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hydrogen

India’s Blueprint for Green Hydrogen Dominance

Anela DoksoBy Anela Dokso22/01/20242 Mins Read
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India is actively pursuing strategies outlined in the “Green Hydrogen: Enabling Measures Roadmap for Adoption in India” report, jointly presented by the World Economic Forum and Bain & Company.

This comprehensive report sheds light on India’s journey to becoming cost-competitive in the international hydrogen market, primarily by reducing renewable energy generation and electrolyser costs.

India’s ambitious mission involves not only producing green hydrogen but doing so at a cost that can rival global competitors. The report highlights the impressive decline in renewable energy costs within the last decade, from ₹11 per kWh in 2010 to ₹2.6 per kWh in 2023. To reach the targeted ₹2 per kWh, strategic policy interventions are deemed crucial, including subsidies on capital costs, GST waivers, reduced land fees, and stamp duty waivers.

While renewable energy costs have significantly decreased, the report underscores the pressing need to address storage costs, a substantial component of overall expenses. Ensuring a consistent supply of green hydrogen necessitates optimizing the transmission and distribution costs associated with renewable energy, particularly from remote installations to demand centers.

The upcoming budget is anticipated to witness the integration of measures aimed at streamlining costs nationwide. Industry experts emphasize that these measures are pivotal for the realization of India’s ambitious target to produce 5 million metric tonnes of green hydrogen annually by 2030. The success of this goal not only hinges on technological advancements but also on strategic policy decisions that foster a conducive environment for the green hydrogen sector to flourish.

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