₹80,000 Crore Green Hydrogen Push: Reliance, L&T, AM Green Among Winners

India’s green energy ambitions have taken another big step forward as the government finalizes the winners of the second round of its Strategic Interventions for Green Hydrogen Transition (SIGHT) Scheme. This initiative is a key part of the National Green Hydrogen Mission, which aims to boost domestic hydrogen production and reduce the country’s reliance on fossil fuels.

Nine companies, including Reliance Green Hydrogen, L&T Energy, AM Green Ammonia, and Waaree Clean Energy Solutions, have secured tenders to establish hydrogen production facilities. The Solar Energy Corporation of India (SECI), which manages renewable energy projects, has issued official awards to these firms. A total of 14 companies had placed bids for this phase.

Among the winners, L&T Energy, AM Green Ammonia, Green Infra Renewable Energy Farms, and Waaree Clean Energy Solutions secured the highest allocation of 90,000 metric tonnes per year, while Reliance Green Hydrogen was awarded 49,000 metric tonnes annually. To support this transition, the government has allocated financial incentives worth ₹2,238 crore, with AM Green Ammonia receiving the highest share at ₹513 crore.

The overall goal of this initiative is to establish 450,000 tonnes per year of green hydrogen production capacity in India. Experts estimate that setting up a 100,000-tonne facility requires an investment of ₹18,000-20,000 crore, which means these winning companies are expected to invest ₹80,000 crore in the coming years.

This is just the second phase of the project. In the first round, companies like Greenko, JSW Neo Energy, Reliance Green Hydrogen, and Welspun New Energy were selected to build hydrogen production units. The financial support under this scheme is structured to gradually decrease, with a ₹50 per kg subsidy in the first year, ₹40 per kg in the second, and ₹30 per kg in the last year of production.

The National Green Hydrogen Mission, launched in 2023, has a budget of ₹19,744 crore, with most of the funds allocated to the SIGHT program and pilot projects. The mission aims to reach a production capacity of 5 million tonnes per year by 2030, with 125 GW of renewable energy capacity added to support this transition.

With strong government backing and growing interest from major private players, India is positioning itself as a global leader in green hydrogen. As companies begin setting up their projects, this initiative could revolutionize India's clean energy sector and reduce dependence on fossil fuels over the next decade.