India's Hydrogen Gamble: Can Supply Chains Keep Up

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India's Hydrogen Gamble: Can Supply Chains Keep Up

India’s clean energy journey has so far been driven by solar power—but the road to Net Zero can’t run on electrons alone. Clean hydrogen is stepping up as both a fuel and a feedstock, with the promise to decarbonize heavy industry, refineries, and long-haul transport. Yet this transition isn’t just about adding electrolysers or setting ambitious policy targets; it calls for an entirely new supply chain architecture built around a molecule, not a megawatt. Vanshaj Srivastava, Senior Manager – SCM Strategy, Reliance Industries Ltd., unpacks why the real test of India’s hydrogen promise lies in how quickly its logistics networks, vendor ecosystems, and talent can adapt to this bold, hydrogen-powered future.

Vanshaj Srivastava

Solar SCM Gave India Scale. Hydrogen SCM Will Demand Agility… India’s solar supply chain was built on predictability. Module manufacturing lines are optimized for volume, ports handle containerized traffic, and EPC timelines are standardized around well-understood logistics milestones. The SCM challenges are familiar: customs duties, grid connectivity, inland transportation.

Clean hydrogen, by contrast, introduces variables the solar sector never had to face. SCM leaders must now handle dangerous goods, cryogenic cargo, real-time purity control, and synchronized commissioning of interdependent assets. Hydrogen does not just require a supply chain; it demands a multi-modal, compliance-heavy, and hyper-localized logistics ecosystem.

Hydrogen’s formats differ vastly. Compressed hydrogen requires Type-IV pressure vessels and trained HAZMAT-certified drivers. Liquid hydrogen must be transported at ?253°C in vacuum-insulated tanks, with boil-off mitigation built into routing schedules. Green ammonia, increasingly favored for marine transport, requires ISO tanks, marine-grade pipelines, ammonia detection protocols, and corrosion-proof handling infrastructure.

SCM design must account for last-mile safety regulations, fuelling infrastructure compatibility, and the entire return logistics of high-value containers. Insurance liability, pressure compliance, leak mitigation, and operator certification are now critical dimensions of logistics planning.

STRATEGIC GAPS IN HYDROGEN SCM

Complexity of Logistics Modalities: Unlike solar, which operates in standardized 40-foot containers, hydrogen flows through multiple cargo formats. SCM professionals must master three parallel systems:

  • Gaseous hydrogen for short-haul industrial users must be distributed using pressure-rated trailers with embedded leak detection.
  • Liquid hydrogen for long-haul or export markets requires cryogenic vessels. This brings thermal insulation, boil-off gas venting systems, and time-critical transit planning into play.
  • Green ammonia, the most scalable hydrogen derivative, has its own logistics architecture involving double-walled storage, marine compliance, and toxicity protocols.

Each format brings different risks, equipment vendors, customs classifications, and turnaround timelines. Coordinating procurement, transport, and return logistics across these formats will be the most complex task Indian SCM professionals have yet faced.

Supply Volatility and Component Fragility: The hydrogen economy currently depends on imported electrolysers, 70% of which come from Europe and East Asia. Lead times for large-scale stacks exceed 30 weeks. Customs code ambiguity delays shipments at ports by 2–3 weeks. Catalyst supply is concentrated in a few countries, exposing India to geopolitical risks. Local vendors for compressors, deionizers, rectifiers, and humidifiers lack proven quality credentials. SCM leaders must build dual vendor models