Gail advanced it’s Net Zero emissions target by 5 years- now aims to achieve Zero emissions target by 2035.
How does it plans to achieve this ?
To some extent this is all hocus-pocus.
Its passing emissions from one hand to another to certain extent. But enormous PR value and investment value as FII pay attention to these things and for getting lower priced green loans.
For you or me as a retail investor does not make an iota of difference if company does afforestation or whatever unless there is revenue or significant cost saved.
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Agree , finally what matters to you and me is the financial performance and stock appreciation , dividend etc which time only would tell us.
But there is nothing wrong in having a target and aiming to achieve it by different ways - Green hydrogen , CBG , Carbon capture , Ethanol which are at least not on paper - they have already initiated projects which are at verious stages of implementation .Afforestation is only one of the initiatives If this enables the company to get cheaper loan , let it be - then again it is good for investors like you and me
Discl : I remain invested from lower level. i may be biased.Not a buy sell recommendation. please do your own assessment before buy sell
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Renewable Energy finds a new Suitor-Booming Data Centers,AI
You would be wondering what renewable energy has to do with data center & AI.
The answer is yes - the Global mandate is that data centers has to run on Green energy ! intersting indeed ? But why ? can it not run on normal electricity produced by Coal ? yes it can, but there is a hitch here.!
The demand for Data centers is increasing day by day, due to the ever increasing demand for data storage , thanks to boom in AI.
Data centers are energy intensive as it needs a lot of power for cooling and ventilation apart from running the servers. Normally we use electric energy for productive purpose such as operating factories , machinery , for cooking food , operating Home appliances, driving a vehicle (EV) or a train (electric)… But if electric energy is to be used to cool data centers, it is seen as energy wastage - but a necessity devil.
Due to the data center boom &:AI, It is estimated that there is an incremental energy demand which currently stands at 3% of total energy production at Global level which is set to increase to 8% by 2030.
Already , the world is fighting with Global warming / climate change with all out efforts in decarbonising by getting rid of fossil fuels and resorting to renewable energy.
So it makes sense that the ever increasing data center boom which demands additional energy requirement should run sustainably with renewable energy and the global mandate is very clear- so the demand for more sustainable renewable energy further increasing.
India is said to be the land for cheaper sources of renewable energy and building data centers in India is less by 30-40% than elsewhere in the world and hence the world is looking up to India for data centers.
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John Cockerill Greenko Hydrogen, L&T Electrolysers, Reliance Electrolyser Manufacturing and Adani New Industries see their manufacturing units ready by 2025.
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Support for Green Energy Surges While Developers Struggle with Grid Delays.
Green Energy Receives $386 Billion Funding, But Can Grid Access Issues Be Solved?
India’s journey towards a greener and more sustainable energy future is making significant advancements, supported by large-scale investments, ambitious projects, and favorable policies along with various challenges and concerns.
Let us demystify it understand it.
Two major renewable energy conglomerates Adani and Torrent, both are actively engaged in the business of power generation through solar, wind and hydro.
Adani New Industries Limited
Adani New Industries Limited (ANIL) the wholly owned subsidiary of Adani enterprise Limited have heavily invested in various projects. Let us find about it’s Green energy ambitions.
- 10 GW solar manufacturing plant
- 5 GW wind turbine manufacturing plant
- 5 GW Electrolyser manufacturing plant
- 10 GW green hydrogen production facility in which Hydrogen capacity is 0.5 million metric tons per annum (MMTPA) and ammonia production is 2.8 million metric tons per annum (MMTPA).
Green Hydrogen, which is the next best alternative to traditional fuels is highly significant. Adani’s 0.5 MMTPA capacity for green hydrogen and 2.8 MMTPA for green ammonia will not only help reduce India’s carbon footprint but could also make the country a major exporter of green energy products.
This ambitious initiative aims to position Adani New Industries Limited at the forefront of India’s renewable energy push, with an eye toward both domestic consumption and export markets.
