Wedoany.com Report on Feb 9th, Against the backdrop of the global decarbonization transition, green hydrogen has become a crucial component of clean energy strategies. Electrolyzers, as the key technology that uses renewable energy to split water into hydrogen and oxygen, play a central role in this process.
Countries exhibit distinct characteristics in their electrolyzer technology development. Europe, as an early technology leader, faces challenges related to cost, supply chains, and project execution. The United States has accelerated the growth in electrolyzer demand and capacity expansion through relevant policies. China possesses a scale advantage in alkaline electrolyzer manufacturing and exports equipment globally. Japan and South Korea focus more on overseas investments and long-term off-take agreements.
India's electrolyzer industry is at a critical stage of development. The country possesses favorable conditions such as low-cost renewable energy, growing domestic demand, and policy support. The success of India's electrolyzer ecosystem will depend on its ability to rapidly scale up manufacturing, achieve localization of key components, improve efficiency and reliability, and maintain competitiveness in the global market.
Several Indian companies are increasing investments and manufacturing efforts in electrolyzers. Larsen & Toubro has commissioned its first indigenously manufactured 1 MW pressurized alkaline electrolyzer in Gujarat. Ohmium Operations has established a proton exchange membrane (PEM) electrolyzer factory in Karnataka. A 1 MW PEM electrolyzer manufactured by GreenH Electrolysis in Haryana will supply hydrogen for India's first hydrogen-powered train. Greenzo Energy has launched a 1 MW alkaline electrolyzer stack specifically designed for Indian operating conditions and has secured substantial orders.
Ceres Power and Shell demonstrated a megawatt-scale solid oxide electrolyzer system in Bengaluru. Jakson Green Infinity reported an annual electrolyzer production capacity of approximately 300 MW and plans further expansion. Reliance Industries has signed technology licensing agreements with global technology providers to acquire the intellectual property required for large-scale manufacturing of alkaline electrolyzers.
Innovation in India's electrolyzer sector primarily focuses on improving energy efficiency, reducing dependence on rare materials, and enhancing system durability. Industry-academia collaborations are working towards localizing critical components and nurturing specialized talent. Singapore-based HYDGEN recently raised funds to expand its anion exchange membrane (AEM) electrolyzer technology, which combines the advantages of alkaline and PEM systems.
Through the National Green Hydrogen Mission, the Indian government plans to achieve an annual production capacity of 5 million tonnes of green hydrogen by 2030. Related policy incentives include a Production Linked Incentive (PLI) scheme for electrolyzer manufacturing, aimed at supporting domestic supply chain development, reducing reliance on technology imports, and improving cost competitiveness.
India's electrolyzer market size is projected to exceed $620 million by 2030. If manufacturing capacity expands as planned, India could become a significant player in both domestic green hydrogen supply and the global electrolyzer value chain. Challenges include competition from low-cost manufacturers, addressing component supply constraints, and establishing robust standards and financing systems.
Electrolyzer technologies mainly include alkaline, proton exchange membrane (PEM), anion exchange membrane (AEM), and solid oxide types. Alkaline systems offer lower costs and high reliability, PEM systems respond faster to renewable energy fluctuations, AEM technology aims to reduce material costs, and solid oxide systems offer higher efficiency but are still in the pilot stage. These technologies collectively support India's efforts to scale up green hydrogen production efficiently and economically.
