs, allowing for
greater and wider Green Hydrogen deployment in the
next phase.

B. Phase II (2026-27 TO 2029-30)

Green Hydrogen costs are expected to become

competitive with fossil-fuel based alternatives in refinery
and fertilizer sector by the beginning of the second
phase, allowing for accelerated growth in production.
Depending upon the evolution of costs and market
demand, the potential for taking up commercial scale
3.3.1 Mission Governance Structure: Green Hydrogen based projects in steel, mobility and
shipping sectors will be explored. At the same time, it is
An Empowered Group (EG) chaired by the Cabinet
proposed to undertake pilot projects in other potential
Secretary and comprising Secretaries of Government
sectors like railways, aviation etc. R&D activities will be
of India and experts from the industry will guide the
scaled up for continuous development of products. The
Mission; an Advisory Group (AG) chaired by the Principal
second phase activities would enhance penetration
Scientific Advisor (PSA), GoI and comprising experts
across all potential sectors to drive deep decarbonisation
will advise the EG on scientific and technology matters;
of the economy.
and a Mission Secretariat headquartered in MNRE will
undertake the programme implementation.
3.3.3 Integrated Mission Strategy
3.3.2 Phased Approach Ministry of New and Renewable Energy (MNRE) will be
responsible for overall coordination and implementation
The mission is proposed to be implemented in a phased
of the Mission. The Mission Secretariat, headquartered
manner, focusing initially on deployment of Green
in MNRE, will formulate schemes and programmes for
Hydrogen in sectors that are already using hydrogen,
financial incentives to support production, utilization
and evolving an ecosystem for R&D, Regulations and
and export of Green Hydrogen and its derivatives. The
Pilot projects. The later phase of the Mission will build
Ministry will ensure planned deployment of Renewable
on these foundational activities and undertake Green
Energy and Green Hydrogen capacities, support pilot and
Hydrogen initiatives in new sectors of the economy. The
R&D projects, undertake capacity building and promote
major thrust areas of each phase are identified below.
international cooperation efforts. The Ministry will also
A. Phase I (2022-23 TO 2025-26) ensure holistic development of the Green Hydrogen
ecosystem in the country through active coordination
The focus of Phase I will be on creating demand while with various public and private entities responsible for
enabling adequate supply by increasing the domestic other aspects of the mission. All concerned Ministries,
electrolyser manufacturing capacity. In order to ensure Departments, Agencies and Institutions of the Central

22
 Green Hydrogen - The Clean Energy Carrier

and State Government will undertake focused and It is expected that the proposed incentives and
coordinated steps to ensure successful achievement of interventions under the program will significantly
the Mission objectives. reduce the cost of Green Hydrogen, enabling its uptake
in emerging sectors and ensure establishment of a
3.3.4 Mission Components domestic manufacturing ecosystem by de-risking
first movers and providing viability support for early
The achievement of Mission objectives requires a innovators in the sector till the production of Green
comprehensive strategy that coordinates efforts across Hydrogen and its derivatives achieves scale and
multiple sectors. The Mission strategy accordingly sustainability.
comprises interventions for:

(i) demand creation by making Green Hydrogen 3.3.6 Pilot Projects

produced in India competitive for exports and For other hard to abate sectors, the Mission
through domestic consumption. proposes pilot projects for replacing fossil fuels and
(ii) addressing supply side constraints through an fossil fuel-based feedstocks with Green Hydrogen
incentive framework, and and its derivatives. This includes sectors like steel,
long-range heavy-duty mobility, energy storage
(iii) building an enabling ecosystem to support scaling and shipping etc. Pilot projects will help identify
and development. operational issues and gaps in terms of current
technology readiness, regulations, implementation
3.3.5 Strategic Interventions For Green methodologies, infrastructure, and supply chains.
Hydrogen Transition (SIGHT) These will serve as valuable inputs for future scaling
commercial deployment. Their outcomes will also help
The Mission strategy include a comprehensive incentive in understanding technology integration pathways,
programme to facilitate growth of Green Hydrogen ascertaining viability gaps and level of government
industry value chain in the country. A wide ranging incentives/ policy support required, if any. Accordingly,
and expansive bouquet of financial incentives and non- detailed implementation and performance data will
financial measures are proposed under the Mission be compiled from pilot projects to serve as inputs for
to encourage production of low-cost Green Hydrogen future projects and programmes. Wherever feasible,
and domestic manufacturing of related equipment a competitive selection process could be adopted for
and technologies. Depending upon the markets and implementing pilot projects.
technology development, specific incentive schemes
and programmes will continue to evolve as the Mission
progresses.

At the initial stage, two distinct financial incentive

mechanisms, targeted at support for domestic
manufacturing of electrolysers, and production of Green
Hydrogen has been developed. To ensure quality and
performance of equipment, the eligibility criteria for
participation in competitive bidding for procurement
of Green Hydrogen and its derivatives will specify
that the project must utilize equipment approved
by Government of India as per specified quality and
performance criteria.

3.3.7 Green Hydrogen Hubs

Given the technical and logistical challenges inherent
in transporting Hydrogen over long distances, a cluster-
based production and utilisation model would enhance
viability of Green Hydrogen projects in the initial years.
This would, in turn, enable economies of scale and
convergence of key infrastructure requirements in
geographically proximate areas.

23
India’s Green Hydrogen Revolution - An Ambitious Approach

The Mission will accordingly identify and develop Enabling Policy Framework
regions capable of supporting large scale production
To facilitate delivery of renewable power, various
and/or utilization of Hydrogen as Green Hydrogen Hubs.
supportive policy provisions will be extended to Green
Development of trunk infrastructure for such hubs will
Hydrogen projects. This shall include waiver of Interstate
be supported under the Mission. Projects in the Hubs
transmission charges for renewable energy used for
will be planned in an integrated manner to allow pooling
Green Hydrogen production; facilitating Renewable
of resources and achievement of scale. It is planned to
Energy banking; water availability and time bound grant
set up at least two such Green Hydrogen hubs in the
of Open Access and connectivity.
initial phase.

For this purpose, Government of India will undertake

3.3.8 Key Enablers integrated planning and implementation of renewable
In order to support affordable Green Hydrogen energy capacities, transmission infrastructure, facilities
production, coordination across government for suitable banking of power, energy storage, and the
departments and extension of maximum possible associated power system projects.
benefits under existing government policies will be
required in a whole of government approach. MNRE Infrastructure Development
will liaise and coordinate across multiple departments The National Green Hydrogen Mission, which aims to
at the federal and state levels to facilitate a nurturing accelerate the deployment of Green Hydrogen as a
ecosystem for development of Green Hydrogen projects clean energy source, will support the development of
in the country.
supply chains that can efficiently transport and distribute
hydrogen. This includes the use of pipelines, tankers,
intermediate storage facilities, and last leg distribution
networks for export as well as domestic consumption.

Regulations and Standards

The Mission will coordinate the various efforts for

regulations and standards development in line with
the industry requirements for emerging technologies.
Work has commenced on establishing a framework of
regulations and standards to facilitate growth of the
sector and enable harmonization and engagement with
international norms.

Research and Development

A public-private partnership framework for R&D (Strategic

Hydrogen Innovation Partnership – SHIP) is being
facilitated under the Mission. The framework entails
creation of a dedicated R&D fund, with contributions from
Industry and respective Government Institutions. These
institutions will pool resources to build a comprehensive
goal-oriented Research and Innovation programme in
collaboration with the private sector.
To facilitate delivery of renewable power, various
supportive policy provisions will be extended to Green Skill Development
Hydrogen projects. This shall include waiver of Interstate
transmission charges for renewable energy used for A coordinated skill development programme, that covers
Green Hydrogen production; facilitating Renewable requirements in various segments, is being undertaken
Energy banking; water availability and time bound grant in coordination with the Ministry of Skill Development &
of Open Access and connectivity. Entrepreneurship.

For this purpose, Government of India will undertake Other Components

integrated planning and implementation of renewable
Green Hydrogen is likely to play a critical role in India’s
energy capacities, transmission infrastructure, facilities
energy transition, particularly in decarbonisation of hard
for suitable banking of power, energy storage, and the
associated power system projects. to abate sectors. The National Green Hydrogen Mission
is a step in this direction. The Mission is expected to

24
 Green Hydrogen - The Clean Energy Carrier

facilitate deployment of Green Hydrogen ecosystem and Renewable Energy (MNRE) has undertaken several
and create opportunities for innovation and investments significant initiatives and actions to establish India as a
across the Green Hydrogen value chain, translating leader in the Green Hydrogen sector.
into investments, jobs and economic growth. The
Government of India interventions will ignite the process B. The National Green Hydrogen Mission
and provide required impetus for unlocking the market At the forefront of India’s Green Hydrogen drive is the
potential in various sectors through cost reduction and National Green Hydrogen Mission. Launched in 2023, this
economies of scale. ambitious mission targets the production of 5 million
metric tonnes (MMT) of Green Hydrogen annually by
Full version of Mission document can be downloaded 2030.
from the link https://mnre.gov.in/national-green-
hydrogen-mission/ C. Strategic Interventions for Green Hydrogen
Transition (SIGHT)
3.4 Green Hydrogen Standard for The SIGHT program, a key component of the Mission,
India emphasizes Research and Development to accelerate
technological advancements in Green Hydrogen
The Government of India released its Green Hydrogen production. It supports Pilot projects, large-scale
Standard for India on 19th August 2023. The standard demonstrations, and collaborative research initiatives.
issued by the Ministry of New and Renewable Energy
(MNRE), Government of India defines the emission The scheme guidelines for SIGHT Mode 2A (aggregation
thresholds that producers must meet for hydrogen model for Green Ammonia) and Mode 2B (aggregation
produced to be classified as ‘Green’, i.e., from renewable model for Green Hydrogen) have been notified on
sources. The standard applies to both Hydrogen 16th January 2024 and the current development is as
produced through electrolysis and from biomass-based below:
methods, ensuring a comprehensive framework for
i Electrolyser Manufacturing: Providing incentives
sustainable hydrogen production.
to boost domestic electrolyser manufacturing
The Ministry of New and Renewable Energy (MNRE) capacities, reducing reliance on imports.
established a definition for Green Hydrogen after
 Proposed outlay: Rs. 4440 crores
consulting with various stakeholders. This definition
specifies that well-to-gate emissions (i.e., including  Scheme Notification: The Scheme guidelines
water treatment, electrolysis, gas purification, drying for Electrolyser manufacturing Tranche-I was
and compression of hydrogen) must be limited to not notified on 28th June 2023 and Tranche- II was
more than 2 kilograms of CO2 equivalent per kilogram notified on 16th March 2024.
of Hydrogen (kg CO2 eq/kg H2).
 Request for Selection (RfS): Request for
The notification emphasizes that the MNRE will define Selection (RfS) for the selection of Electrolyser
a specific methodology for tracking, reporting, and Manufacturers (EM) for Setting up 1.5 GW annual
verifying Green Hydrogen production throughout its Electrolyser Manufacturing Capacities under
lifecycle. This methodology will include measuring SIGHT Scheme Tranche-I was issued on 7th July
emissions, monitoring compliance, and conducting 2023 and Tranche-II was issued on 16th March
on-site inspections for both Green Hydrogen and its 2024
derivatives, such as Ammonia or Methanol. Bureau of
Energy Efficiency (BEE), Ministry of Power has been  Receipt of bid under Tranche-I: Bids submitted
designated as the Nodal Authority responsible for by 21 companies for establishment of an annual
accreditation of agencies to oversee the monitoring, electrolyser manufacturing capacity of 3.4
verification, and certification processes for Green gigawatts (GW).
Hydrogen production projects.
▶ 14 bids pertaining to manufacturing capacity
of 2942 MW under Bucket-1
3.5 Initiatives and Actions by
Ministry of New and Renewable ▶ 7 bids pertaining to manufacturing capacity
Energy (MNRE) of 486 MW under Bucket -2

A. India’s Green Hydrogen Push: Award under Tranche-I: The tender for selection
of Electrolyser Manufacturers (EM) for setting up
Green Hydrogen, produced through the electrolysis manufacturing capacities for Electrolysers in India
of water using Renewable Energy, stands as a pivotal under SIGHT Scheme (Tranche-I), was awarded on
solution for India’s energy transition and decarbonisation 12th January 2024 to 8 companies for a total capacity
goals. Recognizing this potential, the Ministry of New of 1,500 MW per annum.

