India Green Hydrogen Market Size, Share, Trends and Forecast by Technology, Application, Distribution Channel, and Region, 2025-2033

India Green Hydrogen Market Size and Share:

The India green hydrogen market size reached USD 1,400.00 Million in 2024. The market is expected to reach USD 25,337.97 Million by 2033, exhibiting a growth rate (CAGR) of 39.50% during 2025-2033. The market growth is attributed to government mandates, renewable energy targets, incentives for green hydrogen production, declining electrolysis costs, rising demand in refineries and fertilizer units, push for energy security, increasing investments, pilot projects in mobility, industrial decarbonization efforts, and export potential.

Market Insights:

• Based on region, the market is segmented into North India, South India, East India, and West India.
• On the basis of technology, the market is divided into proton exchange membrane electrolyzer, alkaline electrolyzer, and others.
• Based on the application, the market is segmented into power generation, transport, and others.
• On the basis of the distribution channel, the market is categorized as pipeline and cargo.

Market Size and Forecast:

• 2024 Market Size: USD 1,400.00 Million 
• 2033 Projected Market Size: USD 25,337.97 Million 
• CAGR (2025-2033): 39.50% 

India Green Hydrogen Market Trends:

Government Initiatives and Policy Support

India's green hydrogen economy is witnessing rapid growth, driven primarily by aggressive government moves and strong policy support. The Government of India has been aware of the potential of green hydrogen as a clean fuel and is taking various steps toward its promotion. One such pillar initiative is the National Green Hydrogen Mission, with the objective of making India a green hydrogen production and export hub for the world. This mission provides strategies for building a green hydrogen ecosystem, such as setting up production plants, demand creation in industries, and research and development support. The mission also highlights the need for public-private partnerships to promote innovation and investment in the industry. Along with the National Green Hydrogen Mission, the government has also launched a number of policy incentives to boost the India green hydrogen market growth. These are production-linked incentives (PLIs) for the manufacturers of electrolyzers—the equipment employed to produce hydrogen from renewable energy. By reducing the cost of electrolyzers, these incentives aim to render green hydrogen production more economically viable. Further, the government is looking for instruments such as carbon credits and renewable purchase obligations to enable a facilitating market environment for green hydrogen. These combined efforts are likely to drive substantial growth in the industry for green hydrogen. Predictions indicate India's green hydrogen sector may expand to USD 8 billion by 2030 and USD 340 billion by 2050, suggesting the enormous impact of government efforts and policies.

Renewable Energy Potential and Infrastructure Development

India's extensive renewable energy sources and current infrastructure development are the key drivers for the green hydrogen industry. India has extensive solar and wind energy resources that can be used to generate green hydrogen via electrolysis. In this process, renewable electricity is used to decompose water into hydrogen and oxygen, with no carbon emissions released. Indian authorities have aimed at increasing the capacity of renewable energy to 450 GW by the year 2030. By expanding this capacity, India is not only opening up a renewable energy source to the country but also providing a base for large-scale production of green hydrogen. When renewable energy projects are combined with the production of green hydrogen, India has the capability of growing energy security and diminishing dependence on fossil fuels. Infrastructure development is also augmenting the India green hydrogen market share. Investments are being made in developing hydrogen production facilities, storage solutions, and distribution networks. For example, industrial giants are making investments in the development of projects to generate green hydrogen for consumption in industries like transportation and steel production. Such developments are important to establish a strong supply chain and ensure the effective delivery of green hydrogen to end users. The development of infrastructure also significantly contributes to the expansion of the green hydrogen market. Investments are being implemented in the development of hydrogen production, storage solutions, and distribution networks. For example, industrial giants have been invested in developing projects to create green hydrogen for consumption in industries such as the transport and production of steel. These developments are important to establish a high supply chain and ensure effective delivery of green hydrogen to end users.

