India green hydrogen 2026: progress against the 5 MTPA by 2030 target

In 50 words: By February 2026 India had commissioned only ~8,000 tonnes per annum of green hydrogen against the 5 MTPA-by-2030 target. But SECI has now allocated 862,000 TPA of production, 724,000 TPA of green ammonia and 3,000 MW of electrolyser manufacturing under SIGHT. Execution, not ambition, is the gap.

India's National Green Hydrogen Mission is now three years old, and 2026 is the year the gap between paper and steel became impossible to ignore. The government has allocated impressive volumes — production capacity, electrolyser manufacturing, green ammonia offtake — yet commissioned plants amount to a rounding error against the headline goal. Record-low green ammonia bids show the cost curve is bending fast; the binding question is whether allocated projects can reach financial close and pour concrete before 2030. This deep-dive refreshes every major figure with the latest verified data.

The 5 MTPA target in context
Where India actually stands in 2026
The National Green Hydrogen Mission
SIGHT scheme: tranche allocations in detail
Green ammonia tenders and record-low prices
Who's building — the major project pipeline
The electrolyser manufacturing bottleneck
Green hydrogen cost trajectory in India
The fund-utilisation and accountability gap
Offtake — the demand-side reality
Initial demand sectors: refining, ammonia, steel
Export ambitions
What it takes to hit 5 MTPA
What to watch next

1. The 5 MTPA target in context

India's National Green Hydrogen Mission, launched January 2023 with a ₹19,744 crore (~$2.4 billion) outlay, set a headline target: 5 million tonnes per annum (MTPA) of green hydrogen production capacity by 2030, with potential to reach 10 MTPA with export demand. The Mission also targets ~125 GW of associated renewable capacity, over ₹8 lakh crore of investment, more than 600,000 jobs, and ~50 MMT of avoided CO2 by 2030.

To put 5 MTPA in perspective: it would require roughly 60-100 GW of electrolyser capacity and 125+ GW of dedicated renewable generation. That's an enormous build-out — comparable in scale to a large slice of India's entire current renewable fleet — dedicated solely to hydrogen production.

This article assesses honestly how far India has progressed and what realistically stands between today and 2030. See our hydrogen hub and policy hub for related coverage, and the India region hub for the wider energy-transition picture.

2. Where India actually stands in 2026

India green hydrogen production status, early 2026:

Commissioned/operational: ~8,000 TPA as of February 2026 (MNRE, in Parliament), rising to roughly 10,000 TPA across about six early projects totalling ~70 MW of electrolysers
Allocated for production (SIGHT Mode 1): ~862,000 TPA across 19 companies
Green ammonia allocated (SIGHT Mode 2A): 724,000 TPA, of which ~670,000 TPA covered by signed agreements
Concept / MoU stage: well over 1,500,000 TPA in announcements

Correction from our March 2026 edition: we previously stated operational capacity of ~120,000 TPA. The verified MNRE figure is far lower — roughly 8,000 TPA commissioned by February 2026. We have corrected this throughout; the 120,000 figure conflated announced pipeline with operational plants.

The commissioned ~8,000 TPA against a 5,000,000 TPA target means India is at well under 0.2% of the 2030 goal with four years remaining. Even the fully allocated production volume of 862,000 TPA is only ~17% of the target, and the gap between what is allocated (862,000 TPA) and what is built (~8,000 TPA) is the single most telling number in the sector. Hitting 5 MTPA now requires more than 1 million TPA of additions per year from 2027 — a pace not yet demonstrated anywhere.

This gap is not unique to India — green hydrogen project pipelines globally have slipped, with most announced projects failing to reach final investment decision (FID). India's challenge mirrors the global one: announced ambition far exceeds bankable, offtake-backed projects.

3. The National Green Hydrogen Mission

The Mission has several components:

SIGHT programme (Strategic Interventions for Green Hydrogen Transition)

Two financial incentive tracks, implemented by the Solar Energy Corporation of India (SECI):

Component I — electrolyser manufacturing incentive (PLI for domestic electrolyser manufacturing), structured in tranches
Component II — green hydrogen production incentive (per-kg incentive, declining over three years), run as Mode 1 (direct production) and Mode 2 (demand-aggregation for ammonia and refineries)

Green hydrogen hubs

In October 2025 the government designated three port-based hubs co-locating production, infrastructure and export terminals: Deendayal (Kandla) Port, Gujarat; V.O. Chidambaranar (Tuticorin) Port, Tamil Nadu; and Paradip Port, Odisha.