25
India’s Green Hydrogen Revolution - An Ambitious Approach

List of awarded Companies for electrolyser manufacturing are as under:

Award for Manufacturing of electrolyser under SIGHT scheme –Bucket 1

S . Name of Bidder Capacity (MW) Type of electrolyser

No.

1. Reliance electrolyser Manufacturing Limited 300 Alkaline

2. Ohmium Operations Private Limited 137 PEM

3. John Cockerill Greenko Hydrogen Solutions Private Limited 300 Alkaline

4. Advait Infratech Limited (consortium with Rajesh Power 100 Alkaline

Service Private Limited)

5. L&T Electrolyser Limited 300 Alkaline

6. Matrix Gas and Renewables Limited 63 Alkaline

Total 1200

Award for Manufacturing of electrolyser under SIGHT scheme –Bucket 2

S . Name of Bidder Capacity (MW) Type of electrolyser

No.

1. Homi hydrogen Private Limited 101.5 AMSE/Solid Oxide

2. Adani New Industries Limited 198.5 Alkaline

Total 300

ii. Green Hydrogen Production: Offering incentives to ▶ 13 bids pertain to a production capacity of
Green Hydrogen producers, making it competitive 551,730 metric tonnes per annum under
with fossil-fuel-derived hydrogen. Bucket I (Technology Agnostic Pathways)
 Proposed outlay: Rs. 13050 crores and awarded to 9 companies as listed below.

 Scheme Notification: The Scheme guidelines ▶ One bid pertains to a production capacity
for Green Hydrogen production Mode-I have of 2,000 metric tonnes per annum under
been notified on 28th June 2023 Bucket II (Biomass-based Pathways).
 Invitation of bid (RfS): On July 10, 2023,
state-owned SECI invited bids for selection  Award (Tranche-1:Mode-1): The tender for
of Green Hydrogen producers for setting up selection of Green Hydrogen Producers for
production facilities of 4,50,000 tonnes of setting up production facilities for Green
Green Hydrogen under the SIGHT Scheme Hydrogen in India under the Strategic
(Mode-1-Tranche-I). Interventions for Green Hydrogen Transition
(SIGHT) Scheme (Mode-1-Tranche-I), has been
 Receipt of bid: 14 companies showed interest
awarded on 9th January 2024 to 10 companies
for incentives for Green Hydrogen production,
for a total capacity of 4,12,000 tons per annum.
with a total capacity of 553,730 metric tons per
annum. Details are as follows:

26
 Green Hydrogen - The Clean Energy Carrier

List of awarded Companies for SIGHT Green Hydrogen production are as under:

Bucket-1 (Technology Agnostic Pathways)

S. Name of Bidder Production Capacity

No. (MT/annum)

1. UPL Limited 10000

2. CESC Projects Limited 10500

3. Reliance Green Hydrogen and Green Chemicals Limited 90000

4. Welspun New Energy Limited 20000

5. HHP Two Private Limited 75000

6. Torrent Power Limited 18000

7. ACME Cleantech Solutions Private Limited 90000

8. Greenko ZeroC Private Limited 90000

9. JSW Neo Energy Limited 6500

Total 4,10,000

Bucket-2 (Biomass Based Pathways)

S. Name of Bidder Production Capacity (MT/annum)

No.

1. Bharat Petroleum Corporation Limited 2000

Total 2,000

D. Notification of Scheme Guidelines  Steel Sector

To support the mission, MNRE has launched several 1. Budgetary Outlay: Rs. 455 Crore till FY 2029-30
guidelines for different sectors. This include Pilot
2. Scheme guidelines for implementation of
projects, Hydrogen hubs, R & D and Skill development.
pilot projects for use of Green Hydrogen in
However, Schemes on Regulation, code & standards,
the Shipping Sector have been issued on 2nd
testing, certification etc. are under development.
February 2024.
Pilot Projects For details: Please visit https://cdnbbsr.s3waas.
gov.in/s3716e1b8c6cd17b771da77391355749f3/
 Shipping Sector
uploads/2024/02/202402022064546305.pdf
1. Budgetary Outlay: Rs. 115 Crore till FY 2025-26
 Transport Sector
2. Scheme guidelines for implementation of
pilot projects for use of Green Hydrogen in 1. Budgetary Outlay: Rs. 496 Crore till FY 2025-26
the Shipping Sector have been issued on
2. Scheme Guidelines for implementation of
1st February 2024.
Pilot projects for use of Hydrogen in the Green
For details: Please visit https://cdnbbsr.s3waas. Transport Sector under the National Green
gov.in/s3716e1b8c6cd17b771da77391355749f3/ Hydrogen Mission (NGHM) have been issued on
uploads/2024/02/20240205992946502.pdf 14th February 2024.

27
India’s Green Hydrogen Revolution - An Ambitious Approach

3. Invitation of Proposals (RfP): A Request for E. Stakeholders Consultation

Proposal for Pilot Projects for use of Green
Regular consultation meetings of all stakeholders,
Hydrogen in the Transport Sector was issued
including Ministry, Implementation Agencies, Public
by The Automotive Research Association of
and Private Industry partners of Hydrogen value Chain
India (ARAI) on 22.02.2024 and 13 companies
held up to discuss opportunity, risks and mitigation
participated in the bid.
strategy in different sectors (like Steel, Shipping,
For details: Please visit https://mnre.gov.in/ Mobility, Regulations, Codes and Standards, Research &
notice/scheme-guidelines-for-implementation- Development , Safety, etc).
of-pilot-projects-for-use-of-hydrogen-in-the-
transport-sector-under-the-national-green- F. Infrastructure Development
hydrogen-mission-nghm/
The MNRE recognizes the importance of establishing
a comprehensive infrastructure network for the
 Hydrogen Hubs
green hydrogen value chain. Efforts are underway
1. Budgetary Outlay: Rs. 200 Crore till FY 2025-26. to facilitate the development of pipelines, storage
facilities, transportation networks, and dedicated
2. The Scheme Guidelines for setting up Hydrogen
export infrastructure, streamlining the distribution
Hubs in India have been notified on 15th March
and utilization of Green Hydrogen domestically and
2024.
internationally.
For details: Please visit: https://cdnbbsr.s3waas.
gov.in/s3716e1b8c6cd17b771da77391355749f3/ G. Collaborations and Partnerships
uploads/2024/03/20240316695795641.pdf The MNRE fosters international collaborations and
partnerships to accelerate knowledge sharing,
 Research and Development technology transfer, and joint project development in
1. Budgetary Outlay: Rs. 400 Crore till 2025-26 the Green Hydrogen space. This includes partnerships
with leading research institutions, technology providers,
2. The scheme guidelines for the implementation bilateral/multilateral cooperation and countries with
of R&D Scheme have been notified on 15th substantial expertise in the field.
March 2024.

3. Call for Proposals (CfP): A CfP was issued on Few are:

15th March 2024 by MNRE under Research 1. Indo-German task force
and Development Scheme of National Green
Hydrogen Mission. 2. Indo-Australian task force

For details: Please visit: https://cdnbbsr.s3waas. 3. MoU with countries like UAE, Saudia Arabia
gov.in/s3716e1b8c6cd17b771da77391355749f3/ 4. 
International partnership for Hydrogen and Fuel
uploads/2024/03/20240316152774043.pdf Cells in the Economy (IPHE)

 Skill Development or Human Resource 5. Many more in various stages of discussion

Development
H. The Road Ahead
1. Budgetary Outlay: Rs. 35 Crore till 2029-30
The MNRE’s initiatives lay a solid foundation for India to
2. The scheme guidelines for skilling, up skilling emerge as a major player in the global Green Hydrogen
and reskilling have been notified on 16th March economy. As costs continue to decline and technological
2024. advancements materialize, Green Hydrogen will gain
For details: Please visit: https://cdnbbsr.s3waas. wider acceptance across industrial sectors, solidifying
gov.in/s3716e1b8c6cd17b771da77391355749f3/ India’s commitment toward a sustainable and clean
uploads/2024/03/202403161721417787.pdf energy future.

28
 Green Hydrogen - The Clean Energy Carrier

Exhibit 6: Major Announcements

29
 4
CHAPTER

ENABLING POLICY & REGULATION

30
 Enabling Policy & Regulation

Beyond the core mission statement, both central and  Green Open Access is allowed to any consumer
state governments in India are implementing additional and the limit of Open Access transactions has been
policies to support the National Green Hydrogen Mission reduced from 1 MW to 100 kW for green energy, to
(NGHM). The Ministry of Power (MoP), the Government enable small consumers also to purchase renewable
of India (GoI) has notified the Inter-State Transmission power through open access.
Charges (ISTS) waiver policy, the Ministry of Environment,  Consumers are entitled to demand green power
Forests and Climate Change (MoEFCC) has formulated supply from Discoms. The discoms would be
Environment Clearance to produce Green Hydrogen/ obligated to procure and supply green power to the
Green Ammonia (GH₂/GA) and Green Open Access Rules eligible consumers.
have been notified by the MoP regarding incentives
or exemption of various charges like cross-subsidy  These rules have streamlined the overall approval
surcharge, additional charges, banking provisions, process for granting open access. Time bound
etc. GoI is working on different policies to support the processing by bringing uniformity and transparency
NGHM. Few major policies by the Central Government in the application as well as approval of open access
are discussed further. through a national portal has been mandated.
Approval for Green Open Access is to be granted in 15
days or else it will be deemed to have been granted.
4.1 ISTS Charges Waiver
 Commercial and Industrial consumers are allowed
GoI is offering a major boost to Green Hydrogen
to purchase green power on voluntary basis.
production by exempting ISTS charges for a period of
25 years from the date of commissioning of the project,  Provide certainty on open access charges to be levied
for GH₂/GA production units, using Renewable Energy on Green Energy Open Access Consumers, which
(RE) (commissioned after 8th March 2019), Pumped include transmission charges, wheeling charges,
Storage System or Battery Storage Systems or any cross subsidy surcharge, standby charges wherever
hybrid combination of these technologies. The projects applicable, banking and other charges.
commissioned on or before 31st December 2030 shall be
 GoI has capped the cross-subsidy surcharge as
eligible for this waiver. The projects after 31st December
well as the removal of an additional surcharge to
2030 will attract graded transmission charges thereafter.
incentivise consumers to go green.
The decision effectively extends the applicability of the
waiver date from 30th June 2025 to 31st December 2030.  There shall be a uniform Renewable Purchase
Obligation (RPO) on all obligated entities around a
4.2 Environmental Clearance (EC) distribution licensee. GH₂/GA has also been included
for fulfilment of its RPO.
for GH₂/ GA
 Consumers will be given Green Certificates if they
MoEFCC has exempted Green Ammonia plants from
consume green power and will also be facilitated.
prior environmental clearances under Environment
Impact Assessment notification 2006 released on 28th
July 2023. MoEFCC specified that standalone plants 4.4 Single Window Clearance
producing GH₂/GA by way of electrolysis of water using Portal
RE would not require any prior EC.
Single window portal has been developed for all statutory
clearances,& permissions required for ease of business.
4.3 Open Access
GoI had notified Electricity (Promoting Renewable 4.5 Policies by States
Energy through Green Energy Open Access) Rules, 2022
on 6th June 2022, to further accelerate India’s ambitious Few states in India have declared their Green Hydrogen
RE programmes, with the objective of ensuring access Policy, while others are in the process of its release.
to affordable, reliable, sustainable, and green energy Policies of a few state governments are depicted below
for all. The salient features and benefits for common for an overview of the determination and efforts of state
consumers from the ‘Green Energy Open Access Rules governments towards the development of a Green
(GOAR)’ are as follows: Hydrogen Ecosystem.