Technological Advancements and the Prevalence of Alkaline Electrolyzers

India's green hydrogen landscape is witnessing notable technological developments, with alkaline electrolyzers currently dominating the market due to their relatively low capital costs and operational simplicity. These electrolyzers are especially suitable for large-scale applications and are extensively used in ongoing pilot and demonstration projects across the country. Despite the availability of more efficient alternatives such as Proton Exchange Membrane (PEM) and Solid Oxide Electrolyzers, their adoption remains limited owing to high costs and material constraints. Apart from this, robust research and development (R&D) initiatives are underway to enhance electrolyzer performance, reduce critical raw material dependency, and develop indigenous manufacturing capabilities. This, in turn, is positively impacting the India green hydrogen market outlook. Besides, several Indian public and private sector entities are collaborating with global technology partners to improve system integration and optimize hydrogen production efficiency. Also, focus is being directed toward hybrid renewable energy systems, water-efficient electrolysis technologies, and scalable storage solutions, aimed at ensuring cost competitiveness and operational viability of green hydrogen at commercial levels over the long term.

Policy Support Through the National Green Hydrogen Mission

The Indian government has taken significant steps to catalyze the green hydrogen economy through the launch of National Hydrogen Mission in 2021. For instance, the Government of India launched the first phase of its Green Hydrogen Policy in February 2022, aimed at scaling up domestic production to 5 million tonnes per annum by 2030. The first phase of this policy focuses on scaling domestic production capacity and stimulating end-use applications in hard-to-abate sectors such as refining, steel, and fertilizers. One of the key incentives includes the waiver of interstate transmission charges for renewable power used in green hydrogen production for 25 years for projects that began before June 2025, making it more economically viable. Additionally, the policy allows banking of renewable energy for up to 30 days and provides priority access to the grid for green hydrogen projects. Financial incentives, such as viability gap funding and production-linked incentives, are being extended to electrolyzer manufacturers and hydrogen producers to support cost reduction and build indigenous capabilities. The policy also mandates the creation of dedicated manufacturing zones and green hydrogen hubs, backed by regulatory clarity and infrastructure development, to promote a stable investment environment.

Challenges in the India Green Hydrogen Market

As per the India green hydrogen market analysis, one of the foremost challenges in the green hydrogen sector in India is the high cost of production, which currently ranges between USD 4.4/kg to USD 4.8/kg, significantly higher than grey hydrogen. This cost disparity is primarily due to expensive electrolyzer systems, limited economies of scale, and the capital-intensive nature of renewable energy infrastructure. Moreover, energy intermittency, especially in solar and wind power generation, hampers the consistent operation of electrolyzers, thereby affecting output efficiency and cost optimization. These challenges are addressed through strategic interventions, including co-located renewable energy and hydrogen facilities, battery storage integration, and smart energy management systems to ensure stable power input. The government is also encouraging localization of electrolyzer production and component supply chains to reduce dependency on imports and lower costs. Additionally, long-term offtake agreements, policy-backed purchase obligations, and public-private partnerships are being explored to ensure financial viability, scalability, and a resilient ecosystem for green hydrogen deployment.

India Green Hydrogen Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the region/country level for 2025-2033. Our report has categorized the market based on technology, application, and distribution channel.

Technology Insights:

• Proton Exchange Membrane Electrolyzer
• Alkaline Electrolyzer
• Others

The report has provided a detailed breakup and analysis of the market based on technology. This includes proton exchange membrane electrolyzer, alkaline electrolyzer, and others.

Application Insights:

• Power Generation
• Transport
• Others

A detailed breakup and analysis of the market based on the application have also been provided in the report. This includes power generation, transport, and others.

Distribution Channel Insights:

• Pipeline
• Cargo

A detailed breakup and analysis of the market based on the distribution channel have also been provided in the report. This includes pipeline and cargo.

