India’s Energy Shift Through the Green Ammonia Route

Syllabus:GS3/Environment 

In News

• India’s energy transition is increasingly focusing on green hydrogen and its derivatives, with green ammonia emerging as a crucial pathway.

Green ammonia

• It is produced using green hydrogen, and is emerging as a leading clean fuel for fertilizers, energy, and marine applications. 
• Globally, procurement mechanisms such as the EU’s H2Global initiative and South Korea’s Clean Hydrogen Portfolio Standard are driving market development.
• India’s green ammonia auction under SECI’s SIGHT programme (part of the National Green Hydrogen Mission) stands out for its scale and competitiveness.

Benefits of Green Ammonia

• Decarbonization of Fertilizers: India’s fertilizer sector, heavily dependent on imported ammonia, can significantly cut emissions by adopting green ammonia.
• Energy Storage & Transport: Ammonia is easier to store and transport compared to hydrogen, making it a practical energy carrier.
• Export Potential: India can become a hub for green ammonia exports, especially to countries seeking clean fuels.
• Industrial Applications: green ammonia can be used in shipping, power generation, and chemical industries.
• Strategic Independence: Reduces reliance on fossil fuel imports, strengthening India’s energy security.

Challenges

• High Costs: Current green ammonia production is more expensive than conventional ammonia.
• Technology Readiness: Large-scale electrolyzers and ammonia synthesis technologies need further development.
• Infrastructure Gaps: Storage, transport, and distribution networks for green ammonia are still limited.
• Coal Dependence: India’s power sector remains heavily reliant on coal, complicating the transition.
• Global Competition: Other countries are also investing heavily, requiring India to scale rapidly to remain competitive.

Steps Taken by the Government

• The Strategic Interventions for Green Hydrogen Transition (SIGHT) Programme has an outlay of ₹17,490 crore to promote green hydrogen in India.
  • It supports domestic manufacturing of electrolysers.
  • It supports the production of green hydrogen.
• The National Green Hydrogen Mission emphasizes ammonia as a key derivative for industrial decarbonization.
• International Collaboration: India is engaging with global partners to attract investment and technology transfer.
• Pilot Projects: Initiatives in fertilizer plants and shipping are being tested to integrate green ammonia.
• Carbon Neutrality Goal: India’s declared target of net-zero emissions by 2070 places green ammonia at the heart of its energy roadmap.

Conclusion and Way Forward 

• India’s green ammonia strategy supports its energy transition by reducing fertilizer emissions, improving energy security, and creating export opportunities.
• India’s green ammonia success stems from low renewable energy costs, effective contract structures, strong logistics, and targeted incentives. 
• To maintain progress, it needs stable regulations, integrated renewable systems, blended finance, risk safeguards, and robust safety and certification frameworks.
• With sustained coordination, India can emerge as a global leader in clean ammonia.
• At the India Energy Week 2026, Prime Minister highlighted investment opportunities worth $500 billion in clean energy, positioning India as a global leader in the green ammonia landscape.

Source :TH