The BGA India Team, led by Managing Director Ratan Shrivastava, wrote an update to clients on India’s National Green Hydrogen Mission (NGHM) and the recently launched Global Biofuel Alliance (GBA), which are expected to play a critical role by opening opportunities in India’s renewable energy sector.


  • The NGHM was approved in January 2023 with a $2.4 billion allocation for the mainstream use, production and export of green hydrogen; the GBA was launched on the sidelines of the Group of 20 (G-20) New Delhi summit as a global platform to advance biofuel production and consumption. The two programs aim to accelerate India’s energy transition and help achieve its revised 2030 nationally determined contribution targets.
  • Green hydrogen and biofuel are expected to become increasingly important parts of India’s renewable energy mix as the country seeks to reduce its carbon footprint and increase energy security. With renewable energy a key sector under the “Make in India” initiative, the manufacture and installation of solar and wind energy components has expanded significantly. The NGHM and GBA intend to replicate this success across green hydrogen and biofuel verticals.


  • Sustained policy efforts have led to a 56 percent year-on-year increase in foreign direct investment in the sector during the 2023 financial year. The fourth quarter alone recorded $838 million in foreign direct investment, marking a 102 percent year-on-year increase. Markets estimate the sector to have $220 billion in investment potential, which would allow India to meet its 2030 nationally determined contribution targets.
  • India’s renewable energy landscape is undergoing a significant transformation driven by a combination of new policy measures, sustainability targets and multilateral initiatives. NGHM aims to produce 5 million tons of green hydrogen each year by 2030 to diversify India’s energy portfolio and accelerate the transition to a low-carbon economy. India’s national biofuel policy aims to blend 20 percent ethanol and 5 percent biodiesel by 2025-26 and 2030, respectively.


  • Now is the opportune time for businesses to explore commercial opportunities and engage the government in shaping the policy landscape. The government is considering more announcements in the coming months in the form of demand mandates, targets and financial incentives for green hydrogen and biofuel production.
  • Major bilateral and minilateral efforts are accelerating technology transfer, promoting innovation and supporting sustainable clean energy supply chains. These include the U.S.-India Strategic Clean Energy Partnership, the Initiative on Critical and Emerging Technologies and the Quadrilateral Security Dialogue’s climate change working group. Efforts with like-minded partners, coupled with domestic industrial policy measures and financial incentives, are expected to lead to more renewable energy investment in the near term. Industries such as transportation, including long-distance heavy roadways, railways and aviation; steel; cement; mining; refinery; and fertilizer are expected to diversify energy sources to include green hydrogen and biofuel.

We are closely involved in engaging and shaping policy discussions with industry and government stakeholders concerning India’s green hydrogen and biofuel ecosystem. If you have any comments or questions, please contact BGA India Managing Director Ratan Shrivastava at

Best regards,

BGA India Team