- Why in news
- On 11 August 2026, the Ministry of New and Renewable Energy told the Rajya Sabha that 30 KTPA of green hydrogen capacity has been awarded to four refineries under SIGHT Mode 2B of the National Green Hydrogen Mission.
- What it is
- The National Green Hydrogen Mission aims to make India a global hub for producing, using and exporting green hydrogen and its derivatives. SIGHT (Strategic Interventions for Green Hydrogen Transition) is its incentive programme. Mode 2B supports green hydrogen production at refineries.
- Objective
- NGHM aims to make India a global hub for production, usage and export of green hydrogen and its derivatives.
- SIGHT
- SIGHT stands for Strategic Interventions for Green Hydrogen Transition. Mode 2B covers refinery green hydrogen production.
- Implementation model
- Projects run on Build Own Operate basis through private developers, who make project-specific investments.
- Nodal ministry
- The Mission is run by the Ministry of New and Renewable Energy.
- Outlay
- The Mission was launched in 2023 with an outlay of ₹19,744 crore.
- Targets
- The Mission targets 5 MMT of green hydrogen capacity, backed by 125 GW of dedicated renewable energy capacity.
- Certification portal
- The GHCI portal, developed by MNRE, supports certification and compliance under the Green Hydrogen Certification Scheme of India.
- Electrolyser manufacturing
- Incentives have gone to 15 companies for 3,000 MW per annum of indigenous electrolyser capacity.
- State policies
- Six states have notified dedicated green hydrogen policies, seven have integrated hydrogen into existing policies, and four more are finalising theirs.
- Mission outlay
- The Mission has an outlay of ₹19,744 crore.
- 2030 target
- The Mission targets at least 5 million metric tonnes of green hydrogen a year by 2030.
- Who ran the bidding
- SECI ran competitive bidding for supply of green ammonia to fertiliser units.
- Allocation
- About 7,24,000 tonnes per annum was allocated to developers, linked to 13 fertiliser units.
- Prices
- The lowest discovered price is about ₹49.75 per kg, in a range of ₹49.75 to 64.74 per kg.
- Forex savings
- Savings of about $2.5 billion over 10 years are expected by replacing imported grey ammonia in non-urea fertiliser units.
- Notifying body
- MNRE notified the standards on 27 February 2026 under the National Green Hydrogen Mission.
- Renewable energy definition
- Renewable energy includes stored or grid-banked renewable electricity.
- Verification
- Measurement, monitoring, verification and certification methods will be issued separately by MNRE.
- Project cost
- The jetty is approved at an estimated ₹797.17 crore.
- Capacity
- The facility will handle 4.0 million tonnes per annum.
- Port support
- The Port Authority gives capital support of 20% of the cost, ₹159.43 crore, during construction.
- Timeline
- The project is expected to be completed within 24 months.
- Other cargo
- The jetty will also handle other liquid cargo to ensure use during the early phase of the green hydrogen sector.
Don’t confuse with Green vs grey hydrogen: Green hydrogen is made by electrolysis of water using renewable power. Grey hydrogen is made from natural gas or other fossil fuels and emits CO2.
Don’t confuse with BOO vs BOT: In BOO the developer keeps ownership of the asset. In BOT, it is transferred to the authority after a fixed period.
Don’t confuse with SIGHT vs the Mission: SIGHT is the incentive programme within the Mission, not the Mission itself.
Don’t confuse with Green vs grey ammonia: Green ammonia is made from hydrogen produced by electrolysis using renewable power. Grey ammonia is made from fossil fuels, and India imports it for fertilisers.
Don’t confuse with Biogenic vs non-biogenic emissions: The thresholds count only non-biogenic greenhouse gas emissions, not those from biological sources.
Don’t confuse with Green hydrogen vs green ammonia: Ammonia is a derivative made from green hydrogen. It is easier to store and ship.
Schemes: 52 Prelims questions since 2013, 10 in Prelims 2026 alone. They test features, the period and who funds it. In Mains, 33 news-triggered questions, mostly GS3.
Why it matters
- Replaces fossil-fuel-based grey hydrogen in refineries, cutting emissions and import dependence.
- Builds domestic demand that supports energy security and net-zero goals.
- Cuts import dependence on fossil fuels and ammonia, and supports industrial decarbonisation.
- Certification builds buyer trust and prepares Indian green hydrogen for export markets.
- Replaces imported grey ammonia, saving foreign exchange and improving fertiliser supply security.
- Decarbonises a hard-to-abate sector and builds a domestic green hydrogen market.
- Gives industry and investors clarity and supports exports of green fuels.
- Helps decarbonise fertilizers, shipping, power and heavy industry.
- Export logistics for green hydrogen and ammonia support the Mission's export-hub goal.
- Links Odisha's emerging production clusters to global markets and attracts investment and jobs in eastern India.
Problems
- Green hydrogen costs more than grey hydrogen, so refineries depend on incentives.
- Needs large supply of cheap renewable power and electrolyser capacity.
- Green hydrogen costs more than grey hydrogen, so demand depends on subsidies and mandates.
- Needs large renewable capacity, electrolysers, storage and transport infrastructure.
- Green ammonia must reach a price that fertiliser units and subsidy budgets can sustain against grey ammonia.
- Large renewable power, electrolysers and water are needed to deliver the allocated volumes.
- Certification methodologies are still to be issued, leaving some uncertainty.
- Export buyers may apply different standards, so mutual recognition is needed.
- Demand is uncertain in the early phase, so the jetty must also carry other liquid cargo.
- Handling hydrogen derivatives needs specialised safety systems, and green hydrogen costs remain high.
Way forward
- Scale up domestic electrolyser manufacturing and renewable capacity.
- Create demand through purchase obligations and long-term offtake in refineries and fertiliser.
