India Achieves Record Green Hydrogen Price of ₹279/kg in Numaligarh Refinery Tender

India has achieved a record green hydrogen price of ₹279 per kilogram (approximately $3.08/kg) through a reverse auction conducted by the Solar Energy Corporation of India in March. The tender secured 10,000 tonnes per year of supply for Numaligarh Refinery Limited in Assam, with the winning bid covering delivery costs to the refinery.

The competitive pricing reflects declining renewable electricity tariffs across India, with solar rates dropping to ₹2 per unit. Electrolyzers powered by solar and wind facilities, combined with battery storage systems, enable round-the-clock operations and improved capacity factors, reducing the per-unit cost of hydrogen production.

India's National Green Hydrogen Mission, launched in January 2023 with ₹197 billion ($2.2 billion) in funding, targets 5 million metric tonnes of annual production by 2030. To date, 18 companies have secured 862,000 tonnes per annum of production capacity. Demand commitments include 20,000 tonnes annually from refineries and 724,000 tonnes from fertilizer plants for green ammonia production.

The mission projects potential benefits including over 600,000 new jobs, ₹8 trillion in private investment, emissions reductions of 50 million tonnes of CO₂ annually, and reduced fossil fuel imports. Industrial sectors including refining, steelmaking, and chemical production are adopting green hydrogen for decarbonization.

Challenges include renewable grid integration, water availability for electrolysis, and regulatory updates to maintain investor confidence.

Originally reported by Hydrogen Fuel News. Read the full article →