The Solar Energy Corporation of India (SECI) has announced its fifth winning bid in the ongoing green hydrogen-based ammonia auction under the SIGHT programme (Mode-2A, Tranche-I), with prices once again dipping below the ₹60 per kilogram mark.

Solar developer Onix Renewable emerged successful with a bid of ₹52.50 per kg (approximately $0.599/kg) to supply 50,000 tonnes of green ammonia per annum to Gujarat Narmada Valley Fertilisers & Chemicals (GNFC) in Bharuch, Gujarat, over a ten-year contract. Launched in June 2024, the tender aims to promote clean energy transition via long-term supply commitments.

Under the terms, Onix Renewable must establish the production facility, acquire land and regulatory approvals, and manage storage and delivery logistics. Trading or arbitrage is not permitted, although up to 10% of annual production may be sourced from third parties.

This bid positions Onix in the mid-price bracket among competitors: NTPC Renewable Energy previously won a 70,000-tonne contract at ₹51.80/kg, Oriana Power secured 60,000 tonnes at ₹52.25/kg, and ACME’s earlier bid stood at ₹55.75/kg. These consistently low price points underscore the growing cost-competitiveness of India’s green ammonia market.

India’s relatively flexible definition of “green” hydrogen—which allows emissions to be averaged over 12 months rather than hourly correlation—helps enable lower capital costs and more competitive pricing compared to European markets. 

This SECI auction forms part of a broader national strategy under the National Green Hydrogen Mission, which aims for demand creation, production expansion, utilisation, and export of green hydrogen and derivatives. The SIGHT component has a budget allocation of approximately ₹174.9 billion (~$1.99 billion) to support these supply auctions.

The outcome highlights India’s strengthening green energy economy, driven by competitive auction mechanisms and long-term offtake certainty—paving the way for domestic fertiliser units and other industries to embrace sustainable fuels.

Source: 

https://www.hydrogeninsight.com/policy/india-announces-fifth-ultra-low-price-winning-bid-for-its-green-hydrogen-based-ammonia-auction/2-1-1856620?zephr_sso_ott=F2rUJQ