SECI Invites Proposals to Build India’s Green Hydrogen Hubs

SECI (Solar Energy Corporation of India Limited), a Navratna Central Public Sector Enterprise under Ministry of New and Renewable Energy (MNRE), has issued a Call for Proposals (CfP) dated September 28, 2026, inviting agencies to prepare Detailed Project Reports (DPRs) for establishing green hydrogen hubs under Component‑B1 of India’s National Green Hydrogen Mission. The online bid submission deadline is October 30, 2026.

For an uninitiated, the Component‑B1 of India’s National Green Hydrogen Mission refers to the development of Green Hydrogen Hubs — regions identified and supported with infrastructure to enable large‑scale production and/or utilization of green hydrogen and its derivatives. The government has allocated ₹400 crore up to 2025‑26 for this initiative.

Green Hydrogen Hubs are designated regions in India where large‑scale production, storage, and utilization of green hydrogen will be concentrated, supported by dedicated infrastructure and government funding. These hubs are central to India’s National Green Hydrogen Mission, with at least two hubs planned initially and ₹400 crore allocated up to 2025‑26.

SECI is the implementing agency for green hydrogen and methanol tenders, including India’s world’s largest 500,000 MT green methanol auction.

Key Details of SECI’s CfP

• Agency: Solar Energy Corporation of India (SECI), under MNRE
• CfP Reference: SECI/C&P/EOI/17/0005/26‑27, dated September 28, 2026. 
• Scope of Work: Selection of executing agencies to prepare DPRs for green hydrogen hubs under NGHM Component‑B1. 
• Submission Deadline: October 30, 2026 (online bids). 
• Pre‑Bid Meeting: Scheduled as per SECI’s Notice Inviting Tender (NIT) on its website. 
• Proposal Opening: First working day after submission deadline

Scope of DPR Preparation

• Hub Location Assessment: Identify potential sites based on hydrogen demand, infrastructure, and techno‑commercial viability.
• Baseline Data Collection: Renewable energy potential, water availability, industrial demand, pipelines, logistics, and financial feasibility.
• Stakeholder Consultation: Engage with state nodal agencies, industries, utilities, ministries, and research institutions.
• Infrastructure Planning: Renewable energy co‑location, grid connectivity, storage systems, refuelling, compression, liquefaction, ports.
• Project Layouts & Financial Models: Detailed layouts, capex estimates, phased implementation, and financial viability.
• Risk & Impact Analysis: Environmental/social impact, regulatory clearances, and legal considerations.

Structured Overview

Focus Area	Details
Location Identification	Demand centres, infrastructure readiness, techno‑commercial viability
Data Inputs	RE potential, water, industrial demand, pipelines, logistics
Infrastructure	Grid, storage, refuelling, compression, liquefaction, ports
Financials	Capex estimates, phased roadmap, financial models
Stakeholders	State agencies, industries, utilities, ministries, research bodies
Risk & Impact	Environmental/social analysis, regulatory clearances

Risks & Considerations

• Regulatory Delays: Multiple clearances across states may slow hub development.
• Water Availability: Hydrogen production requires significant water; DPRs must assess sustainability.
• Grid Integration: Managing renewable intermittency is critical; storage solutions must be viable.
• Financial Viability: Long‑term demand projections and offtake agreements will determine bankability.

India Fast‑Tracks World’s Largest Green Methanol Tender

India is set to finalize tenders for 500,000 metric tonnes of green hydrogen–based methanol within the next two months, under Solar Energy Corporation of India Limited (SECI)'s SIGHT scheme. The bidding process began in May 2026, with contracts expected to be awarded by September 2026, marking a major milestone in India’s National Green Hydrogen Mission.

Green hydrogen methanol (or e-methanol) is a clean liquid fuel made by combining green hydrogen with captured carbon dioxide. It turns volatile hydrogen into a stable liquid that is easy to store and transport.