Torrent Power Limited
Torrent Power has also made substantial commitments to renewable energy development. In a regulatory filing, the company announced investments totaling ₹64,000 crore ($7.7 billion USD) for integrating renewable energy. This investment has the potential to create 26,000 jobs directly and indirectly.
The ‘Shapath Patra’ ie. Affidavit which was submitted to the Government by the Company accommodated some of the commitments which are mentioned below
- 10 GW of Installed Renewable Energy Capacity by 2030
The investments that are made for this is around 57,000 crores . A MoU has been signed with the Gujarat Government to execute a 5 GW solar, wind, or hybrid project in Dwarka district. - Green Ammonia Production Facility
Investments of around 7,200 crores is pledged for the capacity of 100,000 kilotons per annum (KTPA).
This focus on green ammonia is aligned with global trends, as ammonia is a crucial ingredient for sustainable energy systems and a key part of the hydrogen economy.
Government Support
India’s green energy efforts have not gone unnoticed by financial institutions. REC , a state-owned power sector lender, has pledged ₹6 lakh crore for renewable energy projects, with additional support from IREDA and the State Bank of India , each committing ₹5 lakh crore .
Such financial support is pivotal in pushing renewable energy initiatives, ensuring that companies like Adani and Torrent Power have the resources to carry out their plans. Funding is not only the key as infrastructure and supply chain hurdles also needs to be taken in to consideration.
Major Challenge
As promising as these investments are, one of the most pressing challenges for India’s renewable energy sector is the lack of adequate grid access and transmission infrastructure . A surge in global demand for high-voltage direct current (HVDC) transformers, essential for integrating renewable energy into power grids, is causing significant delays for developers. In simple terms HVDC is technology that efficiently transmits electricity over long distances using direct current, reducing power loss compared to traditional alternating current (AC).
According to industry insights, transformer lead times have increased dramatically, from 50 weeks in 2021 to 120 weeks in 2024 , creating a bottleneck in scaling renewable energy projects. The availability of transformers, land, and legal clearances are further stalling the development of transmission infrastructure, especially in key states like Rajasthan and Gujarat . These delays could potentially derail the government’s target of adding over 50 GW of renewable energy capacity annually to meet its 500 GW target by 2030 .
Another issue is that, the Power Grid Corporation of India (PGCIL) is constrained by a mandate to source transformers domestically, requiring at least 60% local value addition , due to which the production of new transformers have been slowed down, which in turn disrupts the supply chain.
Conclusion
India’s renewable energy sector stands at a crossroads, with massive investments and government backing on one side, and significant infrastructure and supply chain hurdles on the other. Companies like Adani New Industries Limited and Torrent Power are leading the charge in green hydrogen, solar, and wind energy projects, but they, along with others in the industry, must navigate the complexities of grid access delays and equipment shortages.
Meeting India’s ambitious target of 500 GW of renewable energy by 2030 will require not only financial resources but also innovative solutions to infrastructural bottlenecks. The government’s role in creating a more enabling environment, coupled with strategic industry responses, will ultimately determine whether India can lead the world in green energy while maintaining a sustainable and balanced approach to growth.
Do share your thoughts and Views.
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Are State-Owned Companies Set to Dominate India’s Green Energy IPOs?
How Renewable Energy Firms are Preparing for $8 Billion in IPOs
The renewable energy sector in India is on the verge of a massive growth, with some of the biggest players planning to raise up to $8 billion via Initial Public Offerings (IPOs) in the coming years. As sustainability becomes a global priority and Government’s ambitious target of having installed Renewable Energy capacity of 500GW by 2030, India’s renewable energy companies are capitalizing on this trend to fund their expansion, providing a potentially lucrative opportunity for investors.
Major Companies Set to Hit the Market
- NTPC Green Energy : One of the most anticipated IPOs is from NTPC Green Energy, the renewable arm of India’s largest power producer, NTPC. It is expected to launch its IPO next month, aiming to raise a staggering ₹10,000 crore ($1.2 billion). This IPO will likely attract significant attention from institutional and retail investors alike, given NTPC’s dominance in the energy sector and its aggressive shift towards green power.
