India targets 5 million tonnes of green hydrogen per year by 2030
India launched the National Green Hydrogen Mission targeting 5 million tonnes of green hydrogen per year by 2030. As of February 2026, only 8,000 tonnes of capacity had been commissioned.
| Sectors | Hydrogen Energy, Green Hydrogen |
|---|---|
| Themes | Regulation & Governance, Public Policy |
| Companies | Indian Oil Corporation Limited, Bharat Petroleum Corporation, Hindustan Petroleum Corporation |
| Countries | India |
India has implemented the National Green Hydrogen Mission (NGHM), targeting a production capacity of 5 million metric tonnes of green hydrogen per year by 2030. In a global sector where production approaches are diversifying — including through the identification of natural hydrogen deposits in Europe — India is concentrating its strategy on electrolysis powered by renewable energy. As of late February 2026, approximately 8,000 tonnes per year of production capacity had been commissioned in the country, according to available data.
Costs set through competitive tenders
Under the NGHM, the Indian government used competitive bidding to establish green hydrogen costs. Indian Oil Corporation Limited (IOCL) secured a cost of $4.21 (₹397) per kilogram. The refineries of Bharat Petroleum Corporation (BPCL) and Hindustan Petroleum Corporation (HPCL) obtained a rate of $4.11 (₹387) per kilogram.
According to the World Bank Group, renewable energy accounts for approximately 50% to 70% of the total cost of green hydrogen production. This significant share of renewable electricity in the cost structure directly ties the sector's competitiveness to trends in solar and wind energy prices. India, endowed with considerable solar potential, intends to leverage declining renewable costs to strengthen the economic viability of its domestic production.
State-owned oil companies as primary offtakers
IOCL, BPCL and HPCL, three major Indian state-owned oil companies, are the primary identified buyers under the NGHM tender process. These companies operate refineries that form natural captive outlets for industrial green hydrogen production. The concentration of initial demand in the refining sector reflects a phased industrial decarbonization strategy anchored in the country's existing infrastructure.
