Instead of Blue, Why Green Hydrogen is India's Best Option for Sustainable Energy

The dream of a future economy powered by green hydrogen, or hydrogen produced by electrolyzing water using renewable electricity, faces several challenges. In this blogpost we will explore, why green hydrogen is better than blue hydrogen or India’s Best Option for Sustainable Energy

According to the International Energy Agency’s recent Global Hydrogen Review 2021, despite the announcement of tens of billions of dollars in subsidies to stimulate supply.

According to the paper, “The cost of producing hydrogen from renewable electricity remains higher than fossil fuel alternatives” in many parts of the world.

This would lead one to believe that, at least in the short- to medium-term, blue hydrogen alternatives—hydrogen produced from coal or methane and combined with CO2 storage—should take the lead in the hydrogen economy.

The dream of a future economy powered by green hydrogen, or hydrogen produced by electrolyzing water using renewable electricity, faces several challenges, according to the International Energy Agency’s recent Global Hydrogen Review 2021, despite the announcement of tens of billions of dollars in subsidies to stimulate supply. According to the paper, “the cost of producing hydrogen from renewable electricity remains higher than fossil fuel alternatives” in many parts of the world.

Would a better plan preserve valuable CO2 storage capacity to support industrial sectors that are difficult to regulate and don’t have a viable alternative? Or to encourage the development of negative emissions technology, to reduce atmospheric CO2 if we fail our goals, or that the effects of climate change are worse than expected?

One of The Two Options Leads to Wealth

India’s transition to clean energy is at a crossroads. Should the nation make the switch to a green hydrogen future or continue its historical reliance on imports to meet its demand for liquid and gaseous energy carriers? The ramifications could be significant as India navigates the intriguing dilemma of supplying an unprecedented increase of energy sources to meet the demands of its quickly expanding economy while also fulfilling the government’s commitment to 2070 net-zero emissions.

One route continues India’s reliance on oil-rich countries for energy sources and blue hydrogen carriers, as well as its continuous exposure to occasionally debilitating international pricing. The alternative would involve India making significant investments in research, development, and demonstration to lower the price of electrolysis and to complement and take advantage of its position as one of the most affordable solar power providers in the world. Current solar PV costs were unthinkable a decade ago. Some predict similar cost surprises for electrolyzers and green hydrogen production. Electrolysis on a large scale can potentially offer demand-side flexibility to reduce the erratic nature of weather-dependent renewable energy output.

Right away, a daring, mission-driven strategy is required.

Undoubtedly, a strong Indian economy based on competitive renewable energy sources will call for a comprehensive industrial policy that includes strategic investments and other initiatives to boost demand for green hydrogen in all sectors of the economy, including the chemical industry, hydrogen-powered vehicles, hydrogen turbines for firm power generation, steam generation, and other low-emission industrial production opportunities. With its National Hydrogen Mission, the Indian government has gotten off to a good start in this regard. The first stage focuses on encouraging the production of clean energy to meet the anticipated demand for green hydrogen. The following stage is reportedly going to prioritize demand signals through regulations for fertilizers, refinery, and city gas distribution.

One could counter that India’s 2070 decarbonization target allows them enough time to wait for developed nations to lower technology costs and follow their lead. At first glance, it could appear to be a less dangerous path, but such a plan would merely lead to the development of additional trade dependencies, each of which would increase the likelihood of inflation and supply shortages. On the other hand, a bold, goal-oriented industrial policy where the Indian government involves the business sector, academic institutions, and larger Indian society in a future powered by green energy offers a route to energy independence and prosperity.

It is impossible to overstate the importance of universities. The scarcity of in-country researchers will become a constraint as Indian enterprises invest in R&D along the full value chain for green hydrogen. To meet this challenge, universities will need to make significant investments to expand their research and research training programs. Additionally, there will need to be strong incentives for academic, corporate, and public research institutions to work together. Universities develop human capital that is in line with the needs of the national economy when they are an important element of the national research enterprise, which has a long-term multiplier impact in sustaining innovation.

There is a case to be made that India needs green hydrogen more than any other nation because of the life-threatening air pollution that exists in its cities, the crippling financial load associated with energy imports, and the need to decarbonize it is quickly expanding economy. No nation has a more pressing need to advance the green hydrogen economy than it does.

We At GH2 Solar

GH2 Solar is a technology-oriented company that has vast experience in executing oil and refineries solar rooftop & large-scale utility projects across India. Being already experienced in the renewable sector, now we are working on the development of “Green Hydrogen” & HAAS (Hydrogen as a Service). If you are planning to adopt Green Hydrogen, you can connect with GH2 Solar to get all information about the same.

For more information, please give us a call at 1800-102-8685

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