Every great energy transition begins with a bold promise. For green hydrogen, that promise is to decarbonise the industries where electrification alone reaches its limits. Produced by splitting water using renewable electricity, it offers a pathway to steel, fertilisers, shipping, aviation, and other hard-to-abate sectors. Yet as global ambitions grow, so does the question: can green hydrogen move beyond potential and become a commercially viable energy solution?
Turning that potential into reality will require more than technological progress. Electrolyser technology continues to improve, renewable electricity costs are declining, and governments are introducing incentives to accelerate investment. While progress continues, green hydrogen remains costlier than fossil fuel-based hydrogen, with storage, transport, and distribution infrastructure still evolving. While these barriers have slowed project development, they also underscore the need for consistent policy frameworks and greater private investment to unlock the sector’s full potential.
At the same time, green hydrogen is unlikely to become the universal answer to every energy challenge. Its greatest value lies in sectors where direct electrification is difficult. Heavy industries, long-distance shipping, aviation fuels, and chemical processes are expected to benefit most, while applications that can be efficiently electrified may rely less on hydrogen. This targeted approach directs resources where they deliver the greatest environmental impact.
India is positioning itself as an important participant in this transition. The National Green Hydrogen Mission supports India’s goal of producing 5 million metric tonnes of green hydrogen annually by 2030 while expanding renewable energy capacity and domestic electrolyser manufacturing. Backed by abundant solar and wind resources, the country can strengthen energy security, reduce fossil fuel imports, and become a competitive supplier in global hydrogen markets.
Green hydrogen’s long-term promise remains real, but success will depend on continued innovation, supportive regulation, reliable demand, and sustained investment. Rather than delivering an overnight transformation, it is likely to become one component of a broader clean energy system. The true measure of its future lies beyond expectations – in its ability to scale sustainably, compete on cost, and drive measurable decarbonisation where real-world impact is greatest.
SOURCES: