Union Minister for New and Renewable Energy Pralhad Joshi announced on Thursday that India has allocated USD 43.3 million for research and development in the green hydrogen space and sanctioned USD 13 million for 23 projects. The minister made these remarks during a virtual address to the World Hydrogen India conference organized by S&P Global Commodity Insights in the national capital.

National Green Hydrogen Mission Framework

In 2023, the Indian government launched the National Green Hydrogen Mission (NGHM) with an initial outlay of INR 19,744 crore. The mission aims to produce 5 million metric tonnes (MMT) of green hydrogen by FY30. Joshi stated that the goal to produce at least 5 MMT of green hydrogen per annum by 2030 will be supported by an addition of 125 GW of renewable energy capacity.

The minister indicated that this initiative is estimated to attract nearly USD 100 billion in investments and create over 600,000 jobs. During his address, Joshi mentioned allocating USD 45.3 million for R&D, though this figure differs from the USD 43.3 million stated elsewhere in his remarks.

Current Project Implementation

To date, 19 green hydrogen production projects with a capacity of over 4,300 tonnes per annum have been commissioned. These projects serve various sectors, including steel and glass manufacturing, refineries, and transport. The minister reported that India is currently running five pilot projects to introduce green hydrogen in the steel sector. In the surface transport sector, five pilot projects are deploying 37 hydrogen-fueled vehicles and nine refueling stations across 10 major routes.

These initiatives represent the practical implementation of green hydrogen technology across multiple industrial applications.

Strategic Interventions and Pricing Competitiveness

Under the Strategic Interventions for Green Hydrogen Transition (SIGHT) programme, the government recently concluded auctions for the supply of 724,000 tonnes of green ammonia to the fertilizer industry. According to Joshi, the auctions discovered a price as low as 49.75 per kilogram, which is approximately 55 US cents per kilogram. The minister claimed this represents the most competitive prices discovered anywhere in the world, demonstrating that green hydrogen derivatives in India are rapidly becoming economically competitive.

This pricing achievement marks a significant milestone in making green hydrogen commercially viable.

Manufacturing Capacity and Workforce Development

Incentives for the domestic manufacturing of 3,000 MW of electrolyzers have been awarded annually. Of this target, over 1,100 MW of electrolyzer manufacturing capacity has already been installed in India, representing more than one-third of the planned capacity. The government is fostering a vibrant start-up ecosystem and focusing on workforce development in the green hydrogen sector.

Already, over 5,800 people have been certified in various green hydrogen job roles, indicating substantial progress in building the necessary human resources for the industry. Joshi concluded his remarks by stating that India's green hydrogen journey is moving from vision to action with incredible speed, reflecting the rapid pace of implementation across multiple aspects of the green hydrogen value chain.

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