When it comes to investing, particularly stock picking, one approach long-term investors can take is to first pick the industry and then invest in the good companies from that industry. Today, we look into one such promising space – the green hydrogen stocks segment. First, we will cover the basics, and then we will examine the leading green hydrogen companies in India.
If you’re considering entering this high-growth sector but want to make informed, data-backed decisions, Jarvis Invest’s AI-powered approach can help you choose the right stocks and the right time to invest for maximum potential.
What is green hydrogen?
Let’s start by understanding green hydrogen; this will help you gain confidence in the industry/sector. We will keep it simple for you, readers. Green Hydrogen (denoted by H₂) is hydrogen gas produced by splitting water (H₂O) using electricity from renewable energy sources like wind or solar. Some of you may know that this process is called electrolysis.
But why green?
Since this process does not emit carbon dioxide, the hydrogen it produces is 100% clean. Hydrogen produced from natural gas is called “grey” hydrogen, while hydrogen made by capturing CO₂ and storing it is called “blue” hydrogen. Now, let’s move to the next crucial question.
Here are the top three reasons why green hydrogen is essential:
- Decarbonizing Hard-to-Abate Sectors: Green hydrogen can replace fossil fuels in sectors where electrification is challenging, such as steel, cement, shipping, aviation, and refineries. These account for a massive chunk of global emissions.
- Energy Security & Diversification: For countries like India, which import over 85% of their oil, green hydrogen offers a way to reduce dependence on fossil fuel imports and enhance energy independence.
- Export Opportunity: Countries like Germany, Japan, and South Korea are future buyers of clean hydrogen. India, with its low-cost solar energy, could become a major exporter, which will boost India’s GDP and create jobs.
We are sure you are still wondering – what green hydrogen stocks have to do with investors? Let us answer that for you.
Why Should Investors Care?
Here are the top three reasons why investors should care about green hydrogen stocks, beyond just environmental sustainability:
- Massive Policy Push: Under India’s National Green Hydrogen Mission, the government has allotted a budget of approximately Rs 19,500 crore to this sector. The country has a target of 5 million tonnes per year by 2030, with a focus on mobility, power, industry, and exports. This strong government backing not only lowers regulatory risks but also increases visibility, giving investors a sense of security and confidence in the sector.
- Multi-Decade Growth Theme: Green hydrogen is where solar and wind were in the early 2000s. So, early movers have the chance to capture long-term value. The global market is expected to cross $500 billion by 2050, with India targeting ~10% market share. A long runway for growth means compounding potential for both patient and long-term investors.
- Capex Boom = Value Creation: Many companies are investing thousands of crores into electrolyser plants, hydrogen hubs, and clean fuel corridors. For investors, green hydrogen is not just about sustainability; it’s about creating value. It’s creating a new industrial ecosystem, similar to what IT or telecom did in earlier decades. This presents an exciting opportunity for investors to be part of this value creation. Next, we move to the most critical part – green hydrogen stocks.
Green Hydrogen Companies in India
We look at the top 5 green hydrogen companies in India:
- Reliance Industries: Reliance is the largest company in India and has operations in multiple sectors, including green hydrogen. It is building a fully integrated green energy ecosystem that includes solar panels, batteries, electrolysers, and green hydrogen. It plans to produce green hydrogen at $1/kg by 2030, which is a global benchmark for cost leadership.
- Adani Green Energy: Adani Group plans to invest $50 billion over 10 years through Adani New Industries. The company aims to become the world’s largest green hydrogen producer, with 1 million tonnes/year capacity by 2030. For its ambitious target, the company has collaborated with Total Energies (France) for technology and funding.
- Oil and Natural Gas Corporation: ONGC has partnered with NTPC to set up green hydrogen plants powered by offshore wind and solar. They are evaluating pilot projects at refineries and oilfields for hydrogen production and blending. ONGC is exploring H₂ in mobility, fertilizer, and petrochemical use cases.
- Larsen & Toubro: L&T has entered a JV with ReNew Power and IOCL to manufacture electrolysers in India. It is executing EPC (engineering, procurement, construction) for multiple hydrogen infra projects. Also, they are working on offshore green hydrogen pilot projects in Tamil Nadu and Gujarat.
- NTPC: India’s largest power generator is setting up pilot green hydrogen projects in Leh, Varanasi, and Simhadri. The company plans to develop India’s first green hydrogen mobility project: hydrogen buses and fuel stations. They are targeting 5 GW green hydrogen capacity by 2030, for which they recently invited global tenders for 1 GW electrolyser supply.
Emerging Green Hydrogen Stocks in India to Watch:
These companies are not yet pure–play green hydrogen producers, but their renewable energy expertise and strategic plans position them as potential beneficiaries of India’s green hydrogen boom.
| Company Name | Role in the Green Hydrogen Sector | Current Focus Area |
|---|---|---|
| IREDA | Finances renewable and green hydrogen projects | Renewable energy project financing, including hydrogen |
| JSW Energy | Developing green hydrogen production projects | Renewable power and clean hydrogen initiatives |
| Tata Power Company | Exploring green hydrogen pilot projects | Solar, wind, and hydrogen pilot programs |
| Waaree Energies | Supplier of solar panels for hydrogen production | Solar manufacturing, renewable infrastructure |
| Oriana Power | Supports renewable energy infrastructure for hydrogen | Solar EPC and hydrogen-linked projects |
Conclusion :
If you’re looking to invest in green hydrogen stocks in India, the opportunity is promising but requires patience. This is still a growing sector and may not deliver quick returns, yet for long-term growth investors, it holds immense potential. The smart approach to stock picking is to first choose the right industry and then the top-performing companies within it. One such high-potential space is the green hydrogen stock segment. In this blog, we’ve covered the basics and highlighted India’s leading green hydrogen companies to help you make informed decisions about the best green hydrogen stock opportunities.
If you’re ready to invest, Jarvis Invest Portfolio — from a SEBI-registered, AI-powered stock market advisor trusted by thousands in India helps you choose the right stocks, invest at the right time, and manage risks, so you can grow your wealth with confidence.
Frequently Asked Questions
Q: What is green hydrogen, and how is it different from other types?
A: Green hydrogen is produced by separating water using electricity from renewable sources like solar or wind. It emits zero carbon, unlike grey hydrogen or blue hydrogen.
Q: Why is India investing heavily in green hydrogen?
A: India aims to reduce its dependence on fossil fuel imports, cut carbon emissions, and become a global export hub for clean hydrogen. The Indian government launched the National Green Hydrogen Mission with a Rs 19,744 crore budget. The country targets 5 million tonnes/year of green hydrogen production by 2030.
Q: How can retail investors invest in green hydrogen in India?
A: If you are interested in green hydrogen companies in India, you can buy shares of RIL, Adani Enterprises, L&T, ONGC, and NTPC through the stock market. There is currently no dedicated green hydrogen ETF in India, but these companies give indirect exposure.
Q: Is green hydrogen profitable yet?
A: Not yet. Green hydrogen is still in the pilot and early investment stage, and current production costs are high. However, with scale, tech improvements, and government support, costs are likely to fall by 2030, which will make it commercially feasible.
Q: Is green hydrogen a short-term or long-term opportunity?
A: It’s a long-term opportunity for sure. We have seen solar and wind mature over 10–15 years; similarly, green hydrogen will take time to evolve. Early-stage investors may see volatility, but those with patience could benefit from multi-decade structural growth.
