National Green Hydrogen Mission (NGHM) – India’s Pathway to a Clean Energy Future
- GS Paper 3: Energy Security, Environment, Climate Change, Technology Missions
- GS Paper 2: Government Policies and Implementation
- Prelims: MNRE Schemes, Hydrogen Classification, SIGHT Programme
- Essay Paper: Green Growth, Clean Energy Transition
Introduction
Hydrogen, the lightest and most abundant element in the universe, is emerging as a cornerstone of the global energy transition. It serves as a versatile energy carrier that can decarbonize sectors traditionally dependent on fossil fuels. Depending on the source and process of production, hydrogen is classified into three main types: Grey, Blue, and Green Hydrogen.
- Grey Hydrogen is produced from natural gas through steam methane reforming (SMR), releasing significant carbon dioxide (CO₂) into the atmosphere.
- Blue Hydrogen uses the same process as grey but includes carbon capture, utilization, and storage (CCUS) technologies to reduce emissions.
- Green Hydrogen, the cleanest form, is produced through electrolysis of water using electricity derived from renewable sources such as solar and wind, emitting zero greenhouse gases.
In the context of climate change and energy security, Green Hydrogen is seen as a game-changer for India’s long-term sustainability goals. Recognizing its transformative potential, the Government of India launched the National Green Hydrogen Mission (NGHM) in January 2023, under the Ministry of New and Renewable Energy (MNRE). The mission is a key initiative in India’s journey toward achieving Net Zero emissions by 2070, as announced at COP26 in Glasgow.
Objectives of the Mission
The National Green Hydrogen Mission aims to make India a global hub for the production, utilization, and export of Green Hydrogen and its derivatives such as ammonia and methanol. The mission has multiple interlinked objectives:
- Energy Transition and Decarbonization:
Facilitate deep decarbonization of hard-to-abate sectors such as steel, cement, fertilizers, and oil refineries, which account for a large share of India’s industrial emissions. - Reducing Fossil Fuel Dependence:
Lower India’s dependence on imported crude oil and natural gas, improving energy security and balance of payments. - Export Leadership:
Position India as a major exporter of green hydrogen and green ammonia, particularly to markets like Europe, Japan, and South Korea, where demand for clean fuels is increasing. - Economic and Employment Growth:
Stimulate investment, innovation, and job creation in the renewable and manufacturing sectors. - Climate Commitments:
Contribute directly to India’s Nationally Determined Contributions (NDCs) and its long-term commitment to Net Zero by 2070.
Key Features of the National Green Hydrogen Mission
With an outlay of ₹19,744 crore till FY 2029–30, the mission provides a comprehensive roadmap for both production and utilization of green hydrogen.
1. Strategic Interventions for Green Hydrogen Transition (SIGHT) Programme
- The SIGHT programme is the financial backbone of NGHM.
- It provides incentives for domestic manufacturing of electrolysers and production of green hydrogen.
- The aim is to reduce costs, boost technological competitiveness, and create a robust green hydrogen ecosystem.
2. Pilot Projects
- Pilot projects are planned in refineries, steel, and mobility sectors to demonstrate green hydrogen applications.
- Special focus areas include hydrogen-based heavy vehicles, shipping, and fertilizer plants.
3. Research & Development (R&D) and Skill Development
- The mission allocates funds for cutting-edge research in electrolyser efficiency, hydrogen storage, and fuel cell technology.
- It also promotes capacity building and training programmes for technicians and engineers in the hydrogen value chain.
4. Public–Private Partnership (PPP)
- Encourages private sector participation through co-investment models, foreign direct investment (FDI), and collaborative research platforms.
5. Green Hydrogen Hubs
- Development of Green Hydrogen and Green Ammonia Hubs near ports and industrial clusters to optimize production and export logistics.
- States like Gujarat, Tamil Nadu, and Odisha are emerging as potential hubs due to proximity to renewable energy sources and coastal access.
Implementation Framework
The Ministry of New and Renewable Energy (MNRE) is the nodal agency responsible for implementing the mission. It coordinates with multiple stakeholders, including:
- Hydrogen Energy Mission Cell: For monitoring progress and ensuring inter-ministerial coordination.
- State Governments: For infrastructure development and policy alignment with state renewable missions.
- Private Sector & Research Institutions: For innovation, pilot projects, and technology adaptation.
- Public Sector Undertakings (PSUs): Such as NTPC, IOCL, and ONGC, which are setting up large-scale hydrogen production plants.
The implementation follows a phased approach — initial focus on domestic demand creation, followed by scaling up production for export-oriented growth.
Expected Benefits
- Production Capacity:
Achieve 5 million metric tonnes (MMT) of green hydrogen production annually by 2030. - Emission Reduction:
Expected to reduce CO₂ emissions by nearly 50 million tonnes per year, contributing substantially to India’s climate goals. - Employment Generation:
Create an estimated 6 lakh direct and indirect jobs, particularly in renewable energy, manufacturing, and logistics. - Investment Potential:
Attract investments exceeding ₹8 lakh crore across production, infrastructure, and research sectors. - Energy Security and Export Competitiveness:
Lower dependence on imported fossil fuels and make India a net exporter of clean energy.