Regional Insights:

• North India
• South India
• East India
• West India

The report has also provided a comprehensive analysis of all the major regional markets, which include North India, South India, East India, and West India.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

India Green Hydrogen Market News:

• June 2025: Toyota Kirloskar Motor (TKM) and Ohmium International announced a strategic partnership to co-develop green hydrogen-based microgrid solutions in India. The collaboration combines Toyota's expertise in fuel cell technology with Ohmium's capabilities in modular PEM electrolyzers, aiming to design and evaluate scalable microgrid prototypes. This initiative targets applications such as data centers and remote power systems, aligning with India's National Green Hydrogen Mission and broader clean energy transition goals.
• June 2025: Adani New Industries Limited (ANIL) launched the country’s first 5 MW off-grid green hydrogen pilot facility in Kutch, Gujarat, operating entirely on solar power with integrated battery energy storage. The facility features a fully automated, closed‑loop electrolyzer system that dynamically adapts to real‑time renewable energy inputs, delivering enhanced operational flexibility while ensuring efficiency, safety, and reliability.
• March 2025: Ohmium International is developing several green hydrogen initiatives in India's southern region and growing its manufacturing capacity to 2 GW. The company is partnering with Tata Projects and NTPC Renewable Energy Limited to provide electrolyzers and facilitate large-scale green hydrogen production. These projects are driving India's green hydrogen industry by leading to higher domestic electrolyzer production, developing infrastructure, and spurring industrial adoption.
• April 2025: The Government of India rolled out the Green Hydrogen Certification Scheme of India (GHCI) in April 2025 to create a structured and verifiable system for certifying green hydrogen production. Managed by the Bureau of Energy Efficiency (BEE) and accredited verification agencies, the scheme sets a cap of 2 kg CO₂ equivalent emissions per kilogram of hydrogen (annual average). It applies to multiple production methods, including electrolysis and biomass-based conversion, and provides tiered certification levels. GHCI is designed to support domestic growth of green hydrogen, ensure environmental credibility, and strengthen India’s export potential under the National Green Hydrogen Mission.
• February 2025: Himachal Pradesh inaugurated North India’s first 1 MW green hydrogen facility in Dabhota, Solan district, in February 2025. Jointly developed by Himachal Pradesh Power Corporation Limited (HPPCL) and Oil India Limited, the project stems from an MoU signed in April 2023. Using electrolysis powered by renewable energy, the plant is expected to produce around 423 kg of green hydrogen daily, consuming roughly 13 litres of water per kg. The projected annual output is 154,395 kg. This development aligns with the state’s goal of becoming India’s first green energy state by March 2026 and represents a key milestone in its renewable energy roadmap.
• January 2025: India announced the establishment of its first Green Hydrogen Hub in Andhra Pradesh, a massive USD 21.6 Billion undertaking led by NTPC Green Energy Ltd. Developed in coordination with the state government, the hub will span 1,200 acres near Visakhapatnam and feature 20 GW of renewable energy capacity. It aims to produce 1,500 tonnes of green hydrogen daily, along with 7,500 tonnes of derivative products like green methanol, urea, and sustainable aviation fuel, primarily for export. The hub will be supported by India’s first dedicated transmission network, with completion targeted by 2027.
• January 2025: India and the EU are working together to promote green hydrogen technology through cooperation in investments, policy coordination, and research collaborations. The program aims at the development of a sustainable hydrogen supply chain, with energy security, and lowering the carbon footprint. The collaboration is propelling the green hydrogen sector in India with foreign investments, improved technological skills, and making room for exporting green hydrogen.
• In October 2024, during the 7th Inter-Governmental Consultations in New Delhi, Germany and India formally released the Indo-German Green Hydrogen Roadmap, co-chaired by Chancellor Olaf Scholz and Prime Minister Narendra Modi. The roadmap establishes a five‑year strategic framework to boost private-sector investment, facilitate green hydrogen production, trade, and export, and support decarbonization of hard‑to‑abate sectors like steel, aviation, and heavy-duty transport. A permanent working group under the Indo‑German Energy Forum will replace the existing Task Force to institutionalize dialogue on regulatory frameworks, investment, and technology cooperation in the green hydrogen ecosystem.

India Green Hydrogen Market Report Coverage:

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the India green hydrogen market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the India green hydrogen market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the India green hydrogen industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.