India Green Hydrogen Market Research Report: Forecast (2026-2032)

India Green Hydrogen Market Key Takeaways

• The India green hydrogen market was valued at approximately USD 0.32 billion in 2025 and is projected to grow from USD 0.73 billion in 2026 to USD 3.29 billion by 2032, registering a CAGR of 28.5% during 2026–2032.
• Alkaline electrolysis remains the dominant technology segment, accounting for approximately a 65.8% share in 2026.
• Refining & petrochemicals represents the leading end-use industry segment, accounting for a 34.9% share in 2026.
• The industry is highly consolidated, with the top five companies accounting for a 65% share in 2026.

India Green Hydrogen Market Size & Outlook

The green hydrogen market in India was valued at approximately USD 0.32 billion in 2025 and is estimated to reach USD 0.73 billion in 2026. The market is projected to attain USD 3.29 billion by 2032, registering a CAGR of 38.7% during 2026–2032, driven by accelerating industrial decarbonization, increasing adoption of renewable-powered hydrogen production, expansion of domestic electrolyzer manufacturing, and rising demand from refining, fertilizers, steel, and green ammonia applications. The development of integrated hydrogen ecosystems, including production facilities, storage infrastructure, and derivative fuel projects, continues to create long-term opportunities across India's clean energy transition.

The long-term outlook is reinforced by a rapidly evolving policy ecosystem designed to support the entire hydrogen value chain. During 2024, the Ministry of New and Renewable Energy (MNRE) issued implementation guidelines covering Hydrogen Hubs, Electrolyzer Manufacturing (SIGHT Component-I Tranche-II), Research & Development, Skill Development, and pilot projects for transport, shipping, and steel applications under the National Green Hydrogen Mission. These frameworks provide regulatory clarity for project developers while accelerating technology commercialization, domestic manufacturing, and industrial deployment across multiple sectors.

India's net-zero transition is also encouraging stronger collaboration between public sector enterprises, industrial manufacturers, and renewable energy developers to integrate hydrogen into commercially viable applications such as green ammonia, green methanol, and low-carbon industrial feedstocks. Under the National Green Hydrogen Mission, the Union Cabinet has approved an outlay of USD 2.37 billion, targeting at least 5 million metric tonnes of annual green hydrogen production by 2030 together with the development of around 125 GW of associated renewable energy capacity. This integrated approach is expected to strengthen domestic demand while positioning India as a competitive supplier of renewable fuels in global markets.

The market outlook is further strengthened by continued institutional support for innovation and ecosystem development. In 2025, MNRE revised the guidelines for establishing Hydrogen Valley Innovation Clusters (HVICs) and Green Hydrogen Hubs, promoting geographically integrated ecosystems that combine renewable power generation, hydrogen production, storage, transportation, manufacturing, research, and industrial consumption. These initiatives are expected to improve project scalability, attract private investment, and accelerate commercialization across the hydrogen value chain while enhancing India's competitiveness in the emerging renewable fuels market.

India Green Hydrogen Market Key Indicators

• As per the Ministry of New and Renewable Energy (MNRE, 2025), the National Green Hydrogen Mission operates with a total financial outlay of approximately USD 2.37 billion to accelerate domestic green hydrogen production, electrolyzer manufacturing, pilot projects, and enabling infrastructure. This comprehensive policy framework is strengthening India's hydrogen value chain while improving long-term investment visibility across renewable energy, industrial decarbonization, and clean fuel production.
• According to the Solar Energy Corporation of India (SECI, 2025), incentives have been awarded for more than 450,000 tonnes per annum (TPA) of green hydrogen production capacity under the SIGHT Programme – Component II (Tranche-I). The awarded capacity is accelerating commercial-scale project development, expanding renewable energy demand, and supporting India's transition toward a competitive green hydrogen economy.
• By the Ministry of Steel (Government of India, 2025), financial assistance of approximately USD 41.6 million has been approved for three pilot projects demonstrating the use of green hydrogen in iron and steel production. These demonstration projects are accelerating industrial decarbonization while creating long-term demand for green hydrogen in India's steel manufacturing sector.

India Green Hydrogen Market 

India Green Hydrogen Market Growth Drivers

Regulatory Incentives Catalyze Green Hydrogen Commercialization

The Ministry of Power continues to strengthen the commercial viability of green hydrogen production by extending a 100% waiver of Inter-State Transmission System (ISTS) charges for eligible green hydrogen and green ammonia projects commissioned before 31 December 2030, while the Green Energy Open Access framework enables faster procurement of renewable power for electrolyzer projects. These regulatory measures reduce electricity delivery costs and improve project bankability, encouraging greater investment across India's green hydrogen ecosystem and large-scale electrolyzer deployment.

