India needs a clear and long-term policy framework to rapidly expand green hydrogen and ammonia production and attract global investment, according to Subramanian Sarma, Deputy Managing Director & President of Larsen & Toubro (L&T) Group. L&T is currently building a green hydrogen plant at Indian Oil Corporation’s Panipat refinery and is evaluating more projects in the sector. To position itself as a competitive green hydrogen hub, India must create demand through defined procurement mechanisms for industries such as refining, fertilizers, steel, and heavy mobility. Early-stage support for electrolyser manufacturing and green molecule projects, simplified access to round-the-clock renewable power, faster grid connectivity, and smoother approvals are also essential.
L&T plans to invest $2.5 billion in green energy over three to five years, with a focus on strengthening long-term capabilities in areas such as green hydrogen, electrolysers, offshore wind components, and grid and storage solutions. The company is in talks with global firms that see India as a potential production base for green hydrogen and ammonia. Sarma stated that L&T’s long-term plan is to remain active in the core hydrogen engineering, procurement, and construction (EPC) segment while expanding into low-carbon and green technologies.
L&T is also working on integrating clean energy systems covering generation, storage, transmission, and distribution. The company is expanding capabilities in battery energy storage systems, pumped storage, and hybrid solar-wind combinations supported by digital tools. It is adopting forecasting systems, energy management platforms, and AI/ML-based optimization to help renewables take on more baseload responsibility. L&T has already launched pilot projects combining hybrid generation with battery storage and digital controls.
The company anticipates growth in both domestic and overseas markets over the next three to five years, with faster expansion likely in West Asia. Saudi Arabia, in particular, offers strong opportunities across hydrocarbons, clean energy, grid systems, and infrastructure. By 2030, Sarma expects Saudi Arabia to become one of L&T’s most significant markets with a robust pipeline of projects across conventional and transition sectors. Overall, L&T is committed to a dual approach, enhancing traditional hydrocarbon EPC strengths while growing in renewables, carbon capture, blue and green hydrogen and ammonia, and both onshore and offshore wind.