India accelerates green energy transition with strategic innovations and global collaborations

India’s clean-energy sector is experiencing a profound transition, characterised by a shift from traditional hydrocarbons to green hydrogen, green ammonia, and large-scale renewables. According to Ratan Bokadia, Managing Director of Oswal Energies, the sector is moving decisively from intention to impact, driven by execution-oriented projects supported by robust policies and rapid installation rates. Key trends reshaping the landscape include accelerated development of green hydrogen and ammonia infrastructure, integration of digital technologies in engineering, procurement, and construction (EPC) as well as process automation, and stronger public-private partnerships to build sustainable energy assets.

This evolution aligns with India’s ambitious national targets to expand clean energy and decarbonisation. Reaching these goals, however, entails tackling structural and interconnected challenges. India presently lacks comprehensive infrastructure for hydrogen storage, transport, and large-scale high-pressure applications. Moreover, there is an urgent need to localise critical components such as electrolyzers to reduce import dependency. Bokadia emphasises that policy execution speed, financing frameworks, and standards must keep pace with the growing investment momentum to sustain growth. Oswal Energies is addressing these gaps through global partnerships, like those with UK’s Sinclair Energy and the US-based EnerSol, and by developing in-house modular fabrication capabilities to provide faster, cost-effective, and locally produced solutions.

The transition from hydrocarbon-based energy to green alternatives also benefits from synergies between old and new energy sectors. Bokadia views this as a natural evolution rather than a disruption, noting that the engineering discipline, safety culture, and project execution expertise developed over decades in oil and gas are invaluable assets for green hydrogen, methanol, and ammonia projects. Oswal Energies positions itself as a bridge in the energy transition, combining the credibility of traditional EPC with the innovation needed for India’s decarbonised future.

Localization, a core pillar of the “Make in India” initiative, is critical to sustaining the clean-energy transformation. Bokadia highlights Oswal’s Gujarat-based ASME-certified fabrication plant, which enables local production of complex items such as skids and heat exchangers, thereby reducing costs and lead times. At the same time, strategic collaborations with international technology leaders ensure the adoption of cutting-edge innovation.

India’s energy transition is unfolding amid various ambitious projects. For instance, Adani Energy Solutions recently secured a ₹28 billion transmission project in Gujarat to support a green hydrogen and ammonia plant, dovetailing with national targets to produce 5 million tonnes of green hydrogen annually by 2030. Meanwhile, Bharat Petroleum Corporation Limited has teamed up with Singapore-based Sembcorp to develop green hydrogen, renewables, and related technologies, aiming to decrease fossil fuel dependence and achieve a clean energy capacity of at least 500 GW by 2030.

Despite significant progress, India recently reached a milestone of 50% installed electricity capacity from non-fossil fuel sources, five years ahead of schedule, challenges persist. High production costs, weak demand signals, policy gaps, and underdeveloped infrastructure continue to slow the green hydrogen ecosystem’s large-scale adoption. According to industry reports, progress is largely limited to captive projects in oil refining and fertiliser manufacturing with guaranteed offtake.

Additional hurdles emerge from regional policy uncertainties, illustrated by Assam’s abrupt withdrawal of its flagship clean energy policy earlier this year, jeopardising renewable investments worth millions of dollars. Such reversals risk undermining investor confidence and slowing the momentum needed for the energy transition.

To address risks from regulatory, technological, execution, and supply chain fronts, Oswal Energies emphasizes a mix of strategic planning, strong global partnerships, and in-house control over quality and delivery. For example, the company plans to invest around ₹320 crore over the next two years in a 20 MW green hydrogen plant in Gujarat, supported by modular units for flexibility. This investment aligns with India’s National Green Hydrogen Mission and reflects a commitment to developing a complete hydrogen value chain, including compression and transport.

In managing the balance between legacy hydrocarbons and new green technologies, Oswal Energies pursues a dual-track strategy. While continuing to serve traditional clients with reliable EPC services, the company invests heavily in clean energy sectors such as hydrogen, carbon capture, waste-to-energy, and desalination. About 40% of its planned capital expenditure for the next two years is directed towards clean-energy ventures, complemented by upskilling talent and integrating automation.

Looking ahead, Oswal Energies plans to expand green hydrogen and ammonia infrastructure in India and the Middle East, ramp up carbon capture utilisation in refineries and chemical plants, and grow desalination and waste-to-energy solutions for industrial and municipal clients. Additionally, digital EPC capabilities and modular fabrication exports to Africa, Europe, and Southeast Asia will be developed, positioning the company as a major global EPC partner for clean industrial ecosystems.

In the broader context, major investments by companies like ReNew Energy, committed to a $2.57 billion hybrid solar and wind project in Andhra Pradesh, underscore India’s intensified efforts to meet clean energy targets after missing some deadlines in 2022. However, continuing challenges in infrastructure, supply chain localisation, and policy consistency highlight that the clean-energy sector’s transition remains a complex and evolving journey.

India’s clean-energy sector reflects a dynamic interplay between ambition, innovation, and practical challenges. The integration of traditional engineering strengths with emerging green technologies, coupled with strategic localisation and global collaboration, will be pivotal in realising its decarbonisation goals and establishing the country as a leader in sustainable energy.