The World Economic Forum and Bain & Company have jointly released a significant report titled ‘Green Hydrogen: Enabling Measures Roadmap for Adoption in India’. The comprehensive document explores the pivotal role of green hydrogen, generated through water electrolysis powered by renewable energy sources, in reshaping India’s energy landscape.
Green hydrogen not only provides a sustainable alternative for industries like fertilizers, chemicals, refining, and iron, but also plays a crucial role in reducing carbon emissions compared to traditional fossil fuels. India, currently ranking as the world’s third-largest economy in terms of energy requirements, is expected to experience a remarkable 35% increase in demand by 2030. As of 2022, India’s energy import bill has reached a significant $185 billion, a figure projected to rise if conventional energy methods persist. In response to the growing energy challenges and in alignment with global climate commitments, India has pledged to achieve net-zero emissions by 2070.
Acknowledging the indispensable role of green hydrogen in addressing energy security needs and reducing emissions in challenging industrial sectors, the Indian government launched the National Green Hydrogen Mission in early 2022. With an allocated incentive funding of approximately $2.3 billion spanning the years 2022 to 2030, the mission aims to produce five million metric tons per annum (MMTPA) of green hydrogen by 2030.
Despite India’s vast renewable energy potential, including an estimated 748 gigawatts (GW) of solar capacity at full potential, the practical implementation of green hydrogen faces challenges. These challenges include addressing production and delivery costs on the supply side and ensuring the preparedness of Indian industries to embrace green hydrogen on the demand side.
The report introduces five strategic goals intended to accelerate the adoption of green hydrogen in India. These goals encompass achieving a cost of $2/kg to achieve parity with grey hydrogen on the supply side and providing incentives for end industries to seamlessly integrate green hydrogen into their processes on the demand side. As reported by SOLARQUARTER, by concentrating on these goals, the report aims to propel the growth of the green hydrogen demand-and-supply ecosystem, facilitating India’s path toward a net-zero emissions future by 2070.
