Adani Group eyes 5 GW electrolyzer capacity with up to $3 bn investment

The company, which plans to acceptable up the archetypal 2 GW capableness by FY25, would manufacture indigenous alkaline electrolyzers, nether the government's Strategic Interventions for Green Hydrogen Transition (SIGHT) strategy of the hydrogen mission.

Adani New would initially acceptable up astir 198.5 MW capableness and person an inducement of up to ₹293.78 crore from the authorities nether the scheme.

The government, nether the SIGHT scheme, gives alkaline electrolyzer manufacturers incentives for 5 years till FY30. Companies request to acceptable up facilities wrong 2 years aft receiving the missive of grant nether the plan.

Alkaline electrolyzers are utilized for producing greenish hydrogen and are said to effect successful little expenses compared to different commonly utilized technologies, including proton speech membrane.

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“After the aviator task is successfully executed, the institution plans to initially acceptable up 2 GW capableness for commercialized operations, which would past beryllium ramped up to a minimum of 5 GW," said 1 of the persons cited above.

Another idiosyncratic with cognition of the developments said electrolyzer manufacturing outgo for per kilowatt (kw) capableness stands astatine astir $600, and the radical would person to put astir $3 cardinal for the 5 GW capacity.

Queries sent to Adani New Industries Ltd remained unanswered till property time.

The institution has besides tied up with electrolyzer exertion providers Cavendish Renewable Technology (Australia) and Hydep (Italy) for the alkaline-based technology. It is besides moving connected anion speech membrane (AEM) technologies, wherein prototypes are being prepared.

In a presumption successful March, Adani New Industries had said that among the 3 technologies being tried and tested, the alkaline-based and AEB-based technologies are the astir preferred. 

The 2nd idiosyncratic mentioned supra noted that the institution is present zeroing successful connected alkaline-based technology.

According to the March presentation, a 5 MW size electrolyzer aviator based connected alkaline exertion is already underway. The institution plans to acceptable up its manufacturing installation by 2025 and is besides looking astatine processing the proviso concatenation required for achieving 90% indigenization of electrolyzers.

The propulsion towards indigenous electrolyzer capableness comes successful the backdrop of the company's plans to grow footprint successful the green hydrogen space.

India consumes astir 6 cardinal tonne of grey hydrogen per annum, crossed fertilizer, refining, alloy and methanol, which tin beryllium replaced with greenish hydrogen.

However, a cardinal request is that the outgo of its accumulation needs to travel down. The expenditure of manufacturing electrolyzers forms a large portion of outgo of greenish hydrogen production, making some backstage players and the authorities propulsion for scaling up home electrolyzer production.

Grey hydrogen is produced from polluting resources specified arsenic earthy state and methane, portion greenish hydrogen is produced from renewable vigor sources from upwind and solar.

Under the National Green Hydrogen Mission, the authorities aims to person a capableness of 5 cardinal metric tonne of yearly greenish hydrogen accumulation with a capableness of 60-100 GW of electrolyzer manufacturing.

Several different backstage companies person ventured into this nascent abstraction hoping to thrust connected the marketplace imaginable for greenish hydrogen.

Reliance Industries is investing astir $10 cardinal successful its caller vigor ecosystem including greenish hydrogen. The institution is processing a giga analyzable successful Jamnagar, Gujarat with 5 giga factories for photovoltaic panels, substance compartment system, greenish hydrogen, vigor retention and powerfulness electronics. Its limb Reliance Electrolyzer Manufacturing Ltd has besides been selected nether the SIGHT strategy to make electrolyzers.

Other companies successful the abstraction see Avaada GreenH2 Private Ltd, ACME Cleantech Solutions, and Greenko Zero.

Shares of Adani Green were trading 0.8% little astatine ₹1,783.20 connected the National Stock Exchange.