31
India’s Green Hydrogen Revolution - An Ambitious Approach

4.5.1 MAHARASHTRA: Maharashtra Harit A. Industrial Policy Resolution (IPR) 2022: This
Hydrogen Policy policy provides benefits to industries focusing on
green energy. Green Hydrogen and Ammonia
The state government of Maharashtra launched its manufacturing units get:
Green Hydrogen Policy, “Maharashtra Harit Hydrogen
Policy”, in October 2023 with the aim of making the i. 100% Exemption from Electricity Duty for 20
state pioneer in Green Hydrogen generation and years.
utilization. Some of the main features of this policy are
ii. STU, along with cross subsidy charges and
provided below:
additional surcharges, will also be exempted or
reimbursed.
Objectives:

i. Achieve 500 kilotonnes per year (KTPA) of Green iii. Reimbursement of Power Tariff of Rs. 3 per unit
Hydrogen production capacity by 2030. of RE purchased from local Discoms/ GRIDCO
for 20 years.
ii. Promote decarbonization in industries and the
energy sector. iv. 30% capital subsidy for plant and machinery.

iii. Encourage the development and export of Green v. The land will be provided at 50% of the
Hydrogen and its derivatives. concessional industrial rate prevailing in that
region.
Incentives:
vi. A 50% incentive will be provided for innovations
i. Capital cost subsidy of 30% will be given to: and R&D activities limited to ₹10 Crore.

a. First 3 anchor Green Hydrogen production vii. A 100% incentive will be provided for ESI and EPF
projects. contributions for 7 years.
b. First 500 hydrogen-based fuel-cell passenger
B. Renewable Energy Policy 2022: This policy
vehicles in the transport activities of the
encourages RE projects which indirectly benefit
Maharashtra State Road Transport Corporation
Green Hydrogen as
(MSRTC) with a maximum cap of ₹60 Lakh per
vehicle. i. Exemption on Electricity Duty for RE used for 15
years.
c. Development of Hydrogen Refuelling Station
(HRS) with a maximum cap of ₹4.5 Crore. ii. Reduced wheeling charges for consuming RE.
d. Constructing hydrogen transportation through iii. Exemption from stamp duty and other land-
pipeline (max. 10 Km) is limited to ₹2.5 Crore. related charges for RE projects.

ii. 1% interest subsidy on hydrogen transport project. 4.5.3 WEST BENGAL: West Bengal Green
iii. 100% exemption on stamp duty charges for land Hydrogen Policy
conversion. The state government of West Bengal launched its Green
iv. 60% discount on electricity transmission and Hydrogen Policy, in December 2023. This policy will be in
wheeling charges for 10 years. effect for 5 years from the date of notification or until any
amendment from State government. Some of the main
v. Mandatory use of RE for hydrogen production. features of this policy are provided below:
vi. Waivers and exemptions on electricity duties and
Objectives:
surcharges.
i. Identification of Green Hydrogen demand centres
vii. Grant of ₹50/kg for blending Green Hydrogen with
by GIS mapping.
CNG/PNG for vehicles (for 5 years).
ii. Enabling investment in setting up GH₂/GA
4.5.2 ODISHA: Odisha Hydrogen Policy production.
Odisha has an integrated RE policy covering Green iii. Setting up a State Centre of Excellence (SCoE)
Hydrogen and its derivatives for providing incentives. to support R&D activities for techno-economic

32
 Enabling Policy & Regulation

innovation and guide other states in India for the iii. 25% of Intrastate charges shall be reimbursed to the
same. developer with an upper limit of Rs. 10 lakhs/ MW/
year of installed electrolyser capacity.
iv. Formulate and execute procurement and trade
strategies for acquiring and exchanging GH₂/GA iv. The cross-subsidy surcharge shall be reimbursed for
resources. the energy drawn from RE plants located within the
state to produce GH₂/GA.
v. Creation of employment by leveraging GH₂/GA
development. v. Grid connectivity to the intra-state transmission
system at the generation and production end
Incentives: respectively for RE plants established to produce
GH₂/GA shall be granted on priority. APTRANSCO/
i. 100% exemption in stamp duty and land conversion
APDISCOM(s) will dispose of the proposals for the
charges for the policy period.
technical feasibility of evacuation within 21 days from
the date of receipt of the application.
ii. 100 % waiver of electricity duty charges is provided
during the policy period. vi. Land allotment to be allocated on a priority basis at a
lease rate of ₹31,000 per acre per year with an escalation
iii. Banking of RE power is allowed for 30 days for GH₂/ of 5% every two years during the project period.
GA production units.
vii. 100% exemption from payment of stamp duty and
land use conversion charges.
4.5.4 ANDHRA PRADESH: Andhra Pradesh
Green Hydrogen and Green Ammonia
4.5.5 UTTAR PRADESH: Uttar Pradesh Green
Policy
Hydrogen Policy
The state government of Andhra Pradesh launched its
The state government of Uttar Pradesh launched its
Green Hydrogen and Green Ammonia Policy, in June
Green Hydrogen Policy in March 2024. This policy will be
2023 with the aim of making Andhra Pradesh the
valid for 5 years from the date of notification or until any
preferred destination for the production and export of
amendment from state government. Some of the main
GH₂/GA. This policy will be in effect for 5 years from the
features of this policy are provided below:
date of notification or until a new policy is notified. Some
of the main features of this policy are provided below:
Objectives:
Objectives: i. Target of achieving 1 MMTPA production of Green
Hydrogen by 2028.
i. Achieve Green Hydrogen production up to the
capacity of 0.5 Million Metric Tonnes Per Annum ii. Creation of 1.20 lakh jobs by 2028.
(MMTPA) or Green Ammonia production up to the
iii. The capital subsidy of 10% - 30% to be provided
capacity of 2.0 MMTPA in the next five years by
depending on the geographical area of investment.
harnessing the RE potential in the State.
iv. Enabling investment in setting up GH₂/GA
ii. Promote the development of an eco-system for GH₂/
production.
GA production.
v. The establishment of two State Centres of
iii. To attract investments, provide employment and
Excellence (SCoEs) is also proposed to lead research,
improve the economy of the state.
development and techno-economic innovation
iv. Creation of 12,000 jobs per MMTPA production of activities.
Green Hydrogen in the state.
Incentives:
v. Promote the setting up of Green Hydrogen and
Green Ammonia and their related equipment i. The first five investments (excluding Meerut division)
manufacturing facilities in the state. in Green Hydrogen projects will be provided capital
subsidies to the tune of 40% of the total investment
Incentives: amount with a ceiling of ₹225 crore per project per
year.
i. 100% reimbursement of net SGST revenue to the
developer from the sale of GH₂/GA within the state. ii. Government/revenue land will be provided on lease
at ₹1 per acre per year for government Public Sector
ii. 100% exemption from Electricity Duty for the power
Units (PSUs) for setting up Green Hydrogen projects.
consumed for the production of GH₂/GA from RE
For investors from the private sector, the lease rate is
plants (with or without storage).
₹15,000 per acre per year.

33
India’s Green Hydrogen Revolution - An Ambitious Approach

iii. Village/government land will be provided on lease c. Cater to at least 20% of Green Hydrogen exports
for a period of 30 years. Land purchased or taken on from India.
lease for Green Hydrogen projects would be 100%
d. Blend up to 10% Green Hydrogen in Natural Gas
exempt from stamp duty charges.
pipelines for gas produced within Rajasthan by
iv. The Centre for Excellence will receive 100% financial 2030.
assistance up to ₹50 crore.
Incentives:
v. The policy also allows 100% exemption on electricity
duty for the first 10 years of the project or the life of i. 50% rebate for 10 years in transmission and
the project, whichever is earlier. distribution charges on installation of first 500 KTPA
GH2 established within the state with upper limit
4.5.6 RAJASTHAN: Rajasthan Green fixed at 12,500 MW of RE capacity at the rate of 25
Hydrogen Policy MW per KTPA.

Rajasthan aims to be a pioneer state for the production and ii. 100% exemption on additional and cross-subsidy
export of Green Hydrogen. This policy will be in effect until surcharges for 10 years on purchasing renewable
31st March 2030 or superseded by another policy. Some of energy from a third party.
the main features of this policy are provided below:
iii. Land allotment for the generation of Green
Objectives: Hydrogen from treated or brackish water will be
i. Promote the development of an ecosystem for the done on a priority basis.
production of Green Hydrogen.
iv. A subsidy of 30% with an upper limit upto ₹5 Crore
ii. Formulate an environment for Industry and Research for setting up a research centre.
Institutions for R&D.

iii. The policy has the following targets: v. There is no prohibition on the capacity of captive
power plants or the banking of generated
a. 2000 KTPA of Green Hydrogen production electricity.
capacity by 2030.

b. Commission at least one Green Hydrogen valley vi. 100% waiver on wheeling and transmission charges.
and at least one Giga factory for electrolyser Also, the banking charges for power plants will be
manufacturing. reimbursed for 7 -10 years.

34
 Enabling Policy & Regulation

Exhibit 7: State Policy Indicator

35
 5
CHAPTER

FINANCING OPTIONS IN INDIA

36
 Financing Options In India

The development of Green Hydrogen in India presents a to concessional loans and grants for Green Hydrogen
significant financing opportunity, with the potential to initiatives.
drive economic growth, enhance energy security, and
mitigate climate change. Leveraging a diverse array of
5.4 Carbon Financing and Carbon
financing mechanisms and instruments can unlock
the full potential of Green Hydrogen and accelerate its Credit
deployment across various sectors. Here are some key
Monetising carbon credits generated from emissions
financing opportunities for the development of Green
reductions can provide an additional revenue stream
Hydrogen in India:
for Green Hydrogen projects. Participating in carbon
markets or implementing carbon pricing mechanisms
can incentivise investments in low-carbon technologies,
including Green Hydrogen production.

5.5 Special Purpose Vehicles (SPVs)

and Green Bonds
Establishing Special Purpose Vehicles (SPVs) or issuing
Green Bonds (GB) dedicated to financing Green
Hydrogen projects can attract capital from institutional
investors interested in sustainable investments. Green
Bonds offer investors an opportunity to support
environmentally friendly projects while generating
financial returns.