- Align state policies with the Mission and build hubs with shared infrastructure.
- Create demand through offtake obligations and mutual recognition of certification abroad.
- Keep long-term offtake contracts and extend them to other hard-to-abate sectors such as refineries and steel.
- Build domestic electrolyser manufacturing and renewable capacity.
- Issue the measurement and certification framework quickly.
- Seek recognition of the standards with major importing markets.
- Match port capacity with production clusters and firm offtake agreements.
- Set safety and certification standards for handling hydrogen derivatives.
Put in your answer
Energy security link: Domestic green hydrogen is expected to reduce dependence on imported fossil fuels and support net-zero objectives.
Import substitution example: Green ammonia supply agreements of 6.7 lakh MTPA for 11 fertiliser plants reduce import dependence.
Industry example: JSW commissioned a 3,600 MTPA green hydrogen plant in November 2025.
Forex savings: About $2.5 billion saved over 10 years by substituting imported grey ammonia in non-urea units.
Target sectors: Standards aim to decarbonise fertilizers, shipping, power and heavy industry.
- 2025Mains GS3 · Q6Achieving energy independence via clean technology by 2047; biotechnology's role.
- 2016Mains GS3 · Q11Status and targets of renewable energy; importance of National LED Programme
- 2022Mains GS3 · Q12Will India meet 50% renewable energy by 2030? Subsidy shift.
- 2026Prelims Q45Correct statements on green hydrogen and NGHM's emission target.
- 2023Prelims Q60Which statements on green hydrogen's uses as fuel are correct?
- 2024Prelims Q37Exhaust emission from hydrogen-powered fuel cell electric vehicles.
UPSC’s own questions that come close to this issue, from our Prelims and Mains banks.
Prelims practice · Statements
Ours, not from a UPSC paper
Consider the following statements:
- 1.The National Green Hydrogen Mission was launched in 2023 with an outlay of about ₹19,744 crore.
- 2.The Green Hydrogen Certification Portal of India has been developed by the Ministry of Power.
- 3.The Mission targets about 5 million tonnes of annual carbon emission reduction.
Which of the statements given above is/are correct?
True or false?
1 of 21
Statements the way Prelims prints them. Say first, then see the fact.
1.The National Green Hydrogen Mission was launched in 2023 with an outlay of about ₹19,744 crore.
True. Launched 2023, outlay ₹19,744 crore.
2.The Mission aims for 5 MMT of annual green hydrogen production capacity, supported by 125 GW of dedicated renewable energy capacity.
True. 5 MMT green hydrogen with 125 GW renewable capacity.
3.The Green Hydrogen Certification Portal of India has been developed by the Ministry of Power.
False. It was developed by the Ministry of New and Renewable Energy (MNRE).
4.Under the Mission, incentives have been awarded to 15 companies for 3,000 MW per annum of domestic electrolyser manufacturing capacity.
True. 15 companies, 3,000 MW per annum.
5.Agreements have been signed for the supply of green ammonia to 11 fertiliser plants under the Mission.
True. 6.7 lakh MTPA of green ammonia to 11 fertiliser plants.
6.Contracts for 30,000 MTPA of green hydrogen supply have been awarded to refineries including IOCL, BPCL, HPCL and NRL.
True. 30,000 MTPA to IOCL, BPCL, HPCL and NRL.
7.The Mission targets about 5 million tonnes of annual carbon emission reduction.
False. The target is a reduction of 50 million tonnes of annual carbon emissions.
8.Six states have notified dedicated green hydrogen policies, and all other states have integrated hydrogen into their existing policies.
False. Seven others integrated hydrogen into existing frameworks and four more are finalising policies; not all states.
9.The National Green Hydrogen Mission has an outlay of ₹19,744 crore.
True. Outlay is ₹19,744 crore.
10.The Mission targets at least 5 million metric tonnes of green hydrogen production per annum by 2030.
True. Target is 5 MMT per year by 2030.
11.The competitive bidding for green ammonia supply to fertiliser units was conducted by NTPC Limited.
False. Solar Energy Corporation of India (SECI) conducted it.
12.The green ammonia agreements exchanged have a tenure of 10 years.
True. Tenure is 10 years.
13.The expected foreign exchange savings arise from replacing imported grey ammonia in urea-based fertiliser units.
False. The savings are from substituting imported grey ammonia in non-urea based units.
14.SIGHT is the programme under the Mission that incentivises green hydrogen production through transparent competitive bidding.
True. SIGHT incentivises production via competitive bidding.
15.The lowest discovered price of green ammonia in the bidding was about ₹49.75 per tonne.
False. It was about ₹49.75 per kg.
16.The Green Ammonia and Green Methanol Standards for India were notified by the Ministry of New and Renewable Energy.
True. MNRE notified the standards on 27 February 2026.
17.The emission limit for green methanol is the same as that for green ammonia.
False. Methanol is 0.44 kg CO2 eq/kg; ammonia is 0.38.
18.The emission thresholds are calculated as an average over the preceding 12-month period.
True. The averaging period is the preceding 12 months.
19.Carbon dioxide for green methanol may be sourced only from biogenic sources.
False. Biogenic sources, Direct Air Capture or existing industrial sources are allowed.
20.Renewable electricity stored in an energy storage system or banked with the grid counts as renewable energy for producing green ammonia and methanol.
True. Stored or banked renewable electricity is included.
21.The notification itself prescribes the detailed certification methodology, and tenders issued earlier must be re-aligned to the standards.
False. Methodologies will be issued separately; earlier tenders may continue under old terms, with optional alignment by mutual consent.
Written by us from the release, not by UPSC; checked by a second model.
Worth revising until Prelims 2028: most news questions come within two years of the event.