-IH2A proposes 10% HPO for existing Refinery, Ammonia Plants; 100% HPO for new plants by 2030-

-HPOs for 47 Refinery, Ammonia Plants can create 1.5 MT hydrogen demand by 2030, NGHM domestic target-

-NGHM 2030 targets, USD 80 bn hydrogen investments at risk without HPOs, Demand Side Support-

Mumbai/Delhi, May 8, 2025 – India Hydrogen Alliance (“IH2A”) has made a formal submission to the Government of India proposing Hydrogen Purchase Obligations (HPOs) and Demand Side support for Refineries and Ammonia Plants, 10% HPO for existing plants and 100% HPO for new plants by 2030, to achieve the NGHM 2030 target of 1.5 MT green hydrogen for domestic use in India. IH2A has submitted that without HPOs and adequate offtake and demand creation, NGHM 2030 targets and combined hydrogen-related investments worth USD 80 bn are at risk.

India’s installed electrolyser base is currently <40 MW producing 10,600 MTPA of green hydrogen, which accounts for <1% of NGHM 2030 target of 1.5 MMT for domestic consumption. IH2A has, in its submission to the Government of India, stated that HPOs are critical for meeting NGHM 2030 targets and protecting the public announced hydrogen-related investments in excess of USD 80 bn in India. According to IH2A, without HPOs and Demand Support, planned hydrogen plants and supply projects risk becoming stranded assets.

IH2A has proposed HPOs to replace current grey hydrogen industrial offtake with green hydrogen, as feedstock in Refinery and Ammonia sectors, across 47 existing and proposed plants in India. The IH2A proposed HPOs are divided into the following:

1.Aggregated Industrial hydrogen Offtake in 39 Existing Domestic Projects, across 17 Refineries and 22 Ammonia plants, through a 10% HPO to meet 45% NGHM target by 2030 (672,000 MT).

2.Accelerated Industrial hydrogen Offtake in 8 New Build / Expansion projects across 5 Refinery & 3 Fertilizers plants, through 100% HPOs to meet 55% NGHM target by 2030 (849,000 MT)

Amrit Singh Deo, IH2A Secretariat lead, said, “The Government should consider mandatory Hydrogen Purchase Obligations (HPOs) to induce industrial domestic hydrogen offtake in Refineries and Ammonia sectors to meet NGHM 2030 targets. Mandated HPOs can replicate the success of RPOs from the Renewable Energy sector . Without HPOs and demand support, the combined announced USD 80 bn hydrogen related investments are at risk. Refineries and Fertilizers should have a Common Hydrogen Use and Demand Roadmap to aggregate demand and procure green hydrogen volumes of at least 10% till 2030. Once HPOs are introduced, India can look at the Japan Contract-for-Difference (CfD) framework to part-fund the green hydrogen transition by Refinery and Ammonia sector by 2030, and reduce carbon emissions in these two hard-to-abate sectors.”

IH2A estimates that an additional budget allocation for a USD 2 bn CfD framework, for refineries and fertilizers, can support the transition of all existing refinery and fertilizer plants to 10% HPO offtake and all new plants to 100% HPO offtake by 2030.

India Hydrogen Alliance (IH2A)'s analysis shows a 10% Hydrogen Purchase Obligations (HPOs) for 39 existing sites, 17 refineries and 22 ammonia plants would contribute 672,000 tonnes, or 45% of India’s 2030 green hydrogen target. For new or expanded plants, IH2A recommends the government a 100% HPO to deliver the remaining 849,000 tonnes.

Day 2 of the PtX Green Shipping training began with a presentation by Ms. Kerban Billimoria Rajdeo, India Hydrogen Alliance (IH2A).

Ms. Rajdeo highlighted that the India Hydrogen Alliance (IH2A) collaborates extensively with the private sector and has strongly advocated for the creation of #GreenHydrogenHubs (each hub encouraged to integrate multiple sectors for optimal hydrogen usage) for supporting the ecosystem since 2022.

She shared key takeaways from the whitepaper published by IH2A last year, titled “Hydrogen Derivatives and Low Carbon Fuel Assessment 2025–30.” She also made a case for adopting low-carbon maritime fuels for coastal shipping in #India.