5.6 Export Credit Agencies (ECAs)

5.1 Public Private Partnerships
Export Credit Agencies (ECAs) can provide financing
(PPPs) and insurance solutions to support export of Green
Establishing PPPs can mobilise private sector capital Hydrogen technologies and equipment. By mitigating
and expertise to finance Green Hydrogen projects. political and commercial risks associated with
Governments can provide incentives such as tax international transactions, ECAs can facilitate cross-
breaks, subsidies, and regulatory support to attract border investments in Green Hydrogen projects.
private investment in Green Hydrogen infrastructure
development. 5.7 Venture Capital and Private
Equity investments
5.2 Government subsidies and
Venture capital firms and private equity investors can
grants provide early-stage funding for startups and innovative
Direct financial support from government agencies companies developing breakthrough technologies in
can significantly reduce the upfront costs of Green the Green Hydrogen sector. These investments can
Hydrogen projects, making them more attractive to catalyse innovation, scale up production, and drive down
investors. Subsidies, grants, and incentives for research costs.
and development, pilot projects, and commercial-
scale deployments can spur innovation and drive down 5.8 Innovative Financing
production costs.
Mechanisms
5.3 Low-cost financing from Exploring innovative financing mechanisms such as
carbon finance, crowdfunding, and impact investments
multilateral agencies can broaden the investor base and attract capital from
Partnering with multilateral development banks such diverse sources. These mechanisms can align financial
as the World Bank, Asian Development Bank (ADB), returns with environmental and social objectives,
and the Green Climate Fund (GCF) can provide access fostering sustainable development.

37
India’s Green Hydrogen Revolution - An Ambitious Approach

5.9 Role of the Banking Sector 5.10 Latest Developments in

and Private Companies in Green Financing
Financing in India Investors have acknowledged the potential of the green
Mobilising green finance requires an extensive energy sector and are investing in green industries.
assessment of current capabilities and assets. This
includes factors like available capital, the level of 5.10.1 World Bank:
participation from both public and private sectors, To accelerate India’s transition to low-carbon energy
and the evolving outlook of financial institutions. The sources, the World Bank has announced US$1.5 billion
contributions in the financial sector from the public and in funding in June 2023. The funding will provide
private institutions in shaping a broader green financing assistance in supporting the growth of renewable
landscape are briefed below: energy, the development of Green Hydrogen, and the
encouragement of climate finance for investments in
5.9.1 Banking Sector low-carbon energy.
The Reserve Bank of India (RBI) has issued Green Bonds ( h t t p s : // w w w . w o r l d b a n k . o r g /e n /n e w s /p r e s s -
to promote green finance within the country along release/2023/06/29/world-bank-approves-1-5-billion-in-
the lines of countries like the United States and China. financing-to-support-india-s-low-carbon-transition)
These bonds are issued and regulated by the Securities
and Exchange Board of India (SEBI) specifically for 5.10.2 IREDA:
sustainable projects and assets. Green Bonds raised a
significant amount of capital, totalling around US$16.3 Indian Renewable Energy Development Agency Ltd.
billion during 2015 and 2020. (IREDA) has signed a Memorandum of Understanding
(MoU) with Indian Overseas Bank (IOB) at IREDA’s
In recognition of the booming green energy sector, Business Centre in New Delhi on 16th January 2024,
India’s banking sector has strategically positioned with a view to have collaborative efforts in co-lending
itself to capitalise on this growth. They have devised and loan syndication for multiple continuums of RE
various “green f inancing” schemes to attract investors. projects across the nation. The partnership aims to
These initiatives have resulted in the rise of loans rationalise loan syndication and underwriting processes,
and credits to support the purchase of green energy management of Trust and Retention Account (TRA)
products. for IREDA borrowers, and work towards offering stable
interest rates over a 3–4-year period.
Banking institutions act as the lifeline of the green energy ( h t t p s : //p i b . g o v . i n / P r e s s R e l e a s e I f r a m e P a g e .
ecosystem, channelling financial resources between aspx?PRID=1997167 )
green energy companies, investors, and consumers.
Their involvement is essential for a flourishing green IREDA and Punjab National Bank (PNB) signed an
energy market, as they act as the critical bridge that MoU in February 2024 to provide joint support for co-
connects all stakeholders. lending and loan consortiums for the development of
RE projects.
5.9.2 Private Sector Companies ( h t t p s : //p i b . g o v . i n / P r e s s R e l e a s e I f r a m e P a g e .
aspx?PRID=2007058#:~:text=The%20agreement%2C%20
The private sector is positioned as a game-changer signed% 20at% 20IREDA’s,suppor t% 20for% 20
for unlocking a sustainable economy, generating renewable%20energy%20projects)
undeniable excitement about the future. However,
while renewable energy resources are abundant, 5.10.3 The Asian Development Bank (ADB)
their full potential remains hampered by limitations
The Asian Development Bank (ADB) approved a US$250
in infrastructure and technology. Recognising the
million policy-based loan in November 2023 for India to
enormous potential of the green energy sector,
modernise its power grid and scale up renewable energy
investors are directing their resources into green
projects.(https://www.adb.org/news/adb-support-power-
industries.
sector-reforms-india)

38
 Financing Options In India

ReNew Energy Global, an Indian company working in signed an MOU to formulate funding solutions for RE
the renewable sector has signed an MoU with the ADB in projects with the National Investment and Infrastructure
December 2023 worth an investment of US$5.3 billion for Fund Limited (NIIFL) in January 2024.
climate resilience projects and decarbonisation. The MoU
would support projects undertaken between 2023 and ACME struck a US$7 billion deal with the Karnataka
2028. government to develop an integrated Solar-to-Green
Hydrogen-to-Green Ammonia facility.
(https://investor.renewpower.in/news-releases/news-
release-details/renew-signs-mou-asian-development-
TotalEnergie has partnered with Adani New Industries,
bank-us-53-billion)
pledging a staggering US$50 billion investment for the
next decade to produce Green Hydrogen.
5.10.4 Others
REC Limited under the Ministry of Power along with a
leading Non-Banking Financial Company (NBFC) has

Exhibit 8 : Key Enabler of Financing

39
 6
CHAPTER

MAJOR PROJECTS IN INDIA

40
 Major Projects in India

Fuelled by ambitious goals for energy independence

and decarbonisation, India is emerging as a frontrunner
in Green Hydrogen development. The National Green
Hydrogen Mission, launched in 2023 with a budget of
₹19,744 crore, is propelling Green Hydrogen projects
across various industries like Mobility (Road, Locomotive,
& Aviation), Shipping, Steel, Domestic Cooking Gas
Blending, Manufacturing of various components
(Electrolysers, Cylinders, etc) in Green Hydrogen Value
Chain. From recently commissioned Jindal Stainless’
pioneering operational plant of Green Hydrogen, in
Hisar and SJVN Green Hydrogen pilot project at Jhakri,
Himachal Pradesh to upcoming projects by companies
like NTPC, NHPC, IOCL, L&T, GAIL, ACME, THDC, This strategic alignment represents the dedication
Indian Railways, etc., Green Hydrogen production is of both companies to build upon the existing strong
gaining momentum. Government incentives for both relationship between the two countries and contribute
electrolyser manufacturing and GH2 production aim to both India’s National Green Hydrogen Mission as well
to achieve 5 million metric tonnes of GH2 per annum as Japan’s Net Zero commitment, with a shared vision of
by 2030. As India strives for a cleaner future, Green sustainability and innovation.
Hydrogen projects are lighting the path towards a more
sustainable tomorrow. India is well positioned to develop the renewable
resources and produce competitive green molecules
The major projects are segmented as under: for export as well as domestic consumption in applications
 Export-oriented Projects which are otherwise difficult to decarbonise”, Ashwani
Dudeja (Group President and Director, ACME)
 Green Hydrogen projects in Microgrid
6.1.2 Sembcorp India to export Green
 Green Hydrogen projects in Mobility/Transport
Hydrogen to Japan
sector
The Green Hydrogen unit of Singapore’s Sembcorp
 Green Hydrogen projects in Steel sector Industries Ltd (SGX:U96) has teamed up with Japan’s
Sojitz Corp (TYO:2768) and Kyushu Electric Power Co
 Green Hydrogen projects in Shipping sector
(TYO:9508) to export India-made Green Hydrogen to
Japan. The Memorandum of Understanding (MOU) was
signed by Sembcorp Green Hydrogen Pte Ltd. Under this
6.1 Export-oriented Agreements:
initiative, the three companies will explore opportunities
to produce green ammonia in India and supply it to the
6.1.1 ACME to supply Green Ammonia to
Japanese market. Sembcorp will act as the lead developer
Japan’s IHI Corporation of the green ammonia project. Sojitz and Kyushu Electric
As a part of its export potential, Japan’s IHI Corporation will leverage their energy trading and supply capabilities
has signed an offtake term sheet with ACME (India) to oversee the transport of the green ammonia to Japan
for the supply of green ammonia from Odisha (India) and secure local off-takers. The project will support
to Japan. The term sheet was signed by ACME founder Japan’s goal to import three million metric tonnes of
and chairman Manoj Upadhyay and IHI Corporation green ammonia by 2030, as demand in the Asian nation
President and CEO Hiroshi Ide in the presence of Power is seen to reach 30 million metric tonnes by 2050.
and New & Renewable Energy Minister Shri R K Singh.
6.1.3 NTPC is setting up India’s largest Green
The Green Hydrogen and Ammonia project at Hydrogen production facility in Andhra
Gopalpur (Odisha) is being developed by ACME with Pradesh : Integrated Green Hydrogen
a planned capacity of 1.2 million tonnes per annum Hub to come up in Atchutapuram Mandal,
(MTPA) to be developed in phases with the f irst
Visakhapatnam
production likely by 2027.
Power sector PSU and India’s largest integrated
The term sheet between IHI and ACME covers the power company, NTPC Limited has signed a Land
long-term supply arrangement for 0.4MMTPA of Green Lease Agreement to realise its green energy and
Ammonia, ammonia for use in a range of applications Green Hydrogen objectives, thus also contributing
in power generation and various industrial uses in Japan to the Government of India’s efforts towards energy
to reduce overall emissions. transition. The agreement, signed on 20th February

41
India’s Green Hydrogen Revolution - An Ambitious Approach

2024, between NTPC Green Energy Limited (NGEL) and 6.2.2 NHPC –Green Hydrogen Fuel Cell-
Andhra Pradesh Industrial Infrastructure Corporation based Microgrid
(APIIC), is for the development of an “Integrated Green
Hydrogen Hub”. The hub will come up on 1,200 acres of NHPC has awarded the pilot project for the
land near Pudimadaka village of Atchutapuram Mandal development of Pilot Green Hydrogen fuel cell based
in Visakhapatnam, Andhra Pradesh. Microgrid including Hydrogen
production to meet the power
requirement of the NHPC
guest house at Nimmo Bazgo
Power Station (Leh) within
NHPC premises. The project
has been awarded to a Delhi
based EPC Company, Uneecops Technologies, for
Engineering, Procurement and Construction (EPC) of a
Green Hydrogen-based fuel cell microgrid of capacity 25
KW, at Alchi in the Leh region.

