India has the potential to produce 9.3 million tonnes of green hydrogen by 203- Niti Aayog report
In recent years, there has been a growing global momentum towards hydrogen as a preferred solution for several applications, especially green hydrogen, which is produced through electrolysis of water using electricity from renewable sources. This has led to declining prices of hydrogen and a growing urgency for decarbonization, resulting in the global demand for hydrogen potentially growing by almost 400 percent by 2050, led by industry and transportation.
India has also joined the trend and launched the National Hydrogen Mission, with the intent to be a global hub for green hydrogen. This fits well within the context of a low-carbon economy, energy security, and the larger economic development ambition of the nation. India’s advantage in low-cost renewable energy generation makes green hydrogen the most competitive form of hydrogen in the long run, potentially making it one of the most competitive producers of green hydrogen in the world.
The Niti Aayog and RMI report on green hydrogen, titled “Harnessing Green Hydrogen: A Roadmap for India,” provides insights into India’s green hydrogen potential, including its cost competitiveness, the key drivers of demand, the potential benefits to the economy, and the policy measures required to promote the growth of green hydrogen in India.
The report presents a range of scenarios and forecasts, including the cost of green hydrogen, which is expected to decline significantly in the coming years, achieving cost parity with natural gas-based hydrogen by 2030, if not before. It also highlights the potential demand for green hydrogen in various sectors, such as industry, transport, and power generation, which could drive the growth of green hydrogen in India.
According to the report, India has the potential to produce 9.3 million tonnes of green hydrogen by 2030, which is equivalent to around 25 percent of the global demand. The production of green hydrogen could also create significant employment opportunities, with the potential to generate up to 4 million jobs by 2030.
To realize the potential of green hydrogen in India, the report recommends a range of policy measures, including financial incentives, regulatory support, and the development of a hydrogen ecosystem, such as the creation of hydrogen clusters and the promotion of research and development. The report also emphasizes the need for international collaboration and the importance of promoting the export of green hydrogen to other countries.
The Niti Aayog and RMI report on green hydrogen highlights the potential of green hydrogen in India and provides a roadmap for its growth. India’s distinct advantage in low-cost renewable energy generation makes green hydrogen the most competitive form of hydrogen in the long run, potentially making it one of the most competitive producers of green hydrogen in the world. With the right policy measures and international collaboration, India could emerge as a global hub for green hydrogen, promoting a low-carbon economy, energy security, and economic