An insightful panel discussion on "New and Emerging Areas in Clean Energy" at the India Infrastructure Forum 2025.

“Compressed biogas has received significant policy focus lately. SATAT scheme has been a big growth driver in this respect, where oil marketing companies are now offtaking CBG. Blending of CBG in CNG is also encouraging growth. However, challenges still exist in terms of technology risks, feedstock uncertainty and financing.” - Nayantara Nag, Partner, Trilegal

“There is no single silver bullet to achieve clean energy transition. We need a mixture of various clean energy resources to reach our net zero targets. Certain sectors need to be identified as priorities for decarbonisation. Climate finance taxonomy, is thus, going to be a key priority for the clean energy sector now.” - Sourabh Mukherjee, Executive Vice-President - Clean Energy and Sustainability, Tata Projects

“Bulk of grey hydrogen is currently going towards fertilisers and refineries. India has a target of 5 MMT of annual green hydrogen production by 2030, which looks quite challenging, considering very few projects are under construction and under FID stage. Demand side measures are required to encourage the development of a domestic market.” - Prasanto Kumar Roy, India Hydrogen Alliance and MD, FTI Consulting

Green Hydrogen's Moment of Truth?

India uses over 7 million tonnes of hydrogen a year, almost all of it from fossil-fuel sources. Green hydrogen is a fraction of one percent of that total, over two years into the National Green Hydrogen Mission, making the Mission's FY30 target of 5MMT of green hydrogen very challenging. The right policy intervention can change this, said India Hydrogen Alliance (IH2A)'s Prasanto Kumar Roy in his opening keynote at the Conference on Green Hydrogen in India on April 22 in New Delhi.

A mere 1-2% GH2 mandate for the Petroleum and Fertilizer sectors would move the needle immediately, and a 5% mandate could transform India's decarbonization journey.

Hydrogen Purchase Obligations (HPOs) could do to the green hydrogen economy what RPOs did for the solar industry, and help unlock the $4–5 billion in funding on the table from multilaterals like European Investment Bank (EIB) and The World Bank, to support the growth of India’s green hydrogen sector.

India Hydrogen Alliance (IH2A) welcomes Upendra Tripathy as Honorary Global Advisor to accelerate India’s green hydrogen transition.

With over four decades of leadership in renewable energy policy and implementation, Mr Tripathy brings unparalleled expertise to advance India’s green hydrogen ecosystem, focusing on demand creation and large-scale commercialization.

We look forward to working with him to drive innovation, collaboration, and sustainable growth in India’s clean energy future.

Former DG ISA and former Secretary of Ministry of New and Renewable Energy (MNRE) to support industry on hydrogen demand creation, hydrogen price discovery and learnings from National Solar Mission

NEW DELHI/ MUMBAI, April 22, 2025: India Hydrogen Alliance (“IH2A”) today announced that Shri Upendra Tripathy, former Director General of International Solar Alliance (ISA) and former Secretary of Ministry of New and Renewable Energy (MNRE), has joined India Hydrogen Alliance as Honorary Global Advisor. Shri Upendra Tripathy will be advising the industry and all hydrogen stakeholders on demand aggregation, hydrogen price discovery and support to replicate the success of the National Solar Mission in the hydrogen eco-system in India.

Shri Upendra Tripathy, a recipient of Indian Prime Minister’s Award for Excellence in Public Administration, was the former and Founding Director General of International Solar Alliance. Prior to that, he was Secretary to the Government of India in the Ministry of New and Renewable Energy (2014-2016) where he helped articulate the national Renewable Energy (RE) target of 175 GW RE by 2022, and headed the Solar Energy Corporation of India (SECI) as Chairperson, in an ex-officio capacity, helping transformed SECI from a loss making undertaking to a surplus generating PSU. He was also been the Chairperson of National Institute of Solar Energy, National Institute of Wind Energy, National Institute of Bio Energy and Association of Renewable Energy Agencies of States (AREAS), and coordinated implementation of India's Green Energy Corridor. He is an Adjunct Professor at NIAS (National Institute of Advanced Studies).

Shri Upendra Tripathy is volunteering his over 42 years of policy making and implementation experience, as Honorary Advisor for IH2A towards helping build the green hydrogen economy in India, working with industry operating across the hydrogen value chain, multilateral agencies, think tanks, technical agencies and state government agencies.