6.3 Green Hydrogen Projects for

The Pudimadaka Green Hydrogen Hub aims to create a
Mobility
world-class ecosystem for technologies in the new energy
paradigm, such as electrolyser and fuel cell manufacturing,
6.3.1 NHPC – Hydrogen-based Mobility
related ancillary industries, and start-up, incubation,
testing facilities, production and export of Green Hydrogen.
Station Project at Kargil
The project includes the construction of India’s largest M/s Gensol is developing a 500-kW grid-connected,
Green Hydrogen production facility (1,200 tonnes per day), ground-mounted solar power project that will provide
which will enable further conversion of Green Hydrogen to energy to the hydrogen refuelling station, initially
derivatives such as green ammonia and green methanol, to power two buses. The scope of work includes the
primarily catering to various export markets. entire balance of plant EPC encompassing the Green
Hydrogen system installation, storage, and dispensing
6.1.4 Yara and ACME (India) agreement facilities, in addition to the requisite civil and electrical
infrastructure for the integrated solar and hydrogen
Yara, a leading Norwegian crop nutrition company and a
operation in Ladakh. Gensol Engineering Limited is
global leader in ammonia trade and shipping, and GHC
a part of the Gensol group of companies, which offer
SAOC, a wholly owned subsidiary of Acme Cleantech, a
Engineering, Procurement, and Construction (EPC)
leading renewable energy company in India, signed a
services. The Electrolyser capacity is two streams of 30
firm and binding agreement for supply of ammonia with
Nm3/h.
reduced CO2 emissions from ACME to Yara on a long-term
basis. The agreement was signed on 1st March 2024.
6.3.2 NHPC –Pilot project for Green
6.1.5 JERA partnered with Renew (India) Hydrogen-based mobility station
The project is under tendering stage. NHPC has invited
JERA Co., Inc (“JERA”) has concluded an agreement , in
tenders for the project. Engineering, Procurement, and
April 2024 , with ReNew E-Fuels Private Limited, to jointly
Construction (EPC) contract for setting up a pilot project
develop a green ammonia production project.
for Green Hydrogen-based mobility station at District-
Chamba, Himachal Pradesh along with comprehensive
6.2 Green Hydrogen Projects for O & M of three years. The Green Hydrogen Plant will
Microgrid have a production capacity of 20 kg Green Hydrogen
per day.
6.2.1 Satluj Jal Vidyut Nigam (SJVN) –Green
Hydrogen Fuel Cell-based Microgrid, 6.3.3 Indian Railways- Pilot Project for
commissioned Conversion of Old Diesel Locomotives with
Hydrogen Fuel Cells
SJVN achieved a milestone by inaugurating India’s first multi-
purpose green hydrogen pilot project at the company’s 1,500 Indian Railways (IR) has envisaged to run 35 (thirty-
MW Nathpa Jhakri Hydro Power Station (NJHPS) in Jhakri, five) Hydrogen trains under “Hydrogen for Heritage” at
Himachal Pradesh. The project will generate electricity an estimated cost of ₹80 crores per train and ground
through its 25-kW fuel cell and produce green hydrogen for infrastructure of ₹70 crores per route on various heritage/
other usages at the power station. hill routes.

42
 Major Projects in India

Pradesh. The stacks are imported from AHES, South

Korea and the complete Balance of Plant (BoP) is
being integrated by M/s Jakson. The electrolysers would
produce 260kg of hydrogen at 500 bar pressure in 10
hours during the day ;each stack weighs around 20
tonnes.

6.3.5 Oil India Limited- Green Hydrogen

generation pilot project in Assam
India’s first pure (99.999% pure with solar power) Green
Indian Railways has awarded a pilot project for the
Hydrogen Pilot Plant Commissioned in Assam. Oil India
retrofitment of a Hydrogen Fuel cell on an existing Diesel
Limited (OIL), a Government of India enterprise, has
Electric Multiple Unit (DEMU) rake along with ground
commissioned the country’s pure Green Hydrogen pilot
infrastructure at a cost of ₹111.83 Crores which is planned
plant with an installed capacity of 10 kg per day at its
to be run on the Jind-Sonipat section of the Northern
Jorhat Pump Station in Assam in 2022.
Railway. The project has been awarded to Medha, as a
first step to achieving India Railways’ net zero emissions
goal. In turn, Medha has contracted GreenH to provide
the Engineering, Procurement, and Construction (“EPC”)
of a Hydrogen production and refuelling station for this
important and ground-breaking project.

GreenH will provide the necessary equipment from its

newly constructed PEM electrolyser manufacturing plant
in Jhajjar District, Haryana. The Hydrogen production and
refuelling station is expected to deploy a comprehensive
system to both produce Hydrogen and refuel the trains on
a daily basis. To achieve the first stage, a 1 MW electrolyser,
supplied by GreenH, will operate round the clock with
an expected capacity of 420 kg/day of hydrogen. The
refuelling infrastructure is expected to integrate 3,000
The trial run of the country’s first hydrogen fuel cell-
kg of hydrogen storage, hydrogen compressors, and two
powered e-bus, a project initiated by Oil India Limited
hydrogen dispensers with precooler integration, allowing
(OIL) under the SNEH (Start-up Nurturing, Enabling &
for quick refuelling of the trains, which are adapted to
Handholding) scheme, has commenced. The trial run is
their daily routes. Field trials of the first prototype on
taking place at the Number 3 Pumping Station of OIL
Jind –Sonipat section of Northern Railway is expected to
in Charigaon, Jorhat. The project is being carried out in
commence in 2024.
collaboration with the start-up Ohm Clean Tech Private
Limited based in Pune. The e-bus is operating on short-
6.3.4 NTPC- Integrated Hydrogen Refuelling distance routes and will gradually make transition to
Station at Greater Noida long-distance routes, such as from Jorhat to Kaziranga
NTPC is executing an integrated hydrogen refuelling and Jorhat to Duliajan.
station at its Greater Noida facility. It will also fuel up to five
intercity Fuel Cell Electric Vehicle (FCEV) buses, connecting 6.3.6 Oil India Limited- Green Hydrogen
to Indian Heritage stations in Agra and Jaipur generation Pilot Project in Himachal
Pradesh
Oil India Limited (OIL) has invited bid to establish a 1(one)
MW Green Hydrogen project in Himachal Pradesh,
featuring a 17 kg/h generation capacity. The project is
mandated to be commissioned within 18 months of the
issuance of the Letter of Award. The operational unit is
expected to run for a minimum of 8,000 hours per year
at full capacity.

6.3.7 Indian Oil R&D Centre, Faridabad

The electrolyser capacity is of 1.6 MW (2x50%) for India’s IOC’s R&D Centre at Faridabad is producing Green
largest Green Hydrogen Fuelling Station being setup Hydrogen for the pilot run. It produces close to 75 kg
in NTPC Renewables Campus in Greater Noida, Uttar of hydrogen by splitting water using electricity from

43
India’s Green Hydrogen Revolution - An Ambitious Approach

renewable sources. This hydrogen is used to power two

buses that runs across the National Capital Region (NCR)
for trial runs. Four cylinders with a capacity of 30 kg runs
the buses for 350 km. It takes 10-12 minutes for the four
tanks to fill.

Container Vessel

In March 2024, Cochin Shipyard Limited, India has taken

a project for a Netherland-based logistic company,
Samskip, for development of zero-emission feeder
The future plan is to scale up the number of buses to
container vessel powered by Green Hydrogen fuel cells.
15 fuel cell buses powered by Green Hydrogen on the
The vessel specification speaks of 138m in length, 23m
identified routes in Delhi, Haryana, and Uttar Pradesh.
in width and deadweight of 8000 tonnes, which can
carry 365 numbers high cube 40 ft containers, which is
6.3.8 Indian Oil Green Hydrogen Project- expected to reduce 25000 T of CO2 annually.
Integrated Refuelling Station for Buses in
Leh (Ladakh) 6.3.11 Storage: Type IV Cylinder Manufacturing

The Type IV cylinders are made primarily from carbon

composite with polymer liner: are lighter by 70%
compared to metal cylinders; transport three times
more gas than metal cylinders; are completely corrosion-
resistant (inert liner); shatterproof/fireproof.

03 Companies have entered the manufacturing of

Type IV Cylinders in India

 Siddha Gas Technik Pvt. Ltd

NTPC is setting up a Hydrogen Fuelling Station, Solar In collaboration with Hexagon Norway, a JV has been
Plant and providing 05 (five) Nos Fuel Cell buses for formed as Hexagon-SGT Pvt. Ltd., to manufacture
operation on intracity routes of Leh. The first of its kind Type IV high-pressure cylinders for hydrogen
Green Hydrogen Mobility Project at 11,562 ft is co-located applications.
with a dedicated solar plant of 1.7 MW for providing
renewable power. The fuel cell buses are designed  Time Technolplast
for operation at sub-zero temperature in a rarefied
atmosphere, typical to such altitude locations, which is a Time Technoplast (TTL) has announced that it has
unique feature of this project developed

Type-IV carbon fibre composite cylinders. Time

6.3.9 India’s First Hydrogen Fuel Cell Ferry: A Technoplast Ltd (Time Tech) is a multinational
Technological Marvel conglomerate with operations in Bahrain,
Egypt, Indonesia, India, Malaysia, U.A.E, Taiwan,
Cochin Shipyard Limited has made a ground-breaking
Thailand, Vietnam, Saudi Arabia & USA is a leading
achievement in the country’s maritime sector by
manufacturer of polymer products
spearheading the construction of an indigenous
hydrogen fuel cell system-based ferry ,developed by KPIT
 Confidence Petroleum
Technologies and the Council of Scientific and Industrial
Research Labs. India’s pioneering hydrogen fuel cell Confidence Petroleum Limited announced the
ferry underscores the nation’s commitment to green launch of its “Type 4 cylinders,” which are expected
technology and positions it as a frontrunner in maritime to play a crucial role in the efficient storage and
sustainability. transportation of Green Hydrogen.

44
 Major Projects in India

Confidence Petroleum Limited, has ventured into The Petroleum and Natural Gas Regulatory Board
the Green Hydrogen market by using its state-of-the- (PNGRB) has given approval for 5% vol. /vol. blending
art German technology with innovative designs to of Green Hydrogen with PNG to start with, and the
optimise storage efficiency and enhance the overall blending level will be scaled in phases to reach 20%.
reliability of hydrogen-based solutions. This cylinder Green Hydrogen when blended with natural gas reduces
is being manufactured by “Silversky Exim Pvt Ltd”, a carbon emissions while keeping the net heating content
subsidiary of Confidence Futuristic Energetech Ltd. the same.

6.4 Green Hydrogen Project for

Steel
6.4.1 Jindal Stainless, Hisar, Haryana
Hygenco India Private Limited has established the
Green Hydrogen plant for Jindal Stainless, in Hisar,
Haryana, which is projected to lower carbon emissions
by about 2,700 metric tonnes per year and some 54,000
metric tonnes of carbon dioxide emissions over the next
20 years. The plant is touted to be the stainless-steel
industry’s first Green Hydrogen project in India.

India would not only reduce its hydrocarbon import bill

significantly but can also bring forex ashore by being a
Green Hydrogen and green chemicals exporter to the
world.

6.5.2 Torrent Power Project- Green Hydrogen

Blending in City Gas at Gorakhpur
Torrent Power is implementing a Green Hydrogen
pilot project for the blending of the Green Hydrogen
city gas distribution (CGD) network in Gorakhpur, Uttar
The Ministry of New and Renewable Energy (MNRE) has Pradesh. Blending with the existing natural gas supply
laid out guidelines for pilot projects for use of Green allows for a gradual transition towards a cleaner and
Hydrogen in the steel sector: the use of hydrogen in more sustainable energy mix. The pilot project based
the direct reduced iron-making process, blend in blast on alkaline electrolyser will blend 2.5 % Green Hydrogen
furnaces, and gradually substituting fossil fuels with (GH2) into the CGD network.
Green Hydrogen.
6.5.3 ATL Gas Blending Project (Green
6.5 Green Hydrogen Project for the Hydrogen with Natural Gas) in Ahmedabad,
Domestic Sector Gujarat
Adani Total Gas Ltd (ATGL), co-promoted by Adani Group
6.5.1 NTPC Project, Kawas (Blending of Green and Total Energies, has initiated a Green Hydrogen
Hydrogen with PNG) production and blending pilot project, by utilising
cutting-edge technologies to blend Green Hydrogen
State-owned power generator NTPC Ltd. has (GH2) with natural gas for over 4,000 residential and
commissioned the country’s first Green Hydrogen commercial customers in Ahmedabad as part of this
blending project. Green Hydrogen blending has been project. The project aims to gradually increase the
started in the piped natural gas (PNG) network of NTPC percentage of GH2 in the blended gas to up to 8 % or
Kawas township, Surat. The project is a joint effort more, subject to regulatory approvals.
between NTPC and Gujarat Gas Limited (GGL).
Upon successful completion of the pilot, ATGL plans
The blending project supplies H2- NG (natural gas) to to gradually expand the supply of GH2-blended fuel to
households in the Kawas township at Adityanagar, Surat. larger areas of Ahmedabad and other regions under its
The Green Hydrogen in Kawas is produced through the license. This phased approach will allow for a controlled
electrolysis of water using power from a 1 MW floating and well-monitored rollout of GH2 blending, ensuring
solar project. optimal performance and safety.