Standards + certification

Green hydrogen definition and certification framework (≤2 kg CO2 per kg H2 over a 12-month average to qualify as "green").

Demand creation

Mandates being developed for green hydrogen/ammonia use in fertiliser (urea) and refining — though, crucially, no binding blending mandate had been notified as of mid-2026.

4. SIGHT scheme: tranche allocations in detail

This is where 2026 delivered the most concrete movement. The SIGHT scheme is now substantially allocated across both production and manufacturing.

Green hydrogen production (Component II, Mode 1)

Tranche II concluded with 450,000 TPA awarded against 626,500 TPA of bids from 14 bidders. Reliance Green Hydrogen and Green Chemicals took the largest single award at 139,000 TPA; ACME, Greenko, L&T, Waaree Cleantech, AM Green Ammonia and Sembcorp each won 90,000 TPA; Hygenco took 75,000 TPA, with ReNew, Avaada, Ocior Energy and others sharing the balance.
Incentives in Tranche II ranged from as little as ₹0.01 to ₹39.67 per kg of green hydrogen, with a maximum aggregate incentive of about ₹22.39 billion (~₹2,239 crore). Commissioning deadline: 36 months from award.
Combined with the earlier Tranche I, 19 companies hold a cumulative ~862,000 TPA production allocation (status reported May 2025).

Electrolyser manufacturing (Component I)

A cumulative 3,000 MW/year of manufacturing capacity has been awarded across 15 firms — Tranche I (~1,500 MW) plus Tranche II.
Tranche II put 1,500 MW out to bid with a ₹44.4 billion (~$535 million) incentive budget, base incentive starting at ₹4,440 (~$54)/kW in year one and tapering, running FY2025-26 to FY2029-30. It is split into Bucket 1 (established, 1,100 MW), Bucket 2A (indigenously developed, 300 MW) and Bucket 2B (smaller indigenous, 100 MW), with a 300 MW per-bidder cap across tranches.
Tranche I awardees of 300 MW each include Reliance Electrolyser Manufacturing, John Cockerill Greenko Hydrogen, L&T Electrolysers, Adani Enterprises, Advait, Waaree, Matrix Gas, NewAge Green; Ohmium took 274 MW, with GH2 Solar, Homihydrogen, Avaada, Newtrace and others sharing smaller volumes.

The government's working assumption is that ~3 GW of annual manufacturing sales over the five-year scheme could support roughly 15 GW of installed electrolyser capacity by 2030 — still well short of the 60-100 GW that 5 MTPA would imply.

5. Green ammonia tenders and record-low prices

The most striking 2026 signal is price. Green ammonia auctions under SIGHT Mode 2A have delivered cost discovery far below early expectations:

NTPC Renewable Energy (NTPC REL) won a 70,000 MTPA green ammonia award at ₹51.8/kg ($591/tonne, ~$0.59/kg) — a record low — on a 10-year fixed contract, supplying Krishna Phoschem in Meghnagar, Madhya Pradesh. The Green Ammonia Purchase Agreement was executed 30 March 2026.
This undercut the previous record (ACME at ~$640/tonne) and came in far below the Mode 2A Tranche-II ceiling/starting price of around ₹74.30/kg ($0.89/kg). For context, H2Global's 2024 pilot cleared at ~$1,153/tonne.
Across Mode 2A, SECI has allocated 724,000 TPA of green ammonia to roughly 13 fertiliser units, with agreements covering ~670,000 TPA signed by March 2026. Awardees include ACME Cleantech, Jakson Green, NTPC Green Energy, Oriana Power (a ₹3,135 crore offtake deal) and an SCC Infrastructure/InSolare consortium. These agreements imply ~1,485 MW of electrolysers and ~637,400 tonnes of green hydrogen to be delivered.

The downward price trajectory is the strongest evidence that India's structural cost advantages are real. The weakness is volume: even fully delivered, Mode 2A represents only about 2.5% of the 5 MTPA target.