- NLC India : NLC India Ltd, another public sector entity, is planning to list its renewable energy arm by the end of FY26, aiming to boost its role in the country’s transition to clean energy. With significant solar and wind power assets, NLC’s move will mark its increased focus on renewable projects in line with the government’s sustainability goals.
- SJVN Green Energy : State-owned SJVN is also eyeing the public market, with plans to list its renewable energy division next year. The company is ramping up its solar and wind energy capacity, aiming to contribute meaningfully to India’s energy targets for 2030.
- SECI (Solar Energy Corporation of India) : SECI, another key player in the renewable space, is reportedly considering launching an IPO in the next year or two. As one of the primary agencies overseeing the country’s solar energy expansion, SECI’s public debut is highly anticipated.
The Momentum Behind These IPOs
Several factors are driving this IPO wave in the renewable energy sector. First, India’s commitment to achieving 500 GW of non-fossil fuel capacity by 2030 is pushing companies to expand aggressively. Renewable energy firms need large amounts of capital to build and maintain their infrastructure—particularly in solar, wind, and hydrogen energy projects.
Since FY23, renewable energy companies in India have already raised ₹3,570 crore ($430 million) through IPOs. With the energy transition gathering speed globally, these public offerings are not just about raising funds; they represent a larger push towards sustainable growth.
Why Should Investors Care?
This rush of renewable energy IPOs presents an exciting opportunity for investors to get involved in a sector that is not only rapidly growing but also essential for global sustainability. The increasing emphasis on Environmental, Social, and Governance (ESG) investing adds further appeal to these IPOs.
In addition to large companies like NTPC and SECI, smaller firms like Onix Renewables Limited, Navitas Green involved in renewable energy equipment manufacturing and engineering, procurement, and construction (EPC) are also likely to go public soon. Investors can expect strong long-term growth potential, driven by favorable government policies, international climate agreements, and a global shift towards green energy.
What are the views of the Experts?
According to industry experts, these IPOs could offer substantial returns in the medium to long term. “Renewable energy companies have tremendous growth potential, especially with the government’s ambitious targets,” said Pranav Haldea, Managing Director of Prime Database. He also highlighted that the public issue market for renewable firms is maturing, with several companies ready to take advantage of investor interest.
Investment firms like Morgan Stanley are also eyeing this space, indicating high expectations from global markets. “We are likely to see an uptick in green business monetisation”, Morgan Stanley said in a recent report.
Prateek Jhawar, managing director and head of infrastructure and real assets at Avendus Capital, said they expect renewable companies to come out with successful IPO’s, get good valuations and deliver good returns.
Conclusion
As India races to meet its renewable energy targets, the public issue market is becoming a hotspot for renewable energy firms looking to raise funds. With IPOs from giants like NTPC Green Energy and rising players like SECI and NLC India on the horizon, investors have an exciting opportunity to be part of the country’s green energy revolution.
For anyone interested in clean energy and sustainable investing, these upcoming IPOs offer the potential for both financial returns and environmental impact. Keep an eye out for NTPC’s IPO next month—it could be the first of many success stories in India’s renewable energy boom.
Share your views and thoughts.
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@vineet_mittal
Which company are we talking about ?
TARIL (Transformers and rectifiers) . Q2 Concall.
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Karnataka Introduced draft regulations for Roof TOP Wind mills
Roof Top Solar gives energy only during day time when there is sun light… But during evening or during cloudy days , Roof top solar does not function. That is when Roof Top wind mill comes to rescue.
well, we can have a hybrid version with both Roof top Solar and Roof top wind mill…
Karnataka perhaps is the first state to come out with a draft regulations with installation of roof top wind turbines and hybrid models and other states could follow such an initiative for green energy.