SECI has officially announced the 500,000‑tonne green methanol tender under the National Green Hydrogen Mission. The tender was published on May 6, 2026, with bids opening on June 8, 2026, and includes a 10‑year Green Methanol Purchase Agreement (GMPA).

The upcoming tender is the world’s largest because no other country has yet launched a single procurement of this scale for green methanol, making it a landmark in global shipping decarbonisation and hydrogen‑derived fuels.

Most global initiatives (EU, US, China) are in the 50,000–200,000 MT range, often fragmented across multiple plants. India’s tender dwarfs other announced projects.

Part of India’s National Green Hydrogen Mission, with SECI acting as the central buyer, ensuring guaranteed demand and revenue visibility, this is the first structured offtake mechanism for green methanol at such scale, backed by a 10‑year Green Methanol Purchase Agreement (GMPA).

Key Tender Details

• Agency: Solar Energy Corporation of India (SECI)
• Scheme: Strategic Interventions for Green Hydrogen Transition (SIGHT), Mode‑2C‑Tranche‑I
• Capacity:500,000 MT per annum of green methanol
• Bidding Process: Cost-based competitive bidding, single-stage, two-envelope system
• Eligibility: Only new production facilities (greenfield projects); existing methanol plants excluded
• Contract Tenure:10-year Green Methanol Purchase Agreement (GMPA) with SECI
• Bid Range: Minimum 50,000 MT/year; maximum 250,000 MT/year per bidder
• Financials:
  • Earnest Money Deposit (EMD): ₹5,000 per MT
  • Performance Bank Guarantee (PBG): ₹7,500 per MT
  • Non-refundable bid processing fee (capacity-linked)

Strategic Importance

• Shipping Decarbonisation: First tranche prioritizes maritime fuel transition
• Climate Standards: MNRE notified Green Methanol Standard (≤0.44 kg CO₂eq/kg) in March 2026
• Energy Security: Reduces reliance on imported fossil fuels
• Global Leadership: Positions India alongside EU and US in green methanol adoption

Comparison: Green Methanol vs Alternatives

Fuel	Carbon Intensity	Use Cases	India’s Policy Support
Green Methanol	≤0.44 kg CO₂eq/kg	Shipping, chemicals	SIGHT Mode‑2C, GMPA
Green Ammonia	≤0.5 kg CO₂eq/kg	Fertilizers, energy storage	SIGHT Mode‑2A auctions
Fossil Methanol	>2.0 kg CO₂eq/kg	Chemicals, fuels	No incentives

Risks & Challenges

• Financing: High upfront costs; long-tenor GMPA helps mitigate
• Technology Readiness: Scaling green hydrogen electrolysis and methanol synthesis
• Global Competition: EU shipping corridors and US Inflation Reduction Act subsidies may outpace India
• Compliance: Strict adherence to MNRE’s carbon intensity standards required

Next Steps

• SECI will finalize bids by September 2026
• Selected producers will begin supply under GMPA, with financial incentives for 3 years
• India aims to integrate green methanol into shipping fuel corridors and chemical industries

Why It’s the World’s Largest

• Scale: At 500,000 MT per annum, India’s tender dwarfs other announced projects. Most global initiatives (EU, US, China) are in the 50,000–200,000 MT range.
• Single Tranche: India has bundled half a million tonnes into one consolidated tender, unlike fragmented projects elsewhere.
• Global Benchmark: First structured offtake mechanism for green methanol at this scale, backed by a 10‑year GMPA.
• Policy Backing: Part of India’s National Green Hydrogen Mission, with SECI acting as central buyer.

Global Comparison

Country	Largest Announced Capacity	Structure	Status
India	500,000 MT (single tender)	SECI GMPA, 10 years	Tendering, 2026
EU	200,000 MT (multiple plants)	Shipping corridors, subsidies	Under construction
US	150,000 MT (IRA‑backed)	Private projects, tax credits	Announced
China	100,000 MT (regional pilots)	Provincial support	Operational pilots