The Ministry of New and Renewable Energy further expands market momentum by issuing multiple implementation guidelines during 2024 covering Hydrogen Hubs, Transport, Shipping, Research & Development, Skill Development, and Electrolyzer Manufacturing (SIGHT Component-I Tranche-II) under the National Green Hydrogen Mission. The continuous rollout of these sector-specific frameworks establishes regulatory certainty, strengthens domestic manufacturing capabilities, and accelerates commercialization of clean hydrogen infrastructure across industrial and mobility applications.

Recent Trend

Standardization of Green Derivatives Frameworks

The global hydrogen industry is increasingly shifting beyond green hydrogen toward standardized green derivatives such as green ammonia, green methanol, and sustainable aviation fuel (SAF), enabling efficient storage, transportation, and international trade. According to the International Energy Agency (IEA, Global Hydrogen Review 2025), around 75% of announced hydrogen derivative trade projects globally are based on ammonia, reflecting its emergence as the preferred carrier for cross-border hydrogen commerce. This evolution is accelerating demand for green ammonia certification and internationally harmonized sustainability standards.

The trend is gaining momentum in India as domestic developers increasingly align projects with export-oriented derivative fuel markets. For instance, in 2025, ReNew Energy Global Plc partnered with JERA Co., Inc. to jointly evaluate the development of a green ammonia production project in India, targeting both domestic consumption and international export opportunities. The collaboration underscores the growing commercial focus on standardized green ammonia production that complies with evolving global certification and sustainability requirements, strengthening India's position in the green ammonia value chain and hydrogen trade ecosystem.

India Green Hydrogen Market Opportunities and Challenges

Iridium Supply Challenges Accelerate Catalyst Innovation

The rapid deployment of Proton Exchange Membrane electrolyzers is constrained by the limited availability of iridium and platinum group metals, creating a significant supply-chain challenge for the global hydrogen industry. According to the International Energy Agency (IEA, Global Hydrogen Review 2025), conventional PEM electrolyzers typically require 300–400 kg of iridium per GW of installed capacity, whereas global primary iridium production is only around 7.5 metric tonnes annually. This substantial supply-demand imbalance restricts the large-scale expansion of PEM manufacturing, increases capital costs, and poses a critical bottleneck for scaling the green hydrogen economy and next-generation electrolysis technologies.

The scarcity of catalyst materials is simultaneously accelerating innovation in catalyst optimization and material efficiency, creating a major commercial opportunity for advanced electrolyzer developers. In November 2025, Ohmium Operations Private Limited introduced its Lotus Mark 2 PEM electrolyzer, achieving 18 GW of electrolyzer capacity per tonne of iridium while reducing iridium consumption by 50% compared with its previous generation. Such innovations improve resource efficiency, lower dependence on critical minerals, and enhance the commercial competitiveness of advanced electrolysis systems, supporting the expansion of renewable hydrogen production and domestic electrolyzer manufacturing.

Segmentation Insights

Commercial Maturity Positions Alkaline Electrolysis as the Market Leader

Alkaline Electrolysis is estimated to account for 65.8% of the India green hydrogen industry in 2026, making it the dominant technology segment owing to its commercial maturity, lower capital cost, and suitability for large-scale industrial hydrogen production. The technology is extensively adopted for refinery, fertilizer, and green ammonia applications due to its proven operational reliability and compatibility with large renewable energy installations.

In 2025, the Solar Energy Corporation of India (SECI) awarded incentives under SIGHT Scheme Component-I (Tranche-II) for domestic electrolyzer manufacturing, where the majority of commercially announced manufacturing capacities continue to focus on alkaline electrolyzer technology because of its established supply chain and cost competitiveness. This widespread adoption is strengthening India's electrolyzer manufacturing market while accelerating investment in large-scale renewable hydrogen production.

The segment continues to benefit from significant industrial investment as manufacturers expand domestic production capabilities to reduce import dependence and support utility-scale projects. For example, John Cockerill Greenko Hydrogen Solutions Private Limited is establishing one of India's largest electrolyzer manufacturing facilities in Kakinada, Andhra Pradesh, with an initial production capacity of 1 GW per year, scalable to 2 GW annually, primarily focused on alkaline electrolyzer technology for domestic and export markets.

The combination of manufacturing localization, lower lifecycle costs, and suitability for continuous industrial operations is reinforcing alkaline electrolysis as the preferred technology across India's green hydrogen industry, supporting long-term commercialization and capacity expansion. Based on Technology Type, the India green hydrogen industry is segmented into:

• Alkaline Electrolysis
• Proton Exchange Membrane (PEM) Electrolysis
• Solid Oxide Electrolysis (SOEC)
• Anion Exchange Membrane (AEM) Electrolysis

Refinery Decarbonization Anchors End-Use Demand

The Refining & Petrochemicals segment is estimated to account for 34.9% of the India green hydrogen industry in 2026, making it the leading end-use industry owing to the sector's established hydrogen demand for hydrocracking and desulfurization processes. Public sector refiners are actively integrating renewable hydrogen into existing refinery operations to reduce carbon emissions and diversify feedstock sources.