As a logical sequence ,the ultimate step could be to produce green hydrogen from roof top , would not be very far away…green hydrogen can be used as a fuel in place of Natural gas / LPG.
So we as investors would find some opportunity in this roof top wind turbines segments ??? Answer is yes and no.
Roof top wind mills 300W to 3 KW are already being manufactured by a good number of MSME as listed in India Mart websites
As of today , there is no reputed listed firms making these micro wind mills. Let us keep an watch on Suzlon and Inox if they venture in to the segments in a massive scale ?
However , smaller size wind turbines are easy and simple to make and there is no entry barrier…
Today Roof Solar more or less has been commoditized- with too many players in the market, there is no brand identity as such . So small wind turbines may also follow similar fate in couse of time.
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SBI_CAPS_Report_on_Green_Hydrogen_Increased_usage_of_hydrogen_essential.pdf (827.0 KB)
Good Report on Green Hydrogen Cycle, Use of Material Technologies and Cost Structures.
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1. Introduction: What Is Green Hydrogen?
Green hydrogen is hydrogen produced by splitting water (H₂O) into hydrogen and oxygen via electrolysis, using electricity generated exclusively from renewable sources (e.g. solar, wind, or hydro). Unlike conventional “grey” hydrogen (made from fossil fuels without carbon capture) or “blue” hydrogen (grey hydrogen with carbon capture), green hydrogen has no associated CO₂ emissions. This clean energy carrier is viewed as a critical enabler for decarbonizing heavy industry, balancing renewable energy grids, and transforming transport.
Besides green H2 there are other types of H2 also:
How Is It Produced?
- Renewable Electricity Generation:
Electricity is generated by wind farms, solar parks, or hydropower plants. - Electrolysis Process:
An electrolyser splits water into hydrogen and oxygen. Common technologies include alkaline, Proton Exchange Membrane (PEM), and emerging solid‑oxide electrolysers. - Post‑Processing:
The hydrogen is purified, compressed (or liquefied) for storage, and then distributed via pipelines, trucks, or ships. - Value Chain Overview:
- Input: Renewable energy and water (often pre‑treated).
- Electrolyzer manufacturing & Conversion: Electrolysis producing hydrogen and oxygen. Larsen & Toubro leads domestic production through JVs, targeting 5 GW annual capacity by 2027. Although there are various way to manufacture elctrolyzer, alkaline method is the most prominent one.
- Processing & Storage: Compression, liquefaction, or conversion into derivatives (e.g. ammonia). Hydrogen must be purified to 99.97% for industrial use. Bharat Petroleum (BPCL) collaborates with BARC to develop alkaline electrolyzers, targeting 1,000 MW capacity by 2027
- Distribution: Transport via pipelines or logistics networks.
- End‑Use Applications: Power generation (for grid balancing), fuel for heavy‑duty vehicles, industrial processes (green steel, fertilizers, chemicals), and blending into natural gas networks
2. Why Green Hydrogen Matters: The Big Picture
Why do we need it while there are cheaper alternatives (like solar, wind) is available:
Solar, wind, and other renewables are essential sources of clean electricity, but green hydrogen serves a different and complementary role in the energy system. Here are a few key reasons why we need green hydrogen:
Energy Storage & Grid Balancing:
Unlike electricity, hydrogen can be stored over long periods and transported over long distances. This makes it a valuable way to store excess renewable energy during periods of low demand and release it when needed, helping to balance the grid.
Decarbonizing Hard-to-Electrify Sectors:
Certain industries—like steel, chemicals, and long‑haul transport—face technical and economic challenges when trying to switch directly to electric alternatives. Green hydrogen can serve as a low‑carbon feedstock or fuel in these sectors, where direct electrification is impractical.
Versatility in Applications:
Green hydrogen can be used in fuel cells for vehicles, as a raw material in producing green ammonia for fertilizers, or even blended into natural gas networks. This versatility helps reduce emissions across multiple parts of the economy.
