In 2025, India’s National Green Hydrogen Mission (NGHM) is emerging as a global game-changer, positioning the country as a leader in sustainable energy. Launched in 2023 with ₹19,744 crore, the mission aims to produce 5 million metric tonnes (MMT) of green hydrogen annually by 2030, leveraging abundant solar and wind resources. With Reliance Industries’ 500 MW electrolyser plant in Gujarat (March 2025) and NTPC’s green hydrogen pilot in Andhra Pradesh (April 2025), India is accelerating toward its net-zero 2070 goal. On X, #GreenHydrogenIndia trends as @MNRE_India and @H2India hail its potential to create 10 lakh jobs and $50B in exports by 2035. Insights Collider dives into this transformative mission, exploring its impact on energy, economy, and sustainability.
What Is Green Hydrogen?
Green hydrogen is produced by splitting water (H₂O) into hydrogen and oxygen using renewable energy (e.g., solar, wind) via electrolysis. Unlike grey hydrogen, which relies on fossil fuels, green hydrogen emits no carbon, making it a clean fuel for industries, transport, and power. India’s NGHM, approved in January 2023, targets:
- Production: 5 MMT annually by 2030, covering 10% of global demand.
- Investment: ₹8 lakh crore by 2030, with ₹19,744 crore initial funding.
- Applications: Fertilizers, steel, heavy transport, and power grids.
- Carbon Reduction: 50 MMT CO₂ annually, per MNRE.
@H2India tweets, “Green hydrogen is India’s path to energy independence!” (April 2025).
“Green hydrogen could cut India’s oil import bill by ₹12 lakh crore yearly.” — NITI Aayog
Key Developments in 2025
The NGHM is hitting major milestones in 2025, fueled by Budget 2025–26’s ₹5,000 crore allocation:
- Reliance’s Electrolyser Plant: Launched March 2025 in Jamnagar, Gujarat, this 500 MW facility produces 50,000 tonnes of green hydrogen yearly, powering refineries and exports.
- NTPC’s Pilot Project: April 2025 saw India’s first green hydrogen blending pilot in Andhra Pradesh, mixing 5% hydrogen with natural gas for power generation.
- Green Hydrogen Hubs: 10 hubs (e.g., Odisha, Tamil Nadu) are operational, integrating solar/wind farms with electrolysers, per IREDA.
- Policy Support: Budget 2025 offers 100% tax exemptions for green hydrogen startups and ₹1,000 crore for R&D.
- Global Partnerships: MoUs with Germany and Japan (February 2025) for technology transfer and $10B in FDI.
Web sources (Economic Times, April 2025) report 25 green hydrogen projects underway, with Adani Group planning a 1 MMT plant by 2027.
Impact on Small Businesses and Communities
The NGHM is a boon for small businesses and rural economies:
Job Creation
The mission is projected to create 10 lakh jobs by 2030, including:
- Direct Jobs: 3 lakh in manufacturing (electrolyser assembly, solar panel production).
- Indirect Jobs: 7 lakh in logistics, maintenance, and green fuel stations.
- Rural Impact: 2 lakh jobs in tier-2/3 cities like Bhubaneswar, where green hydrogen hubs are located.
A Vadodara small business owner told PIB,
“Our welding shop now supplies parts for electrolyser plants, tripling our revenue.”
Economic Benefits
Small businesses gain from:
- Cost Savings: Green hydrogen-powered transport cuts fuel costs by 20% for logistics firms.
- Export Opportunities: MSMEs can supply components for hydrogen plants, targeting $50B in exports by 2035.
- Government Support: ₹500 crore MSME fund for green hydrogen adoption, offering subsidies for solar-powered electrolysers.
Sustainability
Small businesses in agriculture and textiles benefit from:
- Green Fertilizers: Hydrogen-based ammonia reduces fertilizer costs by 15%, aiding 1 crore farmers.
- Decarbonization: Textile units in Surat adopt hydrogen boilers, cutting emissions by 30%.
@MNRE_India notes, “Green hydrogen empowers rural MSMEs to go green!” (April 2025).
Challenges and Solutions
Despite progress, the NGHM faces hurdles:
Challenge | Solution |
---|---|
High Production Cost ($3–4/kg vs. $1–2/kg for grey hydrogen) | ₹1,000 crore R&D fund to develop low-cost electrolysers; solar cost reduction to ₹1.5/kWh. |
Limited Infrastructure | 10 green hydrogen hubs by 2025; ₹2,000 crore for pipelines and refueling stations. |
Skilled Workforce Gap | Skill India’s green hydrogen training for 5 lakh workers by 2027, launched March 2025. |
Water Scarcity for Electrolysis | Coastal plants (e.g., Tamil Nadu) use desalinated seawater; ₹500 crore for water-efficient tech. |
Global Context
India’s NGHM positions it ahead of peers:
- China: Leads with 7 MMT capacity but relies on coal-based hydrogen.
- EU: Targets 6 MMT by 2030, but high costs ($5/kg) lag India’s $2–3/kg goal.
- Australia: Focuses on exports but lacks India’s domestic market scale.
India’s 600 GW renewable capacity (solar, wind) by 2030 gives it a cost advantage, per IRENA.
How Small Businesses Can Engage
Small businesses can tap the NGHM with these steps:
- Access Subsidies: Apply for MSME green hydrogen grants at MSME.gov.in (deadline: December 2025).
- Join Training: Enroll in Skill India’s free green hydrogen courses at skillindia.gov.in for manufacturing or maintenance skills.
- Supply Components: Partner with firms like Reliance or Adani to supply electrolyser parts via Udyam Portal.
- Adopt Green Fuel: Use hydrogen-powered vehicles for logistics, subsidized by NGHM’s ₹1,000 crore fund.
- Network on X: Follow @MNRE_India, @H2India, and use #GreenHydrogenIndia to connect with innovators.
A Coimbatore MSME owner shared on X, “NGHM subsidies helped us switch to hydrogen trucks, saving 25% on fuel!” (@GreenMSME, April 2025).
Future Outlook
By 2030, India aims to export 1 MMT of green hydrogen, capturing 20% of the global market. With 50% of steel and fertilizer industries adopting green hydrogen, emissions could drop by 100 MMT CO₂ annually. The mission’s success hinges on scaling infrastructure and reducing costs to $1/kg by 2035, per NITI Aayog. For small businesses, NGHM opens doors to innovation, jobs, and sustainability, aligning with India’s net-zero 2070 vision.
Join India’s Green Revolution
India’s Green Hydrogen Mission is redefining energy in 2025, empowering small businesses and communities. Explore opportunities at MNRE.gov.in, follow @MNRE_India for updates, and read more at Insights Collider. Share your thoughts on X with #GreenHydrogenIndia!