Green Hydrogen

• Green hydrogen is hydrogen produced via electrolysis powered by renewable energy sources (solar, wind, hydro), splitting water (H₂O) into hydrogen (H₂) and oxygen (O₂).

• Alternative Production:
  Biomass gasification is another pathway, where organic material is converted into hydrogen-rich gas.

• Applications:

  • Transport: Fuel Cell Electric Vehicles (FCEVs), aviation, maritime shipping, road and rail.

  • Industry: Fertilizers, refineries, steel production — sectors hard to decarbonize.

  • Power generation: Clean fuel for electricity.

India’s Green Hydrogen Ambitions (MAPE):

• M – Market Leadership:
  Aim to capture 10% of the global green hydrogen market by 2030, which could exceed 100 million metric tonnes (MMT).

• A – Abatement of Emissions:
  Target reduction of ~50 MMT CO₂ annually, supporting India’s climate goals under NDCs and net-zero commitments.

• P – Powering Production:
  Develop 5 MMT per annum GH2 production capacity by 2030.

• E – Employment Creation:
  Create over 600,000 jobs across the green hydrogen value chain including R&D, production, storage, and export.

Other Types of Hydrogen (Brief):

• Grey Hydrogen: Produced from natural gas or coal without carbon capture; highest emissions.

• Blue Hydrogen: Same as grey but with carbon capture and storage (CCS) to reduce emissions.

• Turquoise Hydrogen: Produced by methane pyrolysis, generating solid carbon instead of CO₂.

Key Challenges in India’s Green Hydrogen Ecosystem (CAGE):

• C – Cost Barrier:
  Green hydrogen’s cost ($4–4.5/kg) is currently much higher than grey hydrogen, affecting market competitiveness.

• A – Access to Capital:
  High upfront investments in electrolysers and renewable infrastructure deter private players and financiers.

• G – Gaps in Infrastructure:
  Lack of transport pipelines, storage, and refueling networks restrict distribution and adoption.

• E – Economic Viability Issues:
  Absence or delay in carbon pricing keeps fossil fuel hydrogen artificially cheaper, undermining GH2’s viability.

Measures to Boost Green Hydrogen Adoption (POWER):

• P – Pricing Carbon:
  Fast-track carbon tax or carbon markets to internalize environmental costs and level the playing field.

• O – Obligation Mandates:
  Enforce purchase mandates in sectors like steel, fertilizers, and refining, ensuring demand and scaling production.

• W – Widen Infrastructure Base:
  Scale electrolyser manufacturing, storage, pipeline networks, and export corridors; collaborate internationally (EU, Japan, S. Korea).

• E – Economic Reallocation:
  Redirect subsidies from fossil fuels to green hydrogen; provide tax incentives and viability gap funding to reduce financial barriers.

• R – Risk Pooling through Demand Aggregation:
  Establish pooled procurement and payment security mechanisms to create bankable contracts and attract investors.

India’s Potential as a Global Leader:

The report positioning India as capable of capturing 10% of the global green hydrogen market and exporting 10 MMT annually by 2030 reflects the country’s:

• Vast renewable energy potential (solar, wind).

• Growing industrial demand for clean fuels.

• Strong policy backing through National Green Hydrogen Mission and certification schemes.