India Builds World's Largest Green Hydrogen Plant

Kakinada, a port city on India's east coast, just broke ground on the world's largest green hydrogen production facility.

The massive complex will produce 1.5 million metric tons of green ammonia annually on a 495-acre campus. Construction kicked off this weekend with Chief Minister Chandrababu Naidu declaring Kakinada the "Green Hydrogen Valley of India."

The $1.9 billion project by AM Green will begin its first shipments to Europe by mid-2027, with Germany signed as the major buyer. Prime Minister Narendra Modi personally celebrated the export agreement with German Chancellor Friedrich Merz during his recent India visit.

Green hydrogen is made using renewable energy instead of fossil fuels, producing zero carbon emissions. When converted to green ammonia, it becomes a clean fuel that can power everything from ships to fertilizer production.

Andhra Pradesh's geography makes it perfect for this technology. The state has nearly 1,000 kilometers of coastline plus strong potential for wind and solar power. All that renewable energy can produce hydrogen without relying on coal or natural gas.

The Ripple Effect spreads far beyond clean exports. Local farmers will benefit most since Andhra Pradesh ranks seventh highest in soil nitrogen levels and sixth in salinity. Green ammonia can help restore soil health while providing affordable, locally-produced fertilizer.

The energy savings look equally impressive. Chief Minister Naidu projects that tapping the state's renewable potential could drop power costs from $0.06 per unit to just $0.01 within three years. Transmission losses would nearly disappear when energy is produced and used locally.

The project signals India's serious commitment to its National Green Hydrogen Mission. The country aims to become a global leader in clean hydrogen production, creating jobs while helping the world move away from fossil fuels.

Construction will deploy two gigawatts of alkaline electrolyzers, the equipment that splits water into hydrogen and oxygen using renewable electricity. The technology has matured enough to work at massive industrial scale.

Once operational, Kakinada will put a mid-sized Indian city on the global energy map, proving that climate solutions and economic growth can happen together.