At the recent CII International Business Conclave on Green Hydrogen, Mr. Sumant Sinha, Chairman and CEO of ReNew Power, addressed industry leaders, policymakers, and global stakeholders with a focused, forward-looking perspective on India’s role in the green hydrogen revolution.
Framing the conversation around green hydrogen’s irreplaceable role in the energy transition, he began with a stark reminder of the emissions gap electrification alone cannot bridge. “The remaining 75% of energy-linked carbon emissions can only be tackled through green hydrogen and its derivatives. Developing this industry is not just necessary for India — it is vital for the world,” he said. With industries such as steel, cement, chemicals, and refining among the largest emitters, Mr. Sinha made it clear that electrification must be complemented by scalable green fuels to achieve meaningful decarbonization.
India’s ambition to produce 5 million tonnes of green hydrogen by 2030 is a pivotal starting point. However, as Mr. Sinha noted, “If we look ahead to our net-zero commitment by 2070, estimates suggest that we will need up to 40 million tonnes of green hydrogen annually.” The current domestic consumption of 6 million tonnes of grey hydrogen—primarily in fertilizers and refineries—will eventually need to transition entirely to its green counterpart. The implications are vast, both in terms of infrastructure and opportunity.
Despite its potential, green hydrogen remains significantly more expensive than its fossil-derived equivalent. “We must either find ways to reduce the cost of green hydrogen, or we must create mandates and incentives to absorb the transition costs. Someone — whether the end consumer, the industrial user, or the government — has to bear this burden,” Mr. Sinha stated. Drawing on lessons from India’s solar journey, he highlighted the role of scale in driving costs down, but also acknowledged the current need for strategic intervention.
Several levers, he said, could help reduce the cost of green hydrogen by 30 to 40 percent. These include addressing taxation burdens such as GST, allowing dollar-denominated contracts to mitigate currency risks for international investors, and introducing long-term agreements of 25 years or more to improve financing terms. “If we can do these three or four basic things, we’ll be able to make green hydrogen far more affordable and reduce the burden on the final consumer,” he said, reiterating the importance of aligning policy and financial architecture to kick-start scale.
While the National Green Hydrogen Mission lays a robust foundation and incentives for electrolyzer manufacturing have been rolled out, a major uncertainty lies in the export component of India’s hydrogen strategy. The government’s 5-million-tonne target includes 3.7 million tonnes for export. But with global demand still lagging due to high costs, Mr. Sinha posed a pertinent question: “If exports don’t materialize as planned, how will we meet our 5-million-tonne target? The answer lies in creating robust domestic demand.”
He outlined a clear roadmap for catalyzing that demand: accelerating green ammonia use in the fertilizer sector, blending ammonia in thermal power (up to 15%, as tested globally), and introducing blending mandates for green hydrogen or green ammonia into existing gas and CNG networks. These pathways, he stressed, are not theoretical—they are technically validated and within reach.
Recognising the government’s progress so far, Mr. Sinha credited policy makers for laying the groundwork. “The foundational ecosystem is in place. Now, we must address the final hurdles of cost and demand to truly unlock India’s green hydrogen economy,” he said.
However, Mr. Sinha urged the industry to look beyond 2030 and adopt a longer horizon of 15 to 20 years. Green hydrogen and green ammonia, he noted, will be enablers for Sustainable Aviation Fuel (SAF), decarbonized shipping, heavy industries, and new green manufacturing hubs. “If we get it right, India could become one of the largest exporters of green hydrogen and its derivatives — while also building new industries and creating thousands of green jobs,” he said.
In closing, he summarised the challenge ahead with precision: address costs through smart policy and financial innovation, and build domestic demand through mandated adoption. “This is a great opportunity — for India’s economy, for our energy future, and for the planet. Let us come together, solve the final barriers, and scale this industry for the decades ahead,” Mr. Sinha concluded, calling on all stakeholders to act with clarity, urgency, and collaboration.
India’s green hydrogen moment is here. What remains is the resolve to make it scalable, sustainable, and inclusive.
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