45
India’s Green Hydrogen Revolution - An Ambitious Approach

6.5.4 Cooking Stove for Hydrogen Gas 6.7 Electrolyser Manufacturing:

Burning
NTPC Energy Technology Research Alliance (NETRA), 6.7.1 First indigenously manufactured
the R&D wing of NTPC has successfully shown hydrogen electrolyser, commissioned by L&T
cooking with the supply of hydrogen from an existing electrolysers Ltd, Hazira-Gujarat
Green Hydrogen plant at its campus in Greater Noida.
On 1st March 2024, Larsen and Toubro commissioned its
first indigenously manufactured hydrogen electrolyser at
the Green Hydrogen plant in Hazira, Gujarat. The project
features a rated power capacity of 1 MW (expandable
to 2 MW), and this electrolyser can produce 200 Nm3/h
of hydrogen. It is equipped with two stacks and an
electrolyser processing unit ML-400 which is indigenously
manufactured and assembled, adhering to the latest
international standards, and offers exceptional flexibility
and thermal stability. The electrolyser is now undergoing
rigorous testing to optimise its performance, paving the
way for full-fledged manufacturing of electrolysers.

Cooking with hydrogen is different from using traditional L&T Electrolysers Limited, a newly incorporated entity of
fuels like LPG or PNG. Hydrogen burns with a nearly L&T, is focused on manufacturing pressurised alkaline
invisible flame, has a higher temperature, and the flame electrolysers using the technology from McPhy Energy,
spreads differently. To address these challenges, the France.
researchers designed a special hydrogen burner and
modified a cookstove for successful cooking. Notably, The company spearheaded the complete value chain
the only emission from the hydrogen burner is water from engineering to manufacturing, in collaboration
vapor, making it a clean-burning alternative fuel. with Indian vendors and suppliers, thus setting a
benchmark for “Make in India” initiatives.
6.6 Green Hydrogen Project in
Aviation Sector
6.6.1 CIAL and BPCL to Set Up the First Green
Hydrogen Plant at Cochin Airport
February 2024-The Cochin International Airport Limited
(CIAL) has signed a MoU with Bharat Petroleum
Corporation Limited (BPCL) to develop the first Green
Hydrogen plant in the aviation sector, within the premises
of Cochin Airport. This collaborative effort will result in the
world’s first Green Hydrogen plant and fuelling station L&T Electrolysers plans to leverage its upcoming giga-
located within an airport setting. BPCL has started the scale facility in Hazira to meet the growing demand for
bidding process for constructing a Green Hydrogen Green Hydrogen, maximise product localisation through
plant and refuelling station at the CIAL in Kochi, Kerala. enhanced local supply chains, and automate for cost-
The facility will be designed to generate 100 standard competitiveness.
cubic meters per hour (Nm3/hr) of Green Hydrogen. The
electrolyser system, will ensure a hydrogen generation L&T Electrolysers has been allocated a significant 300
capacity at 30 bar pressure with a minimum purity level MW/annum capacity under the Incentive Scheme of
of 99.998%. The system shall be containerised and plug- the National Green Hydrogen Mission, launched by
and-play, and encompass rectifiers, transformers, piping, Government of India’s Ministry of New and Renewable
valves, instruments, analysers, electrical systems, and Energy (MNRE) and implemented by the Solar Energy
automation employing a programmable logic controller. Corporation of India (SECI).

Note: All the projects have not been mentioned here in the booklet. However, there are more than 50 projects,
consisting of pilot and commercial production projects, which are in different stages of planning, tendering,
implementation and commissioning.

46
Note

47
 7
CHAPTER

MESSAGE FROM INDUSTRY

48
 Executive Summary

Rajat Seksaria
CEO
Adani New Industries Ltd. (ANIL)

Adani New Industries Ltd. (ANIL), the Green Hydrogen the future. ANIL has also developed India’s largest wind
platform of Adani Group is a leading player in the turbine generator of 5.2 MW capacity (manufacturing
nascent Green Hydrogen industry in India. ANIL is capacity 1. 5GW/annum). ANIL has also been awarded
dedicated to bolster India’s energy security by adopting 198.5 MW electrolyser manufacturing capacity by SECI
a fully integrated strategy while developing the Green under PLI scheme Tranche-I. Adani Green Energy
Hydrogen ecosystem. It is establishing a comprehensive Limited, is already the largest renewable power producer
end-to-end supply chain for all key equipment for Green in India with 20,434 MW capacity under operation and
Hydrogen production. With supply chain secured, ANIL construction, and it aims to further expand to 45,000 MW
plans to commission an integrated Green Hydrogen by 2030. With significant experience in these areas, ANIL
ecosystem aimed at generating low-cost renewable is well positioned to realize its targets and provide green
power and in turn produce globally competitively Green molecules at globally competitive cost.
Hydrogen and its derivates at scale.
Adani Mundra ports’ proximity to global supply chain
ANIL intends to set up equivalent to 1 MMTPA of Green enables export opportunity of Green Hydrogen and
Hydrogen production in phases by 2030, with plans for derivatives for ANIL and at the same time, integrates
further expansion in future. The strategy is focused on it in Indian import supply chain as well. The combined
development of an integrated hydrogen ecosystem strength of Adani portfolio companies in renewable
with three business streams: manufacturing of supply equipment manufacturing, setting up large scale
chain products (i.e. solar- polysilicon, ingot, wafer, generation projects, building the grid-infrastructure,
cell & module, wind turbine generator, electrolysers and proven project execution capabilities gives it a
& ancillary items); Green Hydrogen production and significant competitive advantage while building the
production of downstream derivative products (i.e. Green Hydrogen ecosystem in India. ANIL is committed
Ammonia, Methanol, SAF and others). The equipment to India’s National Green Hydrogen mission and
manufacturing is the current focus areas i.e. solar panels decarbonisation goals.
& ancillaries, wind turbine generators and electrolysers,
apart from finalizing engineering works etc. for the The Group has tied up with multiple technology partners
Green Hydrogen stream and related components. to build a world-class electrolyser manufacturing
facility. ANIL targets to have gigawatt-scale electrolyser
ANIL has ventured into solar manufacturing in 2015 manufacturing capacity. Additionally, leveraging
and it is today one of the India’s largest integrated its supply chain, ANIL has initiate phase 1 project
manufacturer of solar cells and modules with a capacity development with the aim of producing 1 MMTPA green
of 4 GW per annum and intends to expand to 10 GW in ammonia by FY-2028.

49
India’s Green Hydrogen Revolution - An Ambitious Approach

Shalin Sheth
Founder and M D
Advait Infratech

Role of Green Hydrogen in Indian and Challenges / Risks and Mitigation Strategy
Global Context Challenges and Risks
The energy sector is undergoing a transformative phase
 Technology and Cost: The nascent stage of
globally, shifting towards more sustainable and eco-
hydrogen technology poses challenges in terms of
friendly sources. Green Hydrogen, produced through
cost-effectiveness and large-scale deployment.
the electrolysis of water using renewable energy sources,
is emerging as a key player in this transition. Its potential  Infrastructure: Developing the necessary
in reducing carbon emissions and fostering energy infrastructure for hydrogen production, storage, and
independence is immense, making it a focal point in distribution is a significant hurdle.
climate change mitigation strategies.
 Regulatory Framework: The absence of a
comprehensive regulatory framework for Green
Company’s Viewpoint on Hydrogen Value Hydrogen can impede growth and investment.
Chain
Advait Infratech recognises the hydrogen value chain Mitigation Strategy
as a pivotal element in achieving a sustainable energy  Partnerships: Collaborating with global leaders, as
future. The company views Green Hydrogen not just as seen in the MoU with GuoFu, for technical expertise
an energy carrier but as a linchpin in the global effort and knowledge transfer.
to decarbonise various sectors, including transportation,
industry, and power generation.  Innovation: Continual investment in R&D to
enhance the efficiency of electrolyser and fuel cell
technologies.
Initiatives towards Development of
Hydrogen Eco System  Advocacy and Policy Engagement: Working with
government bodies to shape policies that support
Ongoing Projects the hydrogen economy.
Micro Grid based Green Hydrogen Project: Advait
Infratech has embarked on India’s pioneer project Advait Infratech’s Achievements and Milestones
in this domain, partnering with THDC India Limited,  Groundbreaking 300 kW Green Hydrogen
using advanced Fuel Cell technology. This project Production Plant: A milestone in India’s renewable
in Uttarakhand is a testament to the company’s energy landscape, this project at the THDCIL office in
commitment to sustainable energy solutions. Rishikesh is a significant achievement.

Future Plans - 2030/2050  Technological Partnerships: Aligning with globally

known OEMs for technology partnerships.
Advait Infratech aims to be at the forefront of green
energy solutions, scaling up its hydrogen production  Carbon Neutralisation Services: Offering
capabilities and integrating them with renewable comprehensive services in carbon consulting and
energy projects, targeting significant contributions to neutrality, aligning with global decarbonisation
India’s energy mix by 2030 and beyond. goals.

 Fuel Cell and Electrolyser Manufacturing: The MoU

Export Plans during the Vibrant Gujarat 2024 Summit paves the way
The company is exploring opportunities to export its for future advancements in this field.
expertise and technology, particularly in electrolyser
manufacturing, to global markets.

50
 Message from Industry

Mr. Vineet Mittal

Chairman
Avaada Group

Embedded in our ethos, ‘Avaada’ symbolises a We plan to cater to the export market and the emerging
commitment to a sustainable future guided by the domestic demand and plan our project accordingly.
harmonious principles of Ayurveda through its business
verticals, which include Renewable Power Generation, Challenges and Risks
Solar PV Manufacturing, and Green Fuels Avaada
The trajectory of renewable energy in India, significantly
Group is contributing significantly towards global
bolstered by the Renewable Purchase Obligation (RPO),
decarbonisation. The IPP arm of the group responsible
illustrates the profound impact of policy frameworks
for renewable power generation is one of the fastest-
on accelerating energy transitions. Similarly, for Green
growing platforms in its domain, with over 4.4 GWp of
Hydrogen to achieve its potential, a robust policy
operational capacity across India. It is on a mission to
framework akin to a Green Hydrogen Consumption
increase its renewable energy generation to 11 GW by
Mandate is imperative. This mandate should extend to
2026 and 30 GW by 2030.
mobility and industrial sectors, catalysing the adoption
of Green Hydrogen in energy-intensive applications.
Avaada, through its other business verticals for Solar
PV manufacturing and Green Fuels, including Green
A tangible, immediate step towards this transition is the
Hydrogen and its derivatives like Green Ammonia, Green
M15 mandate, proposing a 15% blend of green methanol
Methanol, Sustainable Aviation Fuel, etc., is leveraging
with petrol. This initiative represents a practical, low-
the synergies to build a robust business model with
hanging fruit that could significantly reduce carbon
significant competitive advantage.
emissions and foster a domestic market for Green
Hydrogen and its derivatives.
Viewpoint of Green Hydrogen

Green Hydrogen has diverse applications as fuel and By advocating for such mandates, we can emulate
feedstock across sectors like electricity generation, the success story of renewable energy in the Green
surface transport, marine transport, aviation, and Hydrogen domain. These policy measures will provide
industries like fertilisers, cement, and steel, which are a clear direction for the industry, stimulate demand,
primarily responsible for global GHG emissions. India, drive technological advancements, and encourage
with the availability of resources like land, favourable investment in infrastructure development.
wind and solar radiation intensity, a robust power grid,
and a developed eco-system of equipment suppliers Addressing the challenges of technology maturity,
and EPC contractors, is well poised to play a significant infrastructure build-out, regulatory frameworks, and
role in the development of Green Hydrogen globally and import infrastructure readiness is crucial. Collaborative
is aptly targeting to become global Green Hydrogen hub efforts across government, industry, and research
and become net exporter of energy. institutions will be key to overcoming these hurdles,
positioning India as a leader in the global hydrogen
Details of Avaada’s plan economy.

