Japan Extends Support For India's Green Hydrogen Mission
The ministry said Japan had decided to extend its contract for difference subsidy support to the ACME-IHI Green Hydrogen project, a development the minister welcomed as reflecting growing global confidence in India’s green hydrogen ecosystem. The ministry noted that the decision underlines India’s emergence as a trusted partner in the global clean energy transition. Officials added that contracts for difference can reduce investor risk by providing revenue stability.
ACME Cleantech Solutions Private Limited (ACME Group) has secured significant long-term offtake agreements with two leading Japanese companies, the ministry added. Under the deal with IHI Corporation, ACME will supply 405,000 tonnes per annum (405,000 t per annum) of green ammonia, the ministry said. The long-term contracts are intended to anchor demand for domestically produced green hydrogen derivatives and to provide commercial certainty for project developers.
Green ammonia, produced from green hydrogen and renewable power, is identified by market participants as a key derivative that can be transported and used for fertiliser feedstock and industrial energy. The ministry indicated these export-oriented agreements will support the scaling of electrolysers, renewable generation capacity and related logistics within India. Stakeholders told the ministry that secured offtake and subsidy signals facilitate technology transfer and supply chain development.
Officials said the convergence of policy instruments, public backing and international partnerships is strengthening India’s capacity to become a competitive supplier of clean fuels to global markets. The ministry underscored ongoing engagement with partners such as Japan as central to long-term decarbonisation objectives and export growth. It indicated that continued focus on domestic manufacturing and regulatory clarity will be essential to convert announced projects into operational capacity.