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RIL, IOCL, Tata Motors likely to be key bidders for government’s pilot project for use of green hydrogen in transport sector

As per media reports, Reliance Industries (RIL), Tata Motors, and Indian Oil Corporation (IOCL) are expected to be key bidders for the government’s pilot project focusing on the utilization of green/grey hydrogen (H2) within the transportation sector. This initiative is in alignment with the government’s objective of decarbonizing the economy and reducing reliance on fossil fuel imports.

The government’s ambition is to position India as a leading force in both the technology and market aspects of green hydrogen, as outlined in a report by The Economic Times. The pilot project’s purpose is to identify operational challenges and address gaps concerning technology readiness, regulatory frameworks, implementation strategies, infrastructure, and supply chains.

According to the report, the bidding process for the Rs 496-crore project, which forms part of the National Green Hydrogen Mission launched in January 2023, commenced in February and is scheduled to conclude on Thursday.

However, bidders are required to participate as consortia or partners to ensure a comprehensive value chain covering hydrogen production, distribution, and vehicle operation, as per the report. This consortium should include a vehicle manufacturer, hydrogen fuel supplier/distributor, and other relevant partners.

As detailed in media reports, Reliance is collaborating with Ashok Leyland and Daimler India Commercial Vehicles, while Tata Motors is forming a consortium with IOCL. Additionally, Ashok Leyland is reportedly partnering with NTPC.

The H2 corridor project aims to facilitate the phased deployment of hydrogen-powered buses, trucks, and cars. The chosen bidder will receive financial support to bridge the viability gap resulting from the higher initial costs associated with hydrogen-powered vehicles.

Insights gained from the pilot project will eventually be utilized to support the adoption of hydrogen-powered vehicles and refueling technologies among intercity buses, truck operators, and private car users.

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