In a significant move under the National Green Hydrogen Mission, the Government of India has sanctioned three trailblazing pilot projects to integrate green hydrogen into steel production. This strategic initiative, supported by the Ministry of New and Renewable Energy (MNRE), signals a definitive shift toward low-carbon infrastructure in one of the most energy-intensive industrial sectors.
The collective investment for these projects amounts to ₹347 crore, earmarked for commissioning within the next three years.
This funding will facilitate the construction of a 50 tonnes-per-day (TPD) Direct Reduced Iron (DRI) facility led by Matrix Gas and Renewables Ltd., in consortium with Gensol Engineering Ltd., IIT Bhubaneswar, and Sweden’s Metsol AB.
A 40 TPD pilot plant spearheaded by Simplex Castings Ltd., in partnership with BSBK Pvt Ltd, Ten Eight Investment, and IIT Bhilai and a flagship 3,200 TPD plant at SAIL’s Ranchi unit, the mission’s largest project and flagship demonstration site.
These pilots are designed to evaluate three hydrogen integration approaches: 100 per cent hydrogen-based DRI in vertical shafts, injection of hydrogen into existing DRI structures, and hydrogen substitution in blast furnace operations.
The MNRE emphasises that these projects will validate safe operational protocols, assess performance metrics, and measure cost efficiency—laying the groundwork for scaling up India’s green hydrogen steel production.
Launched on January 4, 2023, with an envelope of ₹19,744 crore through FY 2029–30, the National Green Hydrogen Mission aims to set the stage for carbon-neutral industrial practices. It seeks to establish India as a global leader in green hydrogen and reduce the sector’s heavy reliance on fossil fuels.