In 2025, the Ministry of Petroleum and Natural Gas (MoPNG) launched the Green Hydrogen Certification Scheme for Refineries, enabling certified green hydrogen adoption across petroleum processing facilities. The increasing replacement of fossil-based hydrogen is strengthening demand for low-carbon refinery solutions while accelerating investments in industrial decarbonization across India's downstream petroleum sector.

The segment continues to attract strategic investments from major energy companies seeking to commercialize green hydrogen within refining operations. For example, Indian Oil Corporation Limited (IOCL) commissioned a 10 KTPA green hydrogen generation unit at its Panipat Refinery, which is India's largest green hydrogen project for refinery operations.

The project demonstrates the commercial transition toward renewable hydrogen integration in petroleum processing while reinforcing the refinery sector as the primary demand center for India's emerging hydrogen economy. Continued investments by leading refiners are supporting the expansion of clean refinery technologies and strengthening the country's hydrogen value chain. Based on the end-user segment, the industry is segmented into:

• Refining & Petrochemicals
• Fertilizers / Ammonia
• Steel & Heavy Industry
• Mobility / Transportation
• Power & Utilities
• Chemicals & Other Industrial Users

India Green Hydrogen Market Competitive Analysis

The India green hydrogen market remains highly consolidated, with the top five companies accounting for 65% of the market in 2026, driven by integrated renewable energy portfolios, electrolyzer investments, and large-scale hydrogen and ammonia projects under development. Strategic partnerships, domestic manufacturing expansion, and industrial offtake agreements continue to strengthen the competitive positioning of leading market participants.

Leading Companies in the India Green Hydrogen Industry

• Reliance Industries Limited
• Adani New Industries Limited
• NTPC Green Energy Limited
• Indian Oil Corporation Limited
• Larsen & Toubro Limited
• ReNew Energy Global Plc
• ACME Cleantech Solutions Private Limited
• Hygenco Green Energies Private Limited
• GAIL (India) Limited
• Oil and Natural Gas Corporation Limited
• Ohmium Operations Private Limited
• John Cockerill Greenko Hydrogen Solutions Private Limited

India Green Hydrogen Industry News and Recent Developments

July 2025: ReNew Energy Global and JERA Partner to Evaluate Green Ammonia Project in India

ReNew Energy Global Plc and JERA Co., Inc. signed an agreement to jointly evaluate the development of a large-scale green ammonia production project in India. The proposed project aims to integrate renewable power with green hydrogen production to supply both domestic industries and international export markets, supporting the commercialization of hydrogen derivatives.

Impact Analysis: The collaboration is expected to accelerate investment in integrated green hydrogen and ammonia infrastructure while strengthening India's position as a future exporter of low-carbon fuels. It also promotes long-term industrial offtake opportunities and supports the expansion of export-oriented hydrogen value chains.

June 2025: Toyota Kirloskar Motor and Ohmium Collaborate on Green Hydrogen Solutions

Toyota Kirloskar Motor Private Limited and Ohmium International signed a Memorandum of Understanding to develop integrated hydrogen-based energy solutions in India by combining Toyota's fuel-cell technology with Ohmium's PEM electrolyzer platform. The collaboration focuses on accelerating the deployment of scalable green hydrogen applications across mobility and industrial sectors.

Impact Analysis: The partnership is expected to strengthen India's hydrogen technology ecosystem by encouraging commercialization of fuel-cell applications and advanced electrolyzer systems. It also supports wider adoption of green hydrogen across transportation and industrial decarbonization, fostering innovation throughout the domestic hydrogen value chain.

July 2026: Indian Railways Launches India’s First Hydrogen-Powered Train for Sustainable Mobility

Indian Railways launched India’s first domestically developed hydrogen-powered passenger train on the Jind–Sonipat route in Haryana, marking a significant milestone in the country's green transportation transition. The train, inaugurated at Jind railway station, operates using hydrogen fuel-cell technology that generates electricity through a chemical reaction between hydrogen and oxygen, producing water vapor as the primary emission. The project represents a major step toward integrating green hydrogen applications beyond industrial sectors into public transportation infrastructure.

Impact Analysis: The launch is expected to expand the application landscape for India's hydrogen ecosystem by creating demand for hydrogen production, refueling infrastructure, storage systems, and fuel-cell technologies. The project strengthens the role of hydrogen mobility solutions in India's decarbonization strategy while demonstrating the commercial potential of renewable hydrogen in transport applications. The development also supports wider adoption of clean transportation technologies and aligns with India's broader objective of reducing dependence on conventional fuels across mobility sectors.