Energy
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Updated on 11 Nov 2025, 06:53 am
Reviewed By
Satyam Jha | Whalesbook News Team
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JSW Energy Limited has officially started operations at its pioneering green hydrogen manufacturing plant, located adjacent to the JSW Steel facility in Vijayanagar, Karnataka. This facility is recognized as India's largest of its kind and represents a significant stride towards clean energy independence.
The plant is designed to directly supply green hydrogen to JSW Steel's Direct Reduced Iron (DRI) unit. This integration is crucial for manufacturing low-carbon steel, thereby reducing the steel industry's reliance on conventional fossil fuels and contributing to decarbonization.
Under an initial seven-year agreement, JSW Energy will provide 3,800 tons per annum (TPA) of green hydrogen and 30,000 TPA of green oxygen to JSW Steel. This supply is part of a larger allocation under the Strategic Interventions for Green Hydrogen Transition (SIGHT) program.
Furthermore, JSW Energy has entered into a Memorandum of Understanding (MoU) with JSW Steel to progressively increase the supply of green hydrogen to 85,000-90,000 TPA and green oxygen to 720,000 TPA by 2030. This expansion aligns with India's national objective of producing approximately 5 million tons of green hydrogen annually by 2030.
Impact This development is a major step for JSW Energy, reinforcing its position in the clean energy sector. It also signifies progress for JSW Steel in its decarbonization efforts. For the broader Indian market, it demonstrates tangible advancement in the National Green Hydrogen Mission and the transition towards sustainable industrial practices. The company has set ambitious targets, aiming for 30 GW of generation capacity and 40 GWh of energy storage by FY 2030, with a goal of becoming carbon neutral by 2050.
Difficult Terms: Green Hydrogen: Hydrogen produced through the electrolysis of water, powered by renewable energy sources like solar or wind. It's considered 'green' because its production does not emit greenhouse gases. Direct Reduced Iron (DRI): A process where iron ore is reduced to metallic iron using reducing gases at a temperature below the melting point of iron. This method can be made cleaner with the use of green hydrogen as a reducing agent. Production Linked Incentive (PLI) Scheme: A government scheme that provides incentives to companies based on their incremental sales of manufactured goods. National Green Hydrogen Mission: India's flagship program to promote the production, usage, and export of green hydrogen, aiming for energy self-reliance and decarbonization. Solar Energy Corporation of India (SECI): A public sector undertaking under the Ministry of New and Renewable Energy, Government of India, tasked with promoting solar energy and green hydrogen.
Impact Rating: 8/10