National Green Hydrogen Mission Boosts Green Hydrogen Adoption in India’s Refining Sector

India is expanding green hydrogen use in refineries through the National Green Hydrogen Mission, supporting industrial decarbonisation, energy security, cleaner fuels and long-term net-zero goals.

National Green Hydrogen Mission Drives Refinery Adoption

The Government of India is taking steps to increase the use of green hydrogen in the petroleum and refining industry under the National Green Hydrogen Mission (NGHM). The mission aims to develop India into a major global centre for producing, consuming and exporting green hydrogen and its derivatives.

By introducing green hydrogen into industrial operations, the government is seeking to reduce emissions from hard-to-abate sectors while building a domestic clean-energy ecosystem.

30 KTPA Green Hydrogen Capacity Awarded

Under the Strategic Interventions for Green Hydrogen Transition (SIGHT) Mode 2B programme, the government has allocated a combined green hydrogen production capacity of 30 Kilo Tonnes Per Annum (KTPA) to refineries.

The capacity has been distributed among four major refinery projects across India.

The allocations include:

• Indian Oil Corporation Limited (IOCL), Panipat Refinery: 10 KTPA

• Bharat Petroleum Corporation Limited (BPCL), Bina Refinery: 5 KTPA

• Hindustan Petroleum Corporation Limited (HPCL), Vizag Refinery: 5 KTPA

• Numaligarh Refineries Limited (NRL), Numaligarh Refinery: 10 KTPA

Together, these projects represent an important step towards increasing green hydrogen production for use within India's refining sector.

Panipat Refinery Gets 10 KTPA Allocation

Indian Oil's Panipat refinery has received an allocation of 10 KTPA of green hydrogen production capacity. The project is expected to support the refinery's transition towards cleaner industrial processes while helping develop practical applications for green hydrogen at a large-scale petroleum facility.

The initiative could also provide valuable experience in integrating renewable hydrogen into conventional refinery operations.

Numaligarh Refinery Receives 10 KTPA

The Numaligarh refinery operated by Numaligarh Refineries Limited has also been allocated 10 KTPA of green hydrogen production capacity. The project forms a significant part of the government's overall 30 KTPA allocation under the SIGHT Mode 2B initiative.

Its development could contribute to the expansion of clean-energy infrastructure in the refining sector while supporting the wider hydrogen ecosystem in India.

Bina and Vizag Refineries Get 5 KTPA Each

Two other major refineries have received allocations of 5 KTPA each. Bharat Petroleum's Bina refinery has been awarded 5 KTPA, while Hindustan Petroleum's Vizag refinery has received another 5 KTPA.

The combined 10 KTPA allocation for these facilities will add to India's emerging green hydrogen production base and encourage the use of cleaner fuels in industrial applications.

Projects to Follow BOO Model

The green hydrogen projects are being developed under a Build Own Operate (BOO) model. Under this arrangement, private developers will be responsible for establishing and operating the facilities through project-specific investments.

The model is intended to encourage private-sector participation in India's growing green hydrogen industry while helping develop commercially viable production infrastructure.

Green Hydrogen Can Help Cut Industrial Emissions

The increased use of green hydrogen in refineries could play an important role in India's efforts to reduce industrial carbon emissions.

Green hydrogen is produced using renewable electricity rather than fossil fuels. When used in industrial processes, it can help reduce dependence on conventional hydrogen production methods that are associated with significant greenhouse gas emissions.

Refineries are among the industrial facilities where hydrogen is already widely used, making the sector an important potential market for cleaner hydrogen.

Supporting India’s Clean Energy Transition

The development of green hydrogen capacity is part of India's broader transition towards cleaner sources of energy. By supporting domestic production and consumption, the government aims to create an ecosystem that can serve industries requiring low-carbon energy solutions.

The refinery projects could help demonstrate how green hydrogen can be integrated into existing industrial infrastructure while encouraging further investment in clean-energy technologies.

Strengthening Energy Security

Green hydrogen could also contribute to India's energy security objectives. Greater domestic production of clean hydrogen may reduce reliance on imported fossil fuels and provide industries with an additional energy source.

As India continues to face substantial energy demand, developing alternative domestic energy technologies could help diversify the country's energy mix.

Supporting India’s Net-Zero Ambitions

The National Green Hydrogen Mission is closely linked to India's long-term climate and decarbonisation goals. Increasing green hydrogen production and consumption can help industries gradually reduce their dependence on carbon-intensive fuels.

The refining sector's participation is particularly significant because it represents a large industrial energy consumer where cleaner hydrogen could have a meaningful impact on emissions.

Building a Domestic Green Hydrogen Ecosystem

The government is also seeking to establish a complete domestic green hydrogen ecosystem rather than focusing only on production. This includes encouraging technology development, private investment, industrial consumption and infrastructure required to support the emerging sector.

The refinery projects can create demand for green hydrogen while helping developers gain experience in production, transportation and industrial utilisation.

Creating Opportunities for Clean Energy Technologies

The expansion of green hydrogen capacity is expected to create opportunities for companies working across the clean-energy value chain. These could include renewable power producers, electrolyser manufacturers, hydrogen technology providers, engineering companies and infrastructure developers.

As demand grows, the sector could attract additional private investment and support the development of new technologies and industrial capabilities in India.

India’s Ambition to Become a Global Hydrogen Hub

The National Green Hydrogen Mission has a broader objective of positioning India as a global hub for green hydrogen production, utilisation and exports. Developing domestic projects in sectors such as refining can provide the foundation for achieving this ambition.

Successful implementation could also strengthen India's ability to participate in the emerging international green hydrogen market.

What the Refinery Projects Mean for India

The allocation of 30 KTPA capacity represents a significant move towards integrating green hydrogen into India's petroleum industry. Beyond producing cleaner hydrogen, the projects can demonstrate the commercial potential of using renewable hydrogen in large-scale industrial operations.

Their progress will be important for determining how quickly green hydrogen can move from pilot initiatives to wider industrial adoption.

Conclusion

The National Green Hydrogen Mission is accelerating India's efforts to introduce cleaner hydrogen into the refining sector. With 30 KTPA of production capacity allocated across four refineries, the initiative is expected to support industrial decarbonisation, improve energy security and encourage private investment. As these projects develop, they could strengthen India's domestic green hydrogen ecosystem and support the country's ambition to become a global clean-energy hub.