The Government of India has commissioned 8,000 tonnes per annum (TPA) of green hydrogen production capacity as of February 2026, under the National Green Hydrogen Mission (NGHM). The mission aims to position India as a global hub for the production, usage, and export of green hydrogen and its derivatives, with a target of 5 million metric tonnes per annum by 2030.
According to Shri Shripad Yesso Naik, Minister of State for New and Renewable Energy, the NGHM has seen progressive fund utilisation over the last three fiscal years:
| Fiscal Year | Fund Allocation (Rs. Crores) | Utilisation (Rs. Crores) |
|---|---|---|
| 2023–24 | 100 | 0.11 |
| 2024–25 | 300 | 46.26 |
| 2025–26* | 300 | 203.75 |
*As of 19 March 2026
Under the mission, competitive bidding has resulted in green hydrogen costs of ₹397 per kg (inclusive of 18% GST) for supply to Indian Oil Corporation Limited refineries and ₹387 per kg for supply to Bharat Petroleum Corporation Limited and Hindustan Petroleum Corporation Limited refineries.
The World Bank Group estimates that renewable energy sources, such as solar and wind, account for 50–70% of total production costs, approximately ₹235 per kg, highlighting the critical role of clean energy in green hydrogen production.
The minister shared this update in the Rajya Sabha today, reflecting India’s steady progress in developing a sustainable hydrogen economy.
Discover more from SolarQuarter
Subscribe to get the latest posts sent to your email.
