Empowering the Green Shift: Industry Advocates Green Hydrogen Mandates

The Confederation of Indian Industry (CII) is urging the government to adopt green hydrogen mandates backed by incentives across key sectors to bolster demand and the clean economy. Suggested measures include phased mandates, cost-offset mechanisms, and public procurement mandates to generate demand and promote foreign trade.

The Confederation of Indian Industry (CII) has called on the government to introduce mandates for green hydrogen, supported by incentives, to spark demand and nurture a flourishing clean economy. The CII proposes starting with Green Hydrogen Blending for sectors such as refining, fertilizer, and natural gas, leveraging cost-offset mechanisms for viability.

Grey hydrogen users stand to drive substantial demand for greener alternatives, yet a significant cost disparity persists between green and grey hydrogen. CII advocates for greening mandates with incentives to overcome economic barriers, promising security for producers and accelerating cost reductions through economies of scale.

Chandrajit Banerjee, CII Director-General, emphasized that India should advance green technologies beyond achievements seen in 2025. Promoting green hydrogen in public infrastructure projects could significantly boost demand. CII suggests public procurement mandates and developing industrial clusters to aggregate demand and facilitate exports through strategic international agreements.

(With inputs from agencies.)