Indian Oil Takes a Giant Leap into Green Hydrogen
In a major development for India’s clean energy ambitions, Indian Oil Corporation Ltd (IOCL) has finalized the levelized cost of hydrogen for its upcoming 10,000 tonnes per annum green hydrogen plant at its Panipat refinery and petrochemical complex. This milestone marks India’s largest-ever green hydrogen project, signaling Indian Oil’s strong push into the emerging green energy ecosystem.
What Is Green Hydrogen and Why It Matters
Green hydrogen is produced using renewable energy sources like solar or wind to power the electrolysis of water—resulting in zero carbon emissions. It is considered a critical fuel for decarbonizing sectors such as refining, steel, fertilizers, and heavy-duty transport.
About the Panipat Green Hydrogen Project
Location: Panipat Refinery & Petrochemical Complex, Haryana
Capacity: 10,000 tonnes per annum (TPA)
Technology: Electrolysis-based hydrogen generation using renewable power
Status: Levelized cost finalized; project planning and execution underway
Significance: Largest green hydrogen facility announced in India so far
This plant will provide green hydrogen for use within the Panipat complex itself, helping reduce its carbon footprint and comply with India’s net-zero roadmap.
Why This Project Is a Game-Changer
First-mover advantage: Indian Oil becomes one of the earliest adopters of large-scale green hydrogen production in India.
Supports national mission: Aligns with the National Green Hydrogen Mission, which targets 5 million tonnes of annual green hydrogen production by 2030.
Cost competitiveness: The finalization of levelized hydrogen cost is key in assessing project feasibility and signals improving economics in green hydrogen adoption.
Carbon reduction: Helps Indian Oil transition its refinery operations toward low-emission pathways.
Industrial shift: Encourages other public and private energy players to invest in clean hydrogen solutions.
Strategic Importance for India’s Energy Future
India aims to become a global hub for green hydrogen and derivatives like green ammonia. Indian Oil’s Panipat project sets a precedent by showcasing technical and economic viability at scale. It also reflects the government’s intent to decarbonize hard-to-abate sectors while reducing dependence on fossil fuels.
What’s Next for Indian Oil?
Execution and commissioning of the green hydrogen unit
Possible replication of the model at other refinery locations
Participation in global green hydrogen supply chains
Strategic collaborations for technology and off-take partnerships
Final Thought
Indian Oil’s move is a pivotal moment for India’s green energy journey. With green hydrogen gaining global traction, large-scale efforts like the Panipat project will serve as foundational blocks for a cleaner, self-reliant, and sustainable energy economy.
Written by Indira Securities SEBI Registered with 30 plus years of experience in Stock Market!!!