Kerala is set to launch a significant green hydrogen project in Kochi with a total investment of ₹18,542 crore. The initiative aims to establish a green hydrogen valley, with ₹4,166 crore allocated for electrolyser and ammonia plants, and ₹12,687 crore dedicated to renewable energy infrastructure. The project will be executed in three phases: Phase I (2024-25), Phase II (2026-2030), and Phase III (2030-2040).
Government funding for the project is expected to reach ₹731 crore, covering areas such as techno-commercial assessments, transmission infrastructure, pipeline and refuelling systems, and offtake infrastructure. Additionally, the project roadmap estimates a subsidy requirement of ₹1,055 to ₹2,908 crore to bridge the viability gap for green hydrogen in the second and third phases.
Investments in hydrogen production, infrastructure development, and grid transmission will amount to ₹56 crore in phase I, ₹669 crore in phase II, and ₹5,130 crore in phase III, according to the Kochi Green Hydrogen Valley roadmap.
The project will also create around 3,600 jobs and help reduce Kerala’s carbon emissions by 0.49 million tonnes, accounting for a 2% reduction in overall emissions. ANERT will serve as the nodal agency, overseeing the entire project, with the formation of the Kerala Hydrogen Council and a subsidiary company – Kerala Green Hydrogen Hub.
Kochi’s hydrogen valley will focus on green ammonia production, with potential demand reaching 71 ktpa of green hydrogen and 625 ktpa of green ammonia by 2040. Key offtakers include BPCL, KSRTC, and HOCL, among others.