Challenges and Concerns
Despite its promise, the green hydrogen sector faces multiple challenges:
- High Cost of Electrolysis:
The cost of green hydrogen remains higher than grey hydrogen due to expensive electrolysers and intermittent renewable energy supply. - Water Requirement:
Electrolysis requires significant pure water, which may pose challenges in water-scarce regions. - Storage and Transport:
Hydrogen’s low volumetric energy density makes storage and transport technically complex and expensive. - Infrastructure and Safety:
Need for robust pipelines, refuelling stations, and safety standards to prevent leakage and ensure public confidence. - Global Competition:
Countries like Australia, Japan, and the EU are advancing rapidly, requiring India to scale up innovation and competitiveness.
Global Context
Globally, several nations have initiated hydrogen roadmaps:
- European Union (EU): Green Hydrogen Strategy (2020) aims for 40 GW of electrolyser capacity by 2030.
- Japan: Hydrogen Energy Roadmap targets carbon neutrality by 2050 through hydrogen fuel cells.
- USA: Infrastructure Investment and Jobs Act (2021) allocates $8 billion for regional hydrogen hubs.
- Australia: Developing large-scale green hydrogen export infrastructure powered by solar energy.
India’s NGHM positions it as a key player in the global green hydrogen ecosystem. Through initiatives like the International Solar Alliance (ISA) and emerging hydrogen diplomacy, India aims to export hydrogen to Europe and East Asia, leveraging its renewable energy potential and strategic location.
Way Forward
To realize the vision of a hydrogen-powered economy, India must focus on:
- Indigenous Technology Development:
Invest in R&D for low-cost electrolysers and advanced fuel cell technologies under “Make in India.” - Integration with Renewables:
Synergize hydrogen production with solar and wind energy projects for round-the-clock clean energy. - Infrastructure and Safety:
Establish hydrogen refuelling corridors, pipelines, and national safety standards. - Skill Development and Capacity Building:
Create a specialized workforce for hydrogen manufacturing, logistics, and maintenance. - International Collaboration:
Strengthen partnerships under platforms like the G20 Energy Transition Working Group and ISA Green Hydrogen Innovation Centre. - Policy and Regulatory Framework:
Develop transparent pricing mechanisms, certification systems, and environmental norms to ensure sustainability and investor confidence.
Conclusion
The National Green Hydrogen Mission marks a historic step in India’s transition toward a low-carbon, energy-secure future. It symbolizes the country’s determination to lead the global shift from fossil fuels to renewables through innovation, investment, and international cooperation.
As India advances toward its Net Zero 2070 goal, green hydrogen will play a pivotal role in transforming industrial systems, ensuring energy independence, and strengthening environmental resilience. The mission embodies the vision of a “Hydrogen-Powered Clean Economy” — whe re technology, sustainability, and self-reliance converge to build a greener and more prosperous nation.
FAQs on National Green Hydrogen Mission (NGHM)
Q1. What is the National Green Hydrogen Mission?
The National Green Hydrogen Mission (NGHM) is an initiative launched by the Government of India in January 2023 to promote the production, utilization, and export of green hydrogen as part of the country’s clean energy transition strategy.
Q2. Which ministry is responsible for implementing the NGHM?
The Ministry of New and Renewable Energy (MNRE) is the nodal ministry responsible for implementing and monitoring the National Green Hydrogen Mission.
Q3. What is Green Hydrogen and how is it different from Grey and Blue Hydrogen?
- Grey Hydrogen is produced using fossil fuels such as natural gas, emitting carbon dioxide.
- Blue Hydrogen also uses fossil fuels but employs carbon capture and storage (CCS) to reduce emissions.
- Green Hydrogen is generated using renewable energy sources like solar and wind, making it completely clean and sustainable.
Q4. What is the total financial outlay for the NGHM?
The total outlay for the National Green Hydrogen Mission is ₹19,744 crore till FY 2029–30.
Q5. What is the target of Green Hydrogen production under the mission?
India aims to produce 5 million metric tonnes (MMT) of green hydrogen per year by 2030.
Q6. What are the expected benefits of the National Green Hydrogen Mission?
The mission is expected to reduce CO₂ emissions by 50 million tonnes annually, generate around 6 lakh jobs, attract ₹8 lakh crore in investments, and enhance India’s energy independence.
Q7. What are the major challenges in implementing the NGHM?
High costs of electrolysers, water requirements, lack of hydrogen storage and transport infrastructure, and global competition are the main challenges.
Q8. How does NGHM align with India’s Net Zero target?
The mission supports India’s Net Zero by 2070 goal by decarbonizing sectors like steel, fertilizers, and transport, while promoting renewable energy-based hydrogen production.
Q9. How does India’s hydrogen policy compare globally?
India’s mission aligns with similar initiatives by the EU, Japan, USA, and Australia, positioning the country as a key player in the emerging global hydrogen economy.
Q10. What is the role of the SIGHT Programme in NGHM?
The Strategic Interventions for Green Hydrogen Transition (SIGHT) Programme provides financial incentives for domestic manufacturing of electrolysers and production of green hydrogen to accelerate adoption.
