Andhra Pradesh has launched the Green Hydrogen Valley–Amaravati Declaration, setting forth 2030 as the target year to become a global hub for green hydrogen production.
The announcement, made by Chief Minister N. Chandrababu Naidu at the inaugural Green Hydrogen Summit at SRM University–AP, lays out a framework that integrates electrolyzer manufacturing, hydrogen production scaling, innovation funding, and transmission infrastructure.
At the core of the declaration are aggressive production and manufacturing targets: 2 GW of electrolyzer manufacturing capacity by 2027, expanding to 5 GW by 2029; and annual green hydrogen production reaching 1.5 million metric tones by 2029. These figures, if achieved, would place Andhra Pradesh among the most hydrogen-ambitious regions globally. For comparison, India’s national green hydrogen mission sets a production target of 5 million tones per year by 2030—meaning Andhra Pradesh alone aims to meet nearly one-third of that figure within its own borders.
But scale isn’t the only challenge. The state also intends to drive down the cost of hydrogen from ₹460/kg ($5.50) to ₹160/kg ($1.90), targeting a near-65% cost reduction to align with global parity benchmarks. Achieving this will depend on technology localization, supply chain maturity, and integration with the wider renewable ecosystem.
To facilitate this, the plan includes a 25 GW Green Energy Corridor—a major infrastructure commitment that would address one of the sector’s key bottlenecks: transmission of variable renewable power to hydrogen production sites. Parallel to this is the announcement of a ₹500 crore (~$60 million) innovation fund aimed at clean tech startups and research ventures, with SRM University–AP designated as the central research hub.
In terms of manufacturing self-reliance, the state is targeting 60% domestic content in electrolysers and other key green hydrogen components by 2030, a target that aligns with India’s larger “Make in India” industrial strategy. However, electrolysis remains a technology-intensive process, and India has so far relied heavily on imports for PEM (proton exchange membrane) and alkaline stacks. Closing this gap will require sustained R&D and capital investment—areas where the announced innovation fund could make a difference, but only if it effectively mobilizes private participation.
CM Naidu’s framing of Andhra Pradesh as the “first Green Hydrogen Valley in India” has been endorsed by central stakeholders, including NITI Aayog’s V.K. Saraswat and Union Minister Chandra Sekhar Pemmasani, who view the initiative as a model consistent with the goals of India’s National Hydrogen Mission. That said, the gap between policy ambition and on-ground delivery remains considerable—across land acquisition, grid integration, water supply, and industrial offtake.
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