India’s Green Hydrogen Mission 2026: ₹4,440 Cr Incentives & the Path to $1.5/kg

New Delhi, February 12, 2026 — India's roadmap toward energy independence and the Net-Zero 2070 goal has reached a high-velocity phase. According to recent announcements from India Energy Week 2026, the National Green Hydrogen Mission has transitioned from policy planning to massive on-ground execution, with costs already falling below the $4/kg mark.

1. Building a Manufacturing Powerhouse

Under the SIGHT (Strategic Interventions for Green Hydrogen Transition) scheme, the government has finalized contracts to localize the supply chain:

• Electrolyser Manufacturing: 15 leading companies, including Reliance, Adani, L&T, and Ohmium, have been awarded a total manufacturing capacity of 3,000 MW per annum, supported by ₹4,440 crore in incentives.

• Production Prowess: 18 companies have secured contracts for a cumulative production capacity of 862,000 tonnes of green hydrogen per year.

• Refinery Integration: Strategic letters of award have been issued to IOCL and BPCL to integrate green hydrogen into their refining processes, cutting down industrial carbon footprints.

2. The Goal: Slashing Costs to $1.5/kg

During the India Energy Week (Feb 2026), Union Minister Hardeep Singh Puri highlighted that competitive bidding has already brought green hydrogen prices down to the $3–$4/kg range. The ultimate target is $1.50 to $2.00/kg by 2030:

• Transmission Benefits: Exemption from Inter-State Transmission System (ISTS) charges remains a key pillar for plants commissioned before December 2030.

• Green Energy Corridor: New transmission lines and sub-station capacities are being funded to ensure low-cost renewable power reaches hydrogen hubs without bottlenecks.

3. Strategic Hubs: Transforming India’s Coastline

In a significant move this month, the Ministry formally recognized three major ports as Dedicated Green Hydrogen Hubs:

1. Deendayal Port (Kandla, Gujarat)

2. V.O. Chidambaranar Port (Tuticorin, Tamil Nadu)

3. Paradip Port (Odisha)

These hubs will serve as focal points for production, storage, and export, leveraging India's strategic position along global trade routes.

Quick Stats: Mission 2030 Targets

The 2026 Outlook: A Global Export Launchpad

As of February 2026, India is not just looking inward. With 100% FDI permitted under the automatic route and new partnerships like the India-Netherlands Hydrogen Fellowship, the country is positioning itself to capture 10% of the global green hydrogen market. Industry experts agree that the next two years will be the "launchpad" that determines if India becomes the world's cheapest producer of clean fuel.