IOC open to setting up its own electrolyser to produce green hydrogen

Indian Oil Corporation, India's largest, state-owned refinery, is not averse to setting up its own electrolyser manufacturing capacity, if the economics are "compelling enough". 

This was stated by the company's Director--R&D and Business Development, Dr SSV Ramakumar, at a press conference in Chennai on October 6, in response to a question as to whether IOC would financially support electrolyser manufacture.

"We have not given it any serious thought, but why not," Dr Ramakumar said, but "directionally" the company is open to the idea. "If we find it compelling enough, who knows, we might set up a plant by ourselves," he said.

The government of India is gearing up to mandating a "10 per cent obligation" on producers and consumers of hydrogen--which means that 10 per cent of the hydrogen they produce or consume, as the case may be, should come from green sources--which today is by electrolysis of water using renewable energy.

IOC is both a consumer and producer of grey hydrogen--its refineries produce the gas which is also self consumed in operations, such as desulphurization of diesel. India produces about 6 million tons of (grey) hydrogen, and IOC roughly accounts for half of it.

Ramakumar said that IOC intends to "go beyond 10 per cent" and as such the refiner by itself would engender setting up of substantial electrolyser capacity in the country.