Shri Upendra Tripathy, Honorary Global Advisor to IH2A and former Director General, International Solar Alliance (ISA), said, “I am looking forward to working as honorary global advisor to the industry to commercialize green hydrogen by replicating the learnings from the National Solar Mission. India’s green hydrogen mission is a unique opportunity. The national ambitions of 5 MTPA green hydrogen by 2030, 125GW of Renewable Energy for Green Hydrogen, over INR 800,000 crores investments announced, potential to create 600,000 new hydrogen economy jobs and 50 MTPA of carbon abatement, that is expected in the next 5-6 years is a sign of the transformation that the hydrogen transition is expected to achieve. For India, this is well begun and half done.”

Amrit Singh Deo, IH2A Secretariat lead, said, “We are honoured to have Shri Upendra Tripathy onboard as Honorary Global Advisor and will work closely to ensure India is able to replicate the success of the National Solar Mission in Green Hydrogen. We have started to see early captive industrial green hydrogen projects being commissioned in India. This is real progress from a project development standpoint. We are confident that India will see having more green hydrogen projects move to Financial Investment Decision (FID) stage and look forward to working closely with Shri Upendra Tripathy to enable this.”

About India H2 Alliance (IH2A)
The India H2 Alliance is an industry coalition of global and Indian companies committed to the creation of a hydrogen value-chain and economy in India. IH2A collaborates with private sector partners, the government and the public to ensure that costs of hydrogen production are brought down, a local supply chain for hydrogen and related applications grows and India is able to achieve its net-zero carbon ambitions by developing a hydrogen economy that complements its national renewable energy and EV/battery-technology plans. More information on IH2A and its activities, is available at www.IH2A.com.

India Hydrogen Alliance (IH2A) shared insights on developing green hydrogen and ammonia hubs in India, with coastal shipping driving methanol & ammonia adoption at the Green Shipping Business Roundtable in Mumbai organized by Indo-German Chamber of Commerce. The event saw the participation of large shipping companies, funding organizations, Embassy of Denmark in India, TERI - The Energy and Resources Institute, among others.

India Hydrogen Alliance (IH2A) was glad to partner for hashtag#IndiaEnergyWeek2025 organized by Ministry of Petroleum and Natural Gas Govt of India. The conclave highlighted India's strong momentum toward energy transition, showcasing an impressive mix and key focus on green hydrogen.

New Delhi / Mumbai, January 22 2025: The India Hydrogen Alliance (IH2A), an industry coalition of global and Indian companies committed to the creation of a green hydrogen economy in India, has submitted recommendation to the Government of India to increase budgetary support for the National Green Hydrogen Mission (NGHM), with an additional USD 2.5 bn allocation in addition to the USD 2.3 bn already allocated to NGHM. The IH2A recommendation is for additional funds for supporting demand side incentives, capital expenditures for building hydrogen infrastructure and hydrogen hub development.

The IH2A submission to the Government of India highlight industry concerns about slow project
development and the lack of offtake agreement for green hydrogen. To address these concerns, IH2A has
recommended the following:

1. Demand Side Incentives to offtake entities in end-use industrial sectors, specifically in Refineries, Fertilizer, Steel, Chemicals and Heavy-Duty Transport sector.
2. Capex subsidies to project developers building shared Hydrogen Infrastructure at Hydrogen Hubs across India.
3. Establishment of Green Hydrogen Development Corporations (GHDCs), to support large-scale green hydrogen project development in the states, and help build Green Hydrogen Hub Development with Shared Hydrogen Infrastructure.
4. The public finance and funding support for development of five more National Hydrogen Hubs incollaboration with state government and project developers (both private and state owned).

Commenting on the IH2A recommendation on increasing budgetary support for the National Green Hydrogen Mission, Amrit Singh Deo, Secretariat Lead, IH2A, said, “Potential green hydrogen offtake entities are holding back on committing to long-term offtake due to high price of Green Hydrogen. We are proposing increasing the budgetary allocation for NGHM by an additional USD 2.5 bn. This increased funding should help provide offtake-linked demand side incentives to industrial entities in the refinery, fertilizer, steel and chemical sectors, as well as in heavy duty transport sectors. This is expected to increase development of more green hydrogen projects and ensure India meets its Green Hydrogen ambitions and 2030 targets. The recommendations made by IH2A are intended to support growth and development of India’s green hydrogen economy.”