Avaada is committed to the transition to clean energy

Green Hydrogen, the ‘Sanjeevani Booti’ of our era,
and believes strongly in the potential of Green Hydrogen
promises to decarbonise the electricity sector, mobility,
and its derivatives for global decarbonisation. We are
and industry, pivotal for India’s Net Zero ambitions.
moving aggressively in the space, and the execution of
Avaada Group is committed to leading this green
our first Green Ammonia with a capacity of 0.5 MTPA is
revolution, leveraging Green Hydrogen as the sustainable
being undertaken swiftly. We are also in the advanced
‘oil’ of the future, ensuring a cleaner, greener planet for
stages of planning for large-scale projects to produce
future generations.
Green Methanol, SAF, etc.

51
India’s Green Hydrogen Revolution - An Ambitious Approach

G Krishnakumar
C&MD
BPCL

Transitioning towards CLEANER FUTURE with plans for CBG plants at Kochi and Bina refineries.
Collaboration is a key aspect of BPCL’s strategy. Our
As the global effort intensifies to decrease greenhouse Memorandum of Agreement with Bhabha Atomic
gas emissions and address the challenges of climate Research Centre (BARC) focuses on alkaline electrolyser
change, the significance of adopting more sustainable technology, including a 1 MW demonstration plant. BPCL
energy sources becomes more pronounced. India is expanding infrastructure with a Green Hydrogen
has emerged as a powerhouse of global economic Refuelling Station at Kochi Airport, using domestically
growth and is witnessing a rising energy demand. With produced electrolysers providing comprehensive
aspirations to diversify the energy mix, achieve energy facilities for storage and dispensing. We are also
self-sufficiency, ensure energy security, and meet exploring integrating Green Hydrogen into the city gas
long-term climate change goals, India is strategically distribution network, showcasing our commitment to
positioning itself for a transformative energy future. widespread adoption across sectors.
In this context, hydrogen has emerged as a promising
energy carrier, demonstrating the potential to play a In the pursuit of long-term sustainable solutions,
pivotal role in the ongoing energy transition BPCL’s R&D efforts are also focused on developing
innovative hydrogen storage solutions and indigenous
BPCL’s vision for Green Hydrogen revolves around fuel cell systems in collaboration with various academic
fostering a sustainable and environmentally friendly institutions. Moreover, BPCL is exploring alternatives to
energy future. Green Hydrogen serves as a key enabler replace the use of grey hydrogen in refineries with Green
in the energy transition, providing solutions for Hydrogen.
decarbonising industries, storing renewable energy,
fuelling transportation, balancing grids, and promoting Through these concerted efforts, BPCL is actively
international collaboration. Its versatile applications contributing to the realisation of the National Green
make it a cornerstone in building a sustainable and Hydrogen Mission, positioning itself as a leader in
resilient energy ecosystem for the future. advancing sustainable and clean energy solutions in
India.
In alignment with the Indian Government’s National
Green Hydrogen Mission, initiated by the Honourable The decisive factor in the widespread adoption of
Prime Minister, BPCL is at the forefront of pioneering hydrogen lies in its cost competitiveness compared to
initiatives aimed at promoting the proliferation of Green conventional energy sources. The reduction in the cost
Hydrogen within India. of hydrogen production, storage, and utilisation will be
driven by technological advancements, economies of
BPCL is advancing with a proposed 5 MW Electrolyser scale, economic considerations, and supportive policies.
Plant in Bina, set to produce 700 tons of Green Hydrogen As these factors converge, hydrogen is poised to become
annually. Under the SIGHT Scheme, our aim is to produce a more economically viable energy option.
2000 TPA of Green Hydrogen via biomass pathways,

52
 Message from Industry

Siddharth R Mayur
Founder & M D
h2e Power Systems Private Limited

24x7 clean, green, reliable & affordable hanging fruits, but in unexplored areas like Agriculture,
energy to all C&I segment, Micro-Grids & Residential units.

A journey that was inspired by bringing energy to h2e’s h2e to its credit is the first Indian company to have
Founders village which was in Darkness on Diwali Day in indigenously developed technology that is being
2009, has blossomed into India’s first homegrown Fuel commercialized, with a 1GW per annum stack and
Cell & Electrolyser company, ‘h2e Power Systems Private electrolyser BoP manufacturing plant. h2e’s subsidiary
Limited’. Founded to provide solutions for Agriculture and homi Hydrogen Private Limited has been amongst
Rural households, h2e has graduated into a successful the 8 companies that won the PLI for electrolyser
mascot of the Startup India initiative Championed by manufacturing.
the Honourable Prime Minister, Shri. Narendra Modi ji.
h2e is engaged in the entire value chain of the NetZero With academic partnerships with Institutes like
ecosystem, from manufacturing Electrolysers & Fuel Fraunhofer Institute in Germany, Saint Andrews College
Cells, to developing industry specific solutions and in in Scotland, h2e has brought cutting edge technologies
the downstream producing the Green Hydrogen, Green from across the world and developed frugal solutions
Ammonia, Green Methanol & SAF molecule. for mass production & implementation on ground. H2e
owns 36 patents, another first for an Indian company in
The company prides itself as a result of the great the Green Hydrogen industry.
initiatives & policies undertaken by the Government of
India towards MSME companies, especially GreenTech The company has a strong pedigree and is developing
Start-ups. h2e believes that the Hydrogen ecosystem itself as a Future ready GreenTech company, Made in
has tremendous potential, not just in the known low India; Made for the world. h2e’s Project Pipeline:

h2e’s Project Pipeline:

On-Going & Completed Upcoming Projects Future Plans 2030- Exports, If Any
Projects 2050

Micro-grid development for 1,440 TPA Green Own 500MW assets to 30% of electrolyser sales
distributed power generation Hydrogen production produce 75 KTPA Green to come from Exports
with NTPC plant near Pune Hydrogen & Derivatives

Fuel Cell based micro-grid for Development of Electrolyser production Currently h2e’s
green EV charging stations CoElectrolysis for plant with capacity of Fuel Cell product is
with IOCL production of Syngas 5GW per annum under qualification &
& SAF with Solid Oxide certification in USA and
Electrolyser Korea

India’s first Green Hydrogen Commissioning of Fuel Cell

plant for OIL India 1GW Electrolyser manufacturing
manufacturing plant for capacity of 2GW per
AMSE, SOE & Alkaline annum
technologies

53
India’s Green Hydrogen Revolution - An Ambitious Approach

On-Going & Completed Upcoming Projects Future Plans 2030- Exports, If Any
Projects 2050

Fuel Cell manufacturing Demonstrator for Smart,

capacity of 2GW per annum Clean & Green Agriculture
using Green Hydrogen
based CHP micro-grid

India’s First Solid Oxide

electrolyser developed

Challenges and Risk

Challenges & Risks Mitigation Plan

Well trained manpower on ground The company has launched a 11-month training program called
‘UrjaUdhyami’ to train & develop Green Warriors who can help in the last
mile implementation of the technologies while generating green jobs in
unban and rural areas

Supply Chain (Key Components) The Company has forged partnerships with major academic institutions
in India to develop components of the stack and Bop locally with local
components

With a Vision of ‘Swadeshi Urja for a Swawalambi Bharat’, h2e has adopted the Founders dream of
developing a ‘Climate Change Vaccine’ that will vaccinate the Earth and free humanity from the Climate
linked Pandemic that the world is currently su1ering. h2e Power Systems is Founded by First Generation
Social Entrepreneur Mr. Siddharth R Mayur & is partnered and supported by Mr. Adar C Poonawalla (CEO,
Serum Institute of India

54
 Message from Industry

Amit Bansal
CEO
Hygenco Green Energies

Role of Bharat in Shaping Green Hydrogen Hygenco is making a big bet on India’s Green Hydrogen
Sector future with a planned capex of US$2.5 billion over next
three years. Hygenco brings expertise in developing and
Bharat is setting its sights on a clean energy future, operating technically advanced Green Hydrogen Plants
driven by the ambitious goals of achieving energy and thriving to achieve lowest cost of Green Hydrogen.
independence by 2047 and net-zero emissions by 2070. Our current portfolio includes a pilot plant unit in MP,
Green Hydrogen, with its potential to fulfil India’s energy an operating commercial plant in Haryana, and two
needs and also decarbonise hard- to- abate sectors, is a more Green Hydrogen plants under construction in
game-changer in this pursuit. In line with this ambition, Maharashtra.
National Green Hydrogen Mission aims to produce 5
million metric tonnes of this clean fuel annually. Backed Furthermore, we are venturing into large-scale projects
by a ~17,944 crore budget, this initiative reflects India’s across various states, specifically targeting industries like
commitment to becoming a leader in the Green refineries, steel, and fertilisers with significant emission
Hydrogen revolution. challenges. In sync with our Sanskriti of वसुधैव कुटम ु ्बकम्,
Hygenco has undertaken setting up a 1 MTPA Green
India is bound to be one of the biggest beneficiaries in Ammonia Plant in Odisha primarily for exports. The
this sector owing to the following reasons key project has received clearance from the High Level
 Huge existing and growing domestic demand of Clearance Authority (HLCA), chaired by the Chief Minister’s
clean energy Office, Odisha, and the State Level Single Window
Clearance Authority, chaired by Chief Secretary, Odisha
 Abundant renewable resources
By 2030, Hygenco is aiming to completely revolutionise
 Supportive government initiatives Green Hydrogen (and its derivatives) sector in Bharat
with a targeted investment of more than US$10 billion.
 Cheap Labour
Adding steam to the momentum is Hygenco’s win in the
 Robust National Grid – Feature available in very SECI’s Green Hydrogen tender under SIGHT Program.
few countries worldwide Ryming with Bharat, Hygenco is pioneering efforts
to overcome obstacles in the Green Hydrogen sector,
Hygenco: A Pioneer in the Indian Green Hydrogen driving the transition towards decarbonised industries
Landscape and a cleaner future.

Hygenco, a prime example of Aatmanirbhar Bharat, Challenges in this Journey

develops and deploys scaled-up commercially attractive Under the leadership of our Honourable Prime Minister
Green Hydrogen and Green Ammonia production assets. Shri Narendra Modi, Bharat aspires to be the world’s
We boast several “firsts” in Bharat: leader in Green Hydrogen production. To achieve this
 India’s first fully autonomous Green Hydrogen vision, we need to cross challenges in terms of high
plant dependence on imports and challenges associated with
infrastructure for power transmission. Strategies involved
 India’s First (and probably world’s first) Green to mitigate these challenges include advancements
Hydrogen plant for the stainless steel sector in electrolyser technology, infrastructure push, policy
support, and the adoption of digital technologies like
 India’s first commercial Green Hydrogen AIoT for optimisation.
plant: Supplying Jindal Stainless and reducing
their carbon footprint by 54,000 CO2e tonnes over
next 20 years.

