India's Ambitious Green Hydrogen Vision: Unlocking Demand and Export Opportunities
Key Ideas
- India aims to create 5 MMT of green hydrogen capacity by 2030, with an additional 1.1 MMT potential through export opportunities.
- Strategic blending of green hydrogen into industrial processes can generate up to 3 MMT of demand domestically by 2030.
- Leveraging public procurement and focusing on niche sectors can further drive demand, with potential for India to tap into global markets.
- Industry leaders endorse the report, emphasizing the importance of long-term offtake agreements and low-cost finance for successful adoption.
India has set a bold near-term goal of establishing 5 million metric tonnes (MMT) of green hydrogen production capacity by 2030, with additional demand potential from exports. A joint report by Bain & Company, CII, and RMI emphasizes the need to unlock demand at scale to realize this vision. The report suggests blending green hydrogen into existing industrial processes and strategic sector selection to create domestic demand. Exporting green hydrogen, ammonia, and green steel could also contribute significantly to overall demand. Public procurement of green steel for infrastructure projects is highlighted as a key strategy to ensure long-term demand stability. The report also identifies opportunities in niche sectors like chemicals, glass, and ceramics. With India's strength in renewable energy and competitive production costs, the country is well-positioned to tap into global demand. Industry leaders view the report as a playbook for transitioning India's green hydrogen ambitions into action, emphasizing the importance of long-term agreements and financial optimization for widespread adoption. The report underscores that while supply-side expansion is progressing rapidly, demand-side interventions are crucial to meeting the 2030 targets.
Topics
Asia
Renewable Energy
Energy Transition
Policy Interventions
Global Demand
Export Market
Public Procurement
Green Steel
Industrial Processes
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