Article

India's hydrogen demand is projected to double to approximately 12 million tonnes per annum (mtpa) by 2030, primarily driven by the fertiliser, refining, and petrochemical sectors, according to a Nuvama Institutional Equities report. Fertilisers are expected to account for over half of this demand at about 6.1 mtpa, followed by refineries at 4.5 mtpa and petrochemicals at 1.3 mtpa.

The National Green Hydrogen Mission, with an outlay of Rs 197 billion, aims to establish green hydrogen infrastructure and is linked to the SIGHT scheme for production and electrolyser manufacturing. Central and state support measures could create a funding pool of nearly USD 61 billion.

Despite these initiatives, the current cost of green hydrogen at USD 3.5-4 per kg remains a barrier compared to grey hydrogen at USD 2.2 per kg. The report also notes that innovation could potentially reduce electrolyser costs by up to 75%, aiding domestic manufacturing.