6. Who's building — the major project pipeline

India's major announced, allocated and under-construction green hydrogen projects:

| Developer | Capacity / status | Application | |---|---|---| | Reliance Industries | 139,000 TPA SIGHT award; Jamnagar electrolyser gigafactory scaling toward 3 GW/yr | Refining + ammonia, "1-1-1" cost goal | | NTPC (NGEL / NTPC REL) | Pudimadaka hub (Andhra Pradesh), ₹1.85 lakh crore, ~1,500 TPD H2 + 7,500 TPD derivatives; 70,000 MTPA ammonia award | Ammonia, power-sector, export | | Adani New Industries | 5 MW off-grid pilot commissioned (Kutch, June 2025); 5 GW Mundra ecosystem toward 1 MMTPA by 2030 | Multi-site, export-oriented | | ACME Group | 90,000 TPA H2 award + green ammonia awards | Export ammonia (Tamil Nadu, Odisha) | | L&T | 90,000 TPA H2 award; 300 MW electrolyser mfg | EPC + captive + electrolyser manufacturing | | Greenko / AM Green | 90,000 TPA H2 award + ammonia | Ammonia, export | | Sembcorp | 90,000 TPA H2 award | Ammonia/export | | Hygenco, ReNew, Avaada, Ocior | 30,000-75,000 TPA awards | Various | | Indian Oil, BPCL, HPCL, GAIL | Refinery/CGD pilots (e.g. GAIL Vijaipur, BPCL Bina) | Refining + city gas |

Reliance, NTPC and Adani remain the bellwethers — their FID decisions and execution pace will largely determine whether India approaches its 2030 target. Reliance's Jamnagar gigafactory (Nel ASA technology) is the most advanced manufacturing asset and underpins Mukesh Ambani's "1-1-1" pledge: $1/kg green hydrogen within the decade.

7. The electrolyser manufacturing bottleneck

The single biggest physical constraint on Indian green hydrogen scaling remains domestic electrolyser manufacturing capacity:

2026 awarded electrolyser manufacturing capacity in India: 3,000 MW/year across 15 firms (vs ~2 GW/year of nameplate a year earlier)
2030 requirement for 5 MTPA: 60-100 GW of deployed electrolysers
Implied installed capacity from the scheme by 2030: ~15 GW — a 4-6x shortfall against the headline target

The SIGHT electrolyser PLI is supporting expansion at L&T Electrolysers, Reliance Electrolyser Manufacturing, John Cockerill Greenko, Adani New Industries (~198.5 MW initial line), Ohmium (PEM), Newtrace and others. Whether Indian electrolyser manufacturing can scale by an order of magnitude by 2030 is the central open question. Global electrolyser supply (PEM, alkaline, SOEC) is also constrained — and Chinese manufacturers are eyeing the Indian market — so India cannot simply import its way to the target.

8. Green hydrogen cost trajectory in India

Green hydrogen production cost in India (levelised cost of hydrogen, LCOH):

2024: ~$3.50-5.00/kg
2025: ~$4.42-4.88/kg across key state hubs (CEEW)
2030 forecast: ~$2.68-2.95/kg, with Rajasthan the most competitive geography at ~$2.68/kg
Stated national/industry ambition: $1/kg by 2030 (the "1-1-1" goal)

A useful real-world marker: discovered green ammonia prices of ₹51.8/kg ($591/tonne) imply rapidly falling underlying hydrogen costs. On the procurement side, SIGHT refinery tenders have cleared at roughly ₹387-397/kg (BPCL/HPCL ~₹387, IOC ~₹397, inclusive of GST) — still well above what unsubsidised grey hydrogen has historically cost.

India has a structural cost advantage: among the world's cheapest renewable electricity. Since renewable power is 50-70% of green hydrogen cost (~₹235/kg at current rates), cheap Indian solar and wind translate into globally competitive green hydrogen potential, with battery storage increasingly used to firm supply for round-the-clock electrolysis.

For green hydrogen to displace grey hydrogen (historically ~$1.50-2.00/kg from natural gas), Indian green hydrogen needs to approach ~$2.00-2.50/kg unsubsidised — plausible by 2028-2030 if electrolyser costs fall and scale and renewable input stays cheap. The SIGHT production incentive bridges part of the gap during the early years; project finance terms will determine how much of that gap survives to the offtaker.

