Page 140 - CW E-Magazine (22-7-2025)

Top Stories

INDUSTRY TRENDS

Domestic hydrogen demand projected to reach 8.8-mtpa

by 2032: Report

India’s hydrogen demand is projected The report highlights that most of to 2.5 times higher. Additionally, open-
to rise at a compound annual growth the announced green hydrogen capa- access electricity regulations often limit
rate (CAGR) of 3%, reaching 8.8-mtpa city is concentrated in four states: renewable energy usage for commercial
by 2032, according to a India Energy Odisha (38%), Gujarat (26%), Karnataka and industrial customers, affecting
Storage Alliance market report released (12%), and Andhra Pradesh (6%). electrolyser capacity utilisation.
at the 11th edition of the ‘India Energy Furthermore, 72% of these projects aim
Storage Week (IESW) 2025’ held to use green hydrogen for ammonia According to the report, the major
recently in New Delhi. production, while 20% have yet to cost drivers for LCOH include landed
declare end-use applications. electricity cost, capital expenditure
Despite announcements of green on electrolyser systems, and plant utili-
hydrogen projects totalling more than The Levelised Cost of Hydrogen sation rates.
9-mtpa in capacity, the report noted that (LCOH) remains a key barrier. LCOH
few initiatives have reached the Final refers to the average cost of producing India’s National Green Hydrogen
Investment Decision (FID) stage or one kilogram of hydrogen over the life- Mission (NGHM) has already seen
secured long-term offtake agreements. In time of a production facility, account- the announcement and bidding of
a baseline scenario, assuming 30% of ing for all relevant costs. several schemes, including subsidies
the announced green hydrogen capa- under Green Hydrogen (GH2) Tranches 1
city is commissioned within the next Hydrogen produced via water elec- and 2, electrolyser manufacturing
decade, supply from electrolytic and trolysis in India currently costs two to (ELY Tranches 1 and 2), and green
bio-hydrogen sources could meet only four times more than hydrogen pro- ammonia tenders under the Strategic
31% of the projected domestic demand duced from fossil fuels. Even in an Initiative for Green Hydrogen Transition
by 2032. optimistic scenario, the cost remains 1.5 (SIGHT).
QUALITY CONTROL ORDER

Fears of supply crunch over new copper import rules

India’s quality control order on “With domestic licensees unable or licensees use copper cathodes entirely
copper cathodes is likely to reduce unwilling to supply the market and un- for their own consumption. “As for for-
domestic availability due to “costly and reliable foreign alternatives, the down- eign licensees, four of the ten do not
unnecessary compliance burdens” on stream sector faces real and immediate supply copper cathodes at all, offering
foreign suppliers, the Bombay Metal shortages,” the BME said. To meet the only ingots or semi-fi nished forms,”
Exchange (BME) has said. BME re quality control rules, suppliers have to the BME said in a statement to Reuters.
presents the non-ferrous metals industry get a licence from the Bureau of Indian
in India. Standards, which oversees quality con- Among the 10 foreign suppliers
trol in India. The quality controls have who have secured certifi cation under
India, the world’s second-largest faced a legal challenge from trade the new rules, seven are from Japan,
importer of refi ned copper, imposed bodies in India, including the BME and two from Malaysia, and one from Aus-
quality controls on copper cathode the Bombay Non-Ferrous Metals Asso- tria, the government said last month.
imports in December, requiring all ciation. The government has defended Japan accounts for about two-thirds
suppliers, foreign and domestic, to en- the quality control order in court of India’s refi ned copper imports, fol-
sure there were checks on substandard against claims that it would lead to lowed by Tanzania and Mozambique.
products in the country. This has led to supply shortages and create a supply Copper is one of 30 minerals identi-
a decline in imports, the BME said – monopoly. fi ed as critical by India in 2023, with
a claim rejected by the government, domestic demand expected to double
as per a Reuters report. The BME said all fi ve domestic by 2030.

140 Chemical Weekly July 22, 2025

Contents Index to Advertisers Index to Products Advertised