India plans to reach 5 million tons in annual green hydrogen production capacity by 2030. In July, India invited pilot bids under its $2 billion program to incentivize production of green hydrogen and the manufacturing of electrolysers.
The Indian government unveiled the results of two major auctions to support domestic green hydrogen production and manufacturing. The first auction offered subsidies for up to 410,000 tons per year of green hydrogen production, plus a separate pot for 40,000 tons per year of biomass-based hydrogen. The second auction supported up to 1,500MW per year of electrolyser manufacturing capacity, with 300MW ring-fenced for technologies developed in India.
For the green hydrogen production auction, 13 companies submitted bids totaling 551,730 tons per year, massively oversubscribing the 410,000 ton cap.
Major bidders for green hydrogen production subsidies included industrial conglomerate Reliance — led by billionaire Mukesh Ambani — pure-play green hydrogen and ammonia developer, ACME, and Mumbai-based Avaada.
However, only one company, Bharat Petroleum, bid for the biomass-based hydrogen subsidies, seeking support for just 2,000 tons per year out of 40,000 – likely due to uncertainty whether biomass-derived hydrogen will qualify as “green” under India’s definition.
The electrolyser manufacturing auction attracted even greater interest, with 21 bids totaling over 3,400MW against a cap of 1,500MW. Bidders for electrolysers include Waaree Energies Ohmium Operations, Advait Infratech and Acme Cleantech Solutions .
The 300MW ring-fenced capacity for Indian technologies also attracted significant interest with 486.5MW of bids, including Adani seeking the full 300MW. All electrolyser manufacturers have to ensure 50% of annual sales go to buyers in the country.
The strong interest indicates confidence in India’s goal to produce 5 million tons per year of green hydrogen by 2030 to decarbonize sectors such as refining and fertilizers.
However, the lack of bidders for biomass-based hydrogen raises questions whether the focus on Scope 1 emissions in India’s green hydrogen definition could discourage low-carbon alternatives to electrolysis. The results nevertheless mark a milestone in India’s strategy to become a major global green hydrogen hub.