9. The fund-utilisation and accountability gap

A sobering 2026 data point reframes the whole story. Against the ₹19,744 crore Mission outlay, cumulative spending over three years is only about ₹250 crore — roughly 1.3% of the approved budget:

FY2023-24: ₹0.11 crore used (of ₹100 crore allocated)
FY2024-25: ₹46.26 crore (of ₹300 crore)
FY2025-26: ₹203.75 crore (of ₹300 crore, to 19 March 2026)

To deploy the remaining outlay on schedule, India would need to spend on the order of ₹4,750 crore/year from FY27-FY30 — more than 20x the highest annual figure recorded so far. Most incentives are back-loaded (paid on production, which has barely started), so low spending partly reflects the lag between allocation and commissioning. But analysts increasingly argue the binding issue is accountability: no published component-level expenditure breakdown, no project-level delivery enforcement, and no binding demand mandate. As one June 2026 assessment put it, "the architecture exists; the accountability does not."

10. Offtake — the demand-side reality

The hardest part of green hydrogen isn't production — it's securing buyers willing to pay the green premium. This is where global green hydrogen projects have struggled most.

India's offtake situation:

Refining: Reliance, IOC, BPCL and HPCL can use green hydrogen captively, displacing grey hydrogen — the most certain near-term demand, though refinery/other-sector SIGHT awards total only ~30,000 TPA so far
Ammonia/fertiliser: the Mode 2A demand-aggregation route has done the heavy lifting (724,000 TPA allocated), routing green ammonia to fertiliser units via SECI as intermediary. But this rests largely on voluntary PSU procurement, not a binding mandate
Steel: pilot scale (Tata Steel, JSW), not yet commercial-scale offtake
Export: depends on Japanese/Korean/European buyers committing at premium prices (uncertain)

Demand-aggregation and captive refinery use are the bankable near-term demand. Export and new sectors (steel, mobility) are the upside but less certain. The absence of a notified blending mandate remains the most important missing policy lever.

11. Initial demand sectors: refining, ammonia, steel

Refining hydrogen displacement

India's refineries consume ~3 MTPA of hydrogen (grey, from natural gas/naphtha). Displacing even 20% with green hydrogen = ~600,000 TPA of demand. This is the largest, most certain near-term green hydrogen market in India.

Green ammonia for fertiliser

India is among the world's largest urea consumers. Urea production uses ammonia, which uses hydrogen. The SIGHT Mode 2A route has already structured 724,000 TPA of green ammonia demand; a formal blending mandate could lock in much larger volumes and is widely seen as the next decisive policy step.

Steel decarbonisation

India produces ~130 MTPA of steel. H2-DRI (hydrogen direct-reduction iron) pilots are running at Tata Steel and JSW. Full commercial green steel is a 2028+ proposition for India but represents enormous long-term hydrogen demand.

12. Export ambitions

India aims to be a green hydrogen/ammonia exporter, leveraging cheap renewable power and strategic location:

Target markets: Japan, Korea, EU, Singapore
Green hydrogen hubs at ports (Kandla, Tuticorin, Paradip) for export terminals
Adani, ACME, NTPC and Reliance all with export-oriented projects
Shipping as green ammonia (easier to transport than liquid hydrogen)

India has stated an ambition to capture nearly 10% of global green hydrogen demand. Export demand is the path from 5 MTPA to 10 MTPA — but depends on importing nations committing to long-term offtake at premium prices, which remains uncertain globally.

13. What it takes to hit 5 MTPA

For India to approach 5 MTPA by 2030, several things must align:

Allocated projects reach FID and commission — closing the 862,000 TPA-allocated vs ~8,000 TPA-built chasm is now the defining task
Electrolyser manufacturing scales toward 60-100 GW — the binding physical constraint; the scheme implies only ~15 GW
Cheap renewable power continues — India's structural advantage; must be maintained and firmed
A binding demand mandate is notified — refining + ammonia blending requirements to convert voluntary offtake into guaranteed demand
LCOH falls toward ~$2.00-2.50/kg unsubsidised — making green competitive with grey and imports
Funds actually flow — annual SIGHT disbursement rising roughly 20x from FY27
Export demand develops — for the 5→10 MTPA upside

Realistic 2030 outcome: on current execution pace, India likely reaches 1-3 MTPA operational — meaningful but below the 5 MTPA headline target, with full achievement probably slipping toward 2032-2033. This mirrors the global pattern of green hydrogen ambition exceeding bankable execution pace.