Utilizing Surplus Renewables:
In many cases, renewable energy production (especially solar and wind) can exceed immediate demand. Converting surplus electricity into hydrogen can prevent waste and provide a storable, transportable form of energy.
Environmental and Economic Imperatives
- Decarbonization:
Green hydrogen can replace fossil fuels in industries that are difficult to electrify, such as steelmaking, chemicals, and heavy transport. For example, using hydrogen in the Direct Reduced Iron (DRI) process for steel production can lower CO₂ emissions by up to 95%. - Energy Storage & Grid Balancing:
Green hydrogen acts as a long‑term storage medium for excess renewable energy. In times when wind or solar output is low, stored hydrogen can be reconverted to electricity to stabilize the grid. - Industrial Feedstock:
Hydrogen is an essential ingredient for ammonia used in fertilizer production. Transitioning to green hydrogen reduces the overall carbon footprint of the chemical industry.
Proxy Industries Benefiting from Green Hydrogen/Application of Green H2:
Investing indirectly in green hydrogen can also be achieved by targeting industries that stand to gain from its adoption:
- Renewable Energy Developers:
Lower renewable electricity costs are key to reducing hydrogen production costs. Indian companies like Tata Power and Adani Green Energy are expanding their renewable portfolios. - Engineering and EPC Firms:
Companies such as Larsen & Toubro (L&T) have the expertise to build electrolysers, storage systems, and distribution infrastructure. - Heavy Industries (Steel, Chemicals, Fertilizers):
Firms like Tata Steel can benefit by adopting green hydrogen for cleaner production methods. - Fuel Cell and Transportation Technology Providers:
Companies developing fuel cell systems for heavy vehicles offer niche exposure to the hydrogen value chain.
3. Opportunity Analysis
Growth Projections and Market Trends
- Global Market Outlook:
Research estimates the global green hydrogen market could grow from roughly USD 7–8 billion in 2024 to anywhere between USD 60–200 billion by the early 2030s. Some studies (e.g., MarketsandMarkets) predict a CAGR in the range of 60% or more. - Cost Reductions:
Electrolyser costs have fallen dramatically (about 60% from 2010 to 2022), and further declines are expected with economies of scale and technological advancements. Projects leveraging surplus renewable energy can produce green hydrogen at lower effective costs. - Policy Support:
Countries across the EU, the US, and Asia-Pacific are rolling out substantial subsidies and incentives (e.g. US tax credits of up to US$3/kg, and the EU’s Green Deal targets). In India, the National Hydrogen Mission aims to produce 5 million tonnes of green hydrogen by 2030, creating a supportive policy environment.
Specific Opportunities for the Indian Market
- Domestic Demand & Export Potential:
India’s strong renewable energy base (high solar insolation and wind resources) and aggressive targets for green hydrogen production position the country as both a consumer and potential exporter. Heavy industry and infrastructure projects (e.g., green steel production) will drive domestic demand. - Stock Prospects in India:
Indian-listed companies that are likely to benefit include:- Renewable Energy Developers: Tata Power, Adani Green Energy
- Engineering/EPC Firms: Larsen & Toubro (L&T)
- Industrial Conglomerates: Tata Steel, Reliance Industries (which is exploring hydrogen as part of its broader energy portfolio)
- Technology Providers: Companies involved in fuel cell technology and energy storage solutions
4. Risk Analysis
Key Risks and Challenges
- High Production and Infrastructure Costs:
Even with cost reductions, green hydrogen remains more expensive than grey hydrogen. Large capital investments in electrolysers, renewable power plants, and storage/distribution networks are required. As of 2025, green hydrogen accounts for <1% of global hydrogen production due to costs (~$4–6/kg) remaining 3× higher than grey hydrogen ($1.50–2/kg). However, technological innovations and economies of scale are projected to achieve cost parity by 2030 - Demand Uncertainty:
A significant barrier is the lack of long‑term offtake agreements, particularly in sectors like transport and power generation, where the market is still in early stages. - Shortage of Skilled Manpower:
India is grappling with a significant shortage of skilled manpower in the green hydrogen sector, which poses a critical risk to its ambitious production goals. The country aims to produce 5 million tonnes of green hydrogen annually by 2030, necessitating around 600,000 trained professionals across various stages of the value chain. Currently, the workforce is insufficient to meet this demand, with a particular need for expertise in electrolyzer manufacturing and hydrogen production. The government has initiated programs to address this gap, allocating approximately $2.4 billion to incentivize training and development. However, the success of these initiatives is crucial; failure to develop a skilled workforce could lead to operational delays, increased costs, and diminished investor confidence, ultimately impacting stock prices for companies involved in this sector. Investors should closely monitor workforce development efforts and their alignment with green hydrogen production targets to gauge potential risks and opportunities in the market.
