India Green Hydrogen Market - 2025-2032

The Indian green hydrogen market reached US$ 5.59 billion in 2024 and is expected to reach US$ 12.98 billion by 2032, growing at a CAGR of 11.11% during the forecast period 2025-2032.

India's green hydrogen market is rapidly emerging as a key pillar in the country's clean energy transition. Under its National Green Hydrogen Mission, announced in 2023, supported by a US$2.3 billion investment, the government is rapidly advancing its green hydrogen sector, aiming to produce 5 million metric tons annually by 2030. With abundant renewable energy resources, especially solar and wind, India holds significant potential for cost-effective green hydrogen production.

India Green Hydrogen Market Trend

Corporate commitments and joint ventures are playing a crucial role in accelerating India's green hydrogen market. Major Indian conglomerates like Reliance Industries, Adani Group, and Indian Oil Corporation are investing billions in developing green hydrogen infrastructure and technologies.

For instance, in April 2025, Bharat Petroleum Corporation Limited (BPCL) partnered with Singapore-based Sembcorp to develop green hydrogen and renewable energy projects across India. Similarly, in August 2023, Reliance Industries plans to invest US$10 billion over three years to develop low-cost electrolyzers, aiming to reduce green hydrogen production costs to around US$ 1 per kg.

Dynamics

Decarbonization Goals and Climate Change Concerns

India's decarbonization goals and rising climate change concerns are major drivers of the green hydrogen market. With a commitment to achieving net-zero emissions by 2070, the country is actively seeking low-carbon energy alternatives. Green hydrogen, produced using renewable sources, offers a clean fuel option to reduce dependence on fossil fuels. It plays a crucial role in decarbonizing hard-to-abate sectors like steel, cement, and fertilizer. Climate-related pressures, including extreme weather and global emission reduction commitments, are pushing India to accelerate its energy transition.

To support this shift, the government has introduced PLI schemes to incentivize both the production of green hydrogen and the manufacturing of electrolyzers, with outlays of US$1.51 billion (Rs. 13,050 crore) and US$513 million (Rs. 4,440 crore), respectively. These environmental and policy-driven initiatives are fostering investment, innovation, and large-scale adoption of green hydrogen technologies.

Infrastructure Limitations

Infrastructure limitations are significantly restraining India's green hydrogen market by creating bottlenecks in storage, transportation, and distribution. The country lacks a dedicated hydrogen pipeline network and specialized storage facilities, making large-scale deployment unfeasible. Transporting hydrogen using existing infrastructure is costly and inefficient due to its low energy density and high flammability. Additionally, refueling stations for hydrogen-powered vehicles are scarce, hampering adoption in the mobility sector. These gaps increase operational costs and reduce investor confidence.

Segment Analysis

The Indian green hydrogen market is segmented based on the technology, energy source and application.

Proton Exchange Membrane Electrolyzers Lead India's Green Hydrogen Market with High Efficiency and Renewable Integration

Proton exchange membrane (PEM) electrolyzers hold a significant share in the Indian green hydrogen market due to their high efficiency, compact design, and rapid response to fluctuating renewable energy sources. Their ability to operate at high current densities makes them ideal for integration with solar and wind power, which are abundant in India.

Companies are actively driving the India green hydrogen market, especially in the PEM electrolyzer segment, through strategic investments, partnerships, and technology deployment. In October 2024, GreenH Electrolysis unveiled its first 1 MW PEM electrolyser at its manufacturing plant in Jhajjar, Haryana. This electrolyser is set to produce approximately 430 kg of hydrogen daily to fuel India's first hydrogen train under the Indian Railways' "Hydrogen for Heritage" initiative.

Technological Analysis

India has made significant technological advancements in green hydrogen through the development of electrolysers powered by renewable energy sources like solar and wind. Indian companies and research institutes are working on improving the efficiency and reducing the cost of green hydrogen production. The government is supporting innovation, infrastructure, and public-private partnerships.

In January 2025, India announced its first green hydrogen hub in Andhra Pradesh, backed by a US$21.6 billion investment. Led by NTPC Green Energy Ltd., the project will develop 20 GW of renewable energy and produce 1,500 tons per day of green hydrogen and 7,500 TPD of derivatives like green methanol, green urea, and sustainable aviation fuel, mainly for export. The initiative includes India's first dedicated transmission network for green hydrogen.

Competitive Landscape

The major players in the market include Cummins India Limited, ACME Group, Reliance Industries Limited, Adani Group, Indian Oil Corporation Ltd, NTPC Ltd., JSW Group, Linde India Ltd., Siemens Energy, Toshiba India Private Limited and others.

Key Developments

• In January 2024, the state of Maharashtra signed Memorandums of Understanding (MoUs) with seven companies, including NTPC Green Energy Ltd and ReNew eFuels, to create a cumulative 910 kilotonnes per annum (ktpa) of green hydrogen production capacity.
• In June 2022, Adani Group and TotalEnergies formed a partnership to create the world's largest green hydrogen ecosystem. Adani New Industries Ltd plans to invest over US$50 billion in the next decade, with an initial goal of developing 1 million tons of green hydrogen production capacity annually by 2030.

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Target Audience 2024

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