14. What to watch next

The single most consequential signal: whether the first large SIGHT-allocated projects (Reliance, NTPC, ACME, Greenko) reach financial close and start commissioning on their 36-month clocks, the earliest of which fall due from August 2026 (Tranche 1) and March 2027 (Tranche 2).

Secondary signals:

Reliance Jamnagar gigafactory ramp to ~3 GW/year and its first $1/kg-trajectory output
NTPC Pudimadaka Phase I completion (targeted 2026) and first green ammonia dispatch
Whether a binding green ammonia/hydrogen blending mandate is finally notified (creates guaranteed demand)
The pace of SIGHT fund disbursement — does annual spending finally break out of the ~₹200 crore band?
LCOH and ammonia-price trajectory — do bids keep falling below ₹50/kg?

The bigger picture: India has genuine structural advantages for green hydrogen (cheap renewables, large captive demand, strategic location, strong policy architecture), and 2026 proved the cost curve is bending faster than many expected. The constraints are execution speed, electrolyser manufacturing scale, fund disbursement and offtake certainty — much the same constraints facing every green hydrogen market globally. India is positioned to be a major green hydrogen producer, but the 5 MTPA-by-2030 target remains more aspiration than forecast. Watch the bellwether projects and the demand mandate through 2026-2027 to gauge the real trajectory.

Frequently asked questions

How much green hydrogen has India actually produced or commissioned by 2026?

About 8,000 tonnes per annum had been commissioned as of February 2026, according to MNRE statements in Parliament — rising to roughly 10,000 TPA across about six early projects (~70 MW of electrolysers). That is under 0.2% of the 5 MTPA-by-2030 target. Far larger volumes have been allocated but not yet built.

How much capacity has SECI allocated under the SIGHT scheme?

As of 2026, SECI had allocated roughly 862,000 TPA of green hydrogen production across 19 companies (Tranche I plus the 450,000 TPA Tranche II), 724,000 TPA of green ammonia under Mode 2A (with ~670,000 TPA signed), and a cumulative 3,000 MW/year of electrolyser manufacturing across 15 firms.

What is the cheapest green ammonia price discovered in India?

NTPC Renewable Energy won a record-low ₹51.8/kg (about $591/tonne, ~$0.59/kg) for 70,000 MTPA of green ammonia under SIGHT Mode 2A, on a 10-year contract supplying Krishna Phoschem. That undercut ACME's earlier ~$640/tonne and the H2Global 2024 pilot's ~$1,153/tonne, signalling a steep cost decline.

What does green hydrogen cost to produce in India today?

Levelised cost (LCOH) was roughly $4.42-4.88/kg across key hubs in 2025, forecast to fall to about $2.68-2.95/kg by 2030, with Rajasthan most competitive at ~$2.68/kg. Industry's stated ambition is the "1-1-1" goal — $1/kg by 2030. SIGHT refinery tenders cleared at roughly ₹387-397/kg.

Why is so little of the ₹19,744 crore Mission budget being spent?

Only about ₹250 crore (~1.3%) had been used across three years to March 2026. Part of this reflects back-loaded incentives that pay on production, which has barely begun. But analysts also point to weak accountability — no published component-level spending breakdown, no project-delivery enforcement and no binding demand mandate.

Will India hit 5 MTPA of green hydrogen by 2030?

On current execution pace, unlikely. A realistic outcome is 1-3 MTPA operational by 2030, with full 5 MTPA achievement more plausibly arriving around 2032-2033. The decisive variables are how fast allocated projects reach financial close, electrolyser manufacturing scale-up, fund disbursement and whether a binding offtake mandate is notified.

Researched and drafted with AI assistance; reviewed and edited by the named author within 24 hours of draft. Also see: World Hydrogen Summit 2026, Green steel 2026, Chile renewable hydrogen, Saudi Arabia + NEOM.

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