- Technological Risk:
Multiple electrolysis technologies (alkaline, PEM, SOEC) compete in the market. Uncertainty exists regarding which technology will dominate and achieve cost-effectiveness. - Policy and Regulatory Risks:
Changes in government policy, subsidy adjustments, or regulatory uncertainties (both in India and globally) can impact project economics and investor confidence. - Competitive and Supply Chain Risks:
The debate over sourcing key components—such as whether to rely on cost-effective Chinese electrolysers versus building localized supply chains—adds complexity to margin and quality considerations. - Market Maturity:
The hydrogen sector is still maturing, and near‑term returns may be volatile. Investors must be patient for long‑term scale and cost reductions to materialize.
5. Long‑Term Investment Perspective in the Indian Market
Why Invest in Green Hydrogen via Indian Stocks?
- Strategic Renewable Advantage:
India’s abundant renewable energy resources reduce the cost of green hydrogen production over time. - Government Support:
The National Hydrogen Mission, along with state and central incentives, is designed to boost production capacity and drive technology adoption. - Industrial Decarbonization:
As heavy industries in India face increasing pressure to decarbonize, investments in cleaner technologies such as green hydrogen will become more attractive. - Ecosystem Development:
Indian companies are increasingly integrated across the renewable energy value chain, from power generation to heavy industrial processing, making them key players in the transition.
Recommended Investment Approach
- Diversification Across Sectors:
Investors should consider a diversified portfolio that includes renewable energy developers, EPC firms, industrial conglomerates, and technology providers. - Long-Term Horizon:
Given the early-stage nature and capital intensity of green hydrogen projects, a long‑term (10–15 years) investment horizon is recommended. - Focus on Integrated Business Models:
Companies with vertically integrated models—covering renewable generation, hydrogen production, and industrial off-take—are better positioned to capture value. - Monitoring Policy and Technological Advances:
Staying updated on government initiatives, subsidy adjustments, and technological breakthroughs is essential to rebalancing exposure as the market matures. - Risk Management:
Due to high upfront costs and market volatility, consider using a mix of direct equity exposure and thematic ETFs or funds that focus on the energy transition.
6. Conclusion: A 360‑Degree Long-Term View
Green hydrogen stands as a transformative energy source with the potential to decarbonize hard‑to‑abate industries, stabilize renewable power grids, and drive a global shift away from fossil fuels. For a novice investor in the Indian market, understanding the full value chain—from renewable power generation and water electrolysis to storage, distribution, and industrial applications—is crucial.
While the sector is currently challenged by high production costs, technological uncertainties, and demand risks, strong policy support and the imperative for industrial decarbonization provide a robust long‑term growth narrative. Indian companies—ranging from renewable energy developers like Tata Power and Adani Green Energy, to engineering giants such as Larsen & Toubro and industrial leaders like Tata Steel—offer compelling indirect exposure to green hydrogen’s growth.
A well‑diversified, patient investment approach that considers both direct and proxy exposure will be key to capturing the upside as the sector matures and cost reductions materialize over the next decade. With continued government backing under initiatives like the National Hydrogen Mission and improvements in technology, green hydrogen could play a vital role in India’s and the global energy transition, creating substantial long‑term investment value.
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