55
India’s Green Hydrogen Revolution - An Ambitious Approach

Sumant Sinha
Chairman and CEO
ReNew

Shifting Gears: Bharat’s Rise as a Green  Demand creation: Project developers and investors
Hydrogen Leader need to secure long-term offtake contracts to ensure
bankability of the initial set of projects, until the
The Hon’ble Prime Minister Narendra Modi has set out a time Green Hydrogen and its derivatives become
vision of energy independence for India by 2047. Green extensively traded commodities. The government
Hydrogen will be a critical fuel source in this journey, as may therefore consider demand creation through
a clean feedstock to run industrial processes and various mandatory consumption obligations of Green
modes of transport, including aviation and marine Hydrogen / derivative by industries such as fertilisers,
shipping. Refineries etc, similar to the Renewable Purchase
Obligations (RPO), with a clear roadmap for other
The National Green Hydrogen Mission is a commendable sectors.
initiative by the Government of India’s leadership to
kick-start the Green Hydrogen sector. At ReNew, we  Cost reduction: The costs of Green Hydrogen need
are committed to supporting this initiative of the to be halved from the current levels of USD 4-5 per
government. The company already accounts for about kg, in order to shift consumers of grey hydrogen
1.9% of India’s electricity generation capacity and does so to Green Hydrogen in India and compete with
using clean sources like wind and solar power. international suppliers overseas. Two interventions
may be helpful to reduce the costs – rationalisation of
We have now ventured into producing Green Hydrogen taxes and duties on the RE power that constitutes for
and its derivatives and aim for an ambitious target of 50-60% of the production cost of Green Hydrogen,
achieving cumulative production capacity of ~1 MTPA by and; aggregation of demand and production at
2030. We are developing several projects in the coastal cluster level or in-situ at industrial sites, to reduce
states of India and expect to start commercial operations transportation and conversion costs.
of our first project by the year 2027. ReNew has also
entered into a strategic partnership with IOCL and L&T,  Financing support: Green Hydrogen / Derivatives
wherein the joint venture will cater to fulfilling the Green projects are capital intensive projects and to fulfil
Hydrogen requirements of the domestic market. the capital requirements of these projects, an
economical and competitive financing package will
On the global front, ReNew’s JV is one of the two help the industry in competing with the rest of the
companies from India shortlisted for Germany’s Green world. The Government may explore the options
Hydrogen import tender. ReNew signed a framework of a suitable mechanism to provide competitive
agreement with Egypt to set up a Green Hydrogen plant financing for Green Hydrogen projects.
in the Suez Canal Economic Zone.
To conclude, India is at a crucial juncture in the journey to
Drawing from our experience, three areas need particular achieve clean and cost-effective energy independence.
attention going forward, to accelerate the development We are already well placed, and can go further and
of an enabling and internationally competitive Green faster through investment, innovation, and collaborative
Hydrogen ecosystem in India. efforts, under the overall leadership of the Government
of India.

56
 Message from Industry

Torrent Power

Torrent Group in Green Hydrogen ….. Pilot Project and Innovation:

journey towards sustainable energy To gain hands-on experience in GH2 project design and
solutions execution, Torrent initiated a GH2 pilot project in 2023 for
blending of GH2 in the city gas distribution network of
Emerging role of Green Hydrogen in Decarbonisation Gorakhpur, UP. The project utilises Alkaline Electrolyser
Green Hydrogen is an important element of the technology and is scheduled for commissioning in next
Energy Transition and is slated to play a critical role two months. The objective is to understand the dynamic
globally in achieving decarbonising hard-to-abate behaviour of the electrolysers and assess the impact of
sectors like refineries, fertilisers, steel, transportation GH2 blending in the downstream system and to gain
etc. India’s distinct advantage in low-cost renewable learning of all techno-commercial aspects.
energy generation makes Green Hydrogen the most
competitive form of hydrogen in the long run. As per a Future Endeavours:
NITI Ayog report, it is estimated that by the year 2030, the With a focus on the export as well as the domestic market
price of producing Green Hydrogen will reach USD 1.7 to of green ammonia, Torrent has completed a feasibility
USD 2.4. This enables India to potentially be one of the study and is soon to start FEED of an integrated GH2/
most competitive producers of Green Hydrogen in the GNH3 plant with a total capacity of 0.45 MTPA of green
world. It is estimated that Green Hydrogen’s share would ammonia in phases. Torrent has got allocation for 18000
grow to 16% in 2030 and 94% by 2050. tonnes in the PLI scheme of SECI for GH2 production.
The company has engaged in constructive discussion
Strategic Position of Torrent: with potential off-takers, planning the first phase of
Torrent Group, a global conglomerate with a market commissioning of 100 KTPA GNH3 by the first quarter
cap exceeding $ 14.8 billion and an annual turnover of 2027. Torrent actively monitors domestic market
surpassing $ 4.3 billion, is a prominent player in Power developments as well, eyeing participation in tenders for
sector in India. Renowned for its comprehensive end-to-end solutions from RE to GH2 and its derivatives.
presence in generation, transmission, and distribution,
Torrent Power has embarked on the journey of Green Challenges and Way Forward:
Hydrogen to leverage its renewable and projects Major challenge is the price disparity between grey
execution and O&M experience. The company aims to and Green Hydrogen. To overcome this, mandates,
establish itself as a leading end-to-end Green Hydrogen incentives, favourable policies, subsidies, carbon credit
solution provider in the next 3-5 years. The company has mechanisms and standardisation of carbon intensity by
strategically positioned itself in the Green Hydrogen concerned Governments are imperative. The absence
value chain, focusing on production of Green Hydrogen of infrastructure for storage and transport of Green
and ammonia. Hydrogen is another major concern.

Early Mover Strategies: Concluding Remark:

Anticipating upcoming opportunities in the Green Torrent Power is at the forefront of India’s Green Hydrogen
Hydrogen ecosystem, Torrent’s early-mover approach revolution, committed to sustainable solutions and
involves meticulous planning, capacity building, overcoming challenges through innovation and strategic
technology assessment, supplier tie ups, risk evaluation partnership. The Company’s journey unfolds with a clear
and active participation in various opportunities. The vision of transforming India’s energy landscape and
initial two years provided valuable insight into the contributing significantly to global sustainability goals.
challenges and risks associated with the Green Hydrogen
ecosystem.

57
India’s Green Hydrogen Revolution - An Ambitious Approach

Jai Shroff
Chairman and Group CEO
UPL Limited

UPL Limited Green Hydrogen based Green UPL Ltd is planning to set up 10,000 tonnes per year of
Specialty Chemicals Project Green Hydrogen and derivatives for that it has also been
selected as successful bidder under the GoI MNRE’s SIGHT
UPL group is the leading agrochemical & specialty Programme (Strategic Interventions for Green Hydrogen
Chemical company in the world that offers an integrated Transition) - for Green Hydrogen Production (mode 1
portfolio of crop protection solutions, specialty chemicals Tranche 1). This project is being planned in Gujarat state. First
& BioSolutions. UPL is the first agrochemical company tranche of this project is already getting pre-commissioned
included in the esteemed Dow Jones Sustainability and trailed in March 2024.
World and Emerging Markets Indices (DJSI).
Going forward by 2030, UPL LTD is also planning to set up
This inclusion is based on UPL’s outstanding performance bigger capacities of Gren Hydrogen and derivatives such
in achieving the highest scores in the agrochemical sector as Green Ammonia, Green Methanol, Green Speciality
in the S&P Global 2023 Corporate Sustainability Assessment, chemicals. For this UPL LTD is acquiring bigger land parcels
as announced in November. It has also placed the company in the state of Gujarat. Currently also 90% of UPL LTD
as the highest performing agrochemical company globally speciality chemicals are being exported. While laying down
and in the top 1% of chemical companies worldwide. Green Hydrogen & derivatives project plan, UPL continues
to remain export-oriented business model.
In line with UPL strategy to transitioning from fossil raw
material-based specialty chemicals manufacturing to green Green Hydrogen & derivatives business is having various
chemicals-based specialty chemicals manufacturing, UPL complexities and challenges since it is a sunrise sector for
is planning to set up a renewable power park (Solar, Wind, India. Technologies for electrolyser is still evolving, economic
Hybrid, Battery storage system) & manufacturing projects viability is not very clear, renewable power development in
including Green Hydrogen, green ammonia and green country is still not fully matured, off take agreements for
specialty chemical & derivatives in Gujarat state. Through Green Hydrogen derivatives are not consistent, regulations
this project, UPL will be decarbonising Specialty Chemicals, and standards are not streamlined internationally. To
contribute to ‘Make in India’ campaign of Government of overcome these challenges, a consortium of industries,
India and generate employment and development of Government bodies, Technology companies & institutes
ancillary industry. must come together to develop a plan and implement it for
a sustainable & better future.

58
 Message from Industry

Kapil Maheshwari
CEO
Welspun New Energy

As the global pursuit of clean energy transition gathers  We have secured an in-principle approval from
momentum, Hydrogen is an important lever to achieve Government of Gujarat for ~20,000 acres of land
carbon neutrality and is expected to contribute to 10- to produce renewable energy for Green Hydrogen
20 % of world’s energy mix by 2050. To achieve net zero production.
by 2050, the global demand for Green Hydrogen is
projected to reach 528 MTPA, presenting a US$ 0.5-0.7 We have initiated process to acquire land at Kandla Port
Tn economic opportunity. In India, the demand for H2 (Gujarat) and Paradip Port (Odisha) and have signed MoU
is projected to increase from 6.5 MTPA in 2023 to ~11- with Pipavav Port (Gujarat) to set up Green molecules
12 MTPA by 2030. Under the National Green Hydrogen production facilities.
Mission, the Government of India has set a target to
produce 5 MTPA of Green Hydrogen by 2030. We have initiated off-taker discussions with multiple end
users in Europe, Japan and South Korea for off-take of
Welspun New Energy Limited, an integral part of green derivatives.
Welspun World, is actively involved across the entire
Green Hydrogen value chain: Key risks for Hydrogen project developers include
long term offtake for the financial viability of
 Upstream: Renewable energy production and projects, uncertainty in electrolyser technology, port
Green Hydrogen production infrastructure, certifications related to green derivatives,
 Midstream: Welspun Corp (a part of Welspun World) and indigenous safety standards for handling green
is developing pipeline for safe transportation of derivatives.
Hydrogen.
Our government has taken multiple initiatives to build
 Downstream: Welspun Corp (a part of Welspun the Hydrogen ecosystem in the country including
World) is initiating a pilot to use Green Hydrogen for both supply and demand side incentives such as PLI
steel production. for H2 and electrolyser production, ISTS waiver, Green
corridor for renewable energy transfer, development of
We, at Welspun New Energy Limited, aim to develop 2 H2 hubs at ports and incentives to promote demand
MTPA of Green Ammonia/ derivatives capacity by 2030 in Steel, Transportation, and Ammonia. Additionally,
and we have made significant strides towards this goal: multiple state governments have introduced policies to
support production including land at a subsidised rate,
We working with multiple states to set up Green single window clearance, capex subsidies, subsidised
Hydrogen/ derivatives facilities: renewable power and many others.
 Signed MoU with the Govt. of Gujarat for 1 MPTA
Ammonia capacity At Welspun New Energy Limited, we are committed
to spearheading the Green Energy revolution and
 Signed MoU with the Govt. of Maharashtra for 0.55 positioning India as a prominent exporter of “Green
MTPA Ammonia capacity Energy”.
 In-principle approval from the Govt. of Odisha to set
up 0.7 MTPA Ammonia facility

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Ministry of New and Renewable Energy (MNRE)
Atal Akshaya Urja Bhawan, CGO Complex,
Lodhi Road, New Delhi – 110003, India