About India H2 Alliance (IH2A)
The India H2 Alliance is an industry coalition of global and Indian companies committed to the creation of a hydrogen value-chain and economy in India. IH2A collaborates with private sector partners, the government and the public to ensure that costs of hydrogen production are brought down, a local supply chain for hydrogen and related applications grows and India is able to achieve its net-zero carbon ambitions by developing a hydrogen economy that complements its national renewable energy and EV/battery-technology plans. More information on IH2A and its activities, is available at www.IH2A.com.

IH2A SUBMISSION TO MINISTRY OF FINANCE, GOVERNMENT OF INDIA INCREASING BUDGETARY ALLOCATION FOR NGHM, TOWARDS DEMAND-SIDE INCENTIVES & CAPEX SUPPORT FOR HYDROGEN INFRASTRUCTURE IN H2 HUBS, IN UNION BUDGET FOR 2025-26.

The India Hydrogen Alliance (IH2A) on behalf of the industry, members and partners, would like to request for increasing budgetary allocation to the National Green Hydrogen Mission (NGHM), with an additional allocation of USD 2.5 bn for demand side incentives and Hydrogen Hub development.

BACKGROUND
India needs combined investments of USD 25 bn+, from public and private sectors, to create a domestic hydrogen supply chain with installed electrolyser capacity of 25 GW producing 5 MT of Green Hydrogen by 2030. Coordinated public-private actions are required for developing large-scale commercial hydrogen projects – matching supply with guaranteed long-term offtake. Most announced green hydrogen projects have not been able to reach Final Investment Decision (FID) stage due to lack of offtake agreements, slowing project development. The National Green Hydrogen Mission (NGHM) initial allocation of USD 2.3 bn and SIGHT Schemes (Mode 1, 2A and 2B) has focused primarily on supply side incentives to promote green hydrogen and electrolyser production.

INDUSTRY CONCERNS
There is a concern amongst industry players and green hydrogen project developers that India’s Green Hydrogen ambitions and 2030 targets are likely to be missed, without:

a) Demand side incentives similar to those provided as supply-side incentives, provided by the USD 2.3 bn SIGHT Scheme of the NGHM, to support green hydrogen offtake in end-use industries, specifically
in Refineries, Fertilizer, Steel and Chemicals sector. Potential offtake entities are holding back on committing long-term offtake due to the high price of Green Hydrogen and seeking offtake-linked incentives. IH2A has made submissions to the Government of India earlier, making the case for providing public finance support for demand-side incentives @ USD 2/ kg to industrial offtake entities in Refineries, Fertilizer, Steel and Chemical sectors.

b) Public finance support for creation of Shared Hydrogen Infrastructure at Green Hydrogen Hubs, in the form of CAPEX subsidies. Creation of shared hydrogen infrastructure is critical for large scale Green Hydrogen Hub Development and to attract project developers to build Green Hydrogen Hubs.

INDUSTRY SUBMISSION TO THE GOVERNMENT OF INDIA
IH2A, on behalf of its industry members, would like to make the following submissions to the Ministry of New and Renewable Energy (MNRE) and the Ministry of Finance, Government of India:

1. Ministry of Finance (MoF) and Ministry of New and Renewable Energy (MNRE), Govt of India,
should consider increasing budgetary support for National Green Hydrogen Mission (NGHM)
in Union Budget 2025-26, and allocate an additional USD 2.5 bn to the NGHM towards:

a. Demand Side Incentives to offtake entities in end-use industrial sectors, specifically in Refineries, Fertilizer, Steel, Chemicals and Heavy-Duty Transport sector; and

b. CAPEX subsidies to project developers building Shared Hydrogen Infrastructure in Hydrogen Hubs in India.

2. Support creation of Green Hydrogen Development Corporations (GHDCs), to support large
scale green hydrogen project development in the states, and help build Green Hydrogen Hub
Development with Shared Hydrogen Infrastructure.

3. Public finance and funding support for an additional Five National Hydrogen Hubs (beyond the
two Hydrogen Hubs planned under the existing NGHM plan), together with state government
and project developers (both private and state-owned).