Larsen & Toubro (L&T) is strengthening its presence in the global electrolyser market, aiming to capitalize on the rising demand for green hydrogen and alternative fuels. As global energy strategies evolve due to geopolitical tensions and supply-chain shifts, the engineering major sees significant opportunities to position itself as a competitive supplier of electrolyser technology and green energy solutions. Subramanian Sarma, Deputy Managing Director and President of L&T, highlighted that the company is looking beyond short-term disruptions. Instead, L&T is focusing on building long-term growth through investments in green hydrogen, electrolysers, and green ammonia.
Rising Global Demand for Electrolysers
The global push for clean energy and decarbonization has accelerated investments in
hydrogen-based energy systems. At the same time, companies are increasingly diversifying their sourcing strategies due to geopolitical uncertainties and the ongoing “China+1” supply-chain shift.
In this context, L&T is witnessing growing interest from international energy companies seeking alternative suppliers for electrolysers. According to Sarma, the company’s cost competitiveness and engineering expertise could enable it to compete effectively with established European manufacturers. “Global customers are actively evaluating alternative supply sources,” he said, adding that L&T’s capabilities position it well to capture a share of the expanding global electrolyser market.
Scaling Up Electrolyser Technology
To strengthen its technology base, L&T has successfully scaled up its electrolyser modules from 0.5 MW to 4 MW capacity. These larger modules are currently undergoing testing and will soon be deployed in the company’s green hydrogen project at Indian Oil Corporation’s Panipat refinery.
The company is exploring export opportunities for its electrolyser solutions. Potential installations are being evaluated in regions with abundant and low-cost renewable energy, including West Asia and parts of Asia, where green hydrogen production is expected to expand rapidly.
Advancing Green Ammonia Partnerships
Alongside its hydrogen initiatives, L&T is also progressing with its green ammonia development plans. The company has been working closely with global partners, including Japan’s Itochu Corporation, to develop commercial agreements for the supply and offtake of green ammonia. Sarma noted that discussions with Itochu are advancing toward a definitive offtake agreement, which could support large-scale deployment of green ammonia projects in the future.
Expanding Renewable Energy Projects Worldwide
In parallel with its hydrogen strategy, L&T is expanding its presence in renewable energy infrastructure across global markets. The company is actively participating in offshore wind projects in Europe, where it has already secured contracts for platforms totaling 4 gigawatts of capacity.
Additionally, L&T is engaging with customers to potentially double this capacity to 8 gigawatts, marking a major milestone in its offshore wind business. At the same time, the company is diversifying its renewable energy portfolio by exploring solar energy opportunities in Indonesia and supplying renewable energy modules to projects in Australia.
Exploring New Markets in Africa
Beyond its current operations, L&T is also evaluating opportunities in emerging energy markets in Africa. The company is currently in discussions with several international oil and energy companies regarding potential projects in the region. As reported by thehindubusinessline.com, by expanding its geographic footprint and investing in green hydrogen, renewable energy, and sustainable fuels, L&T aims to position itself as a key player in the global energy transition while building a strong pipeline of future growth opportunities.
