Green hydrogen and the financing challenge
The HinduAs India charts its path to net-zero emissions by 2070, green hydrogen offers a crucial pathway to decarbonise its industrial sectors. India’s ambitious target of producing 5 million metric tonnes of green hydrogen annually by 2030 signals its bid to establish early leadership in this emerging sector. The barriers The economics of green hydrogen production hinge on two factors — the levelised cost of electricity and electrolyzer costs, both driven by the cost of capital. India needs to adopt innovative financing mechanisms and policy frameworks to effectively de-risk investments and attract capital to scale its green hydrogen sector. India’s success in green hydrogen will depend on leveraging its abundant renewable resources through efficient project execution, access to low-cost capital, and strategic investments.