Indian Oil's Green Hydrogen Ambition: A Game-Changer
Panipat, Thursday, 3 July 2025.
Indian Oil is turning green with a $30 billion plan, launching hydrogen fuel stations across India by 2026. This shift from grey to green hydrogen aims for net zero by 2046.
Green Hydrogen Fuel Stations Rollout
Indian Oil Corporation is gearing up to paint the town green with its ambitious plan to establish a nationwide network of green hydrogen fuel stations by 2026. This new green venture is backed by a brand-new 10,000-tonne per annum green hydrogen generation unit at the Panipat refinery, scheduled for completion by December 2026 [1][2].
The $30 Billion Strategy
This initiative is part of Indian Oil’s broader $30 billion strategy to reach net zero emissions by 2046. Arvinder Singh Sahney, the chairman of IOC, stated that they are committed to replacing grey hydrogen with its greener counterpart, highlighting a shift in focus towards sustainability and innovation [1][5].
Cost and Market Dynamics
With the levelized cost of green hydrogen currently pegged at $4.66 per kg, Indian Oil aims to reduce this even further to make hydrogen fuel more accessible. The government’s target of $1 per kg aligns with these goals, hoping to facilitate a large-scale adoption of hydrogen fuel technologies [1].
Synergetic Partnerships
Indian Oil isn’t venturing alone. Collaborations with Larsen & Toubro and ReNew Power in the formation of a joint venture are creating ripples in the green hydrogen sector. By leveraging L&T’s EPC prowess and ReNew Power’s renewable energy solutions, the partnership aims to fast-track green hydrogen developments [3].
Green Hydrogen’s Strategic Role
In the grand scheme of things, green hydrogen is set to revolutionize sectors such as mobility and refining. It’s not just about replacing grey hydrogen in refineries or meeting domestic demand; it’s also a play for export markets, thus broadening India’s footprint in the global energy space [5][6].
The Future and Challenges Ahead
While the roadmap to 5 million tonnes of annual green hydrogen production by 2030 looks optimistic, challenges like high production costs and limited infrastructure remain. However, these hurdles are not insurmountable. With strategic investments and government backing, the future’s looking quite green for India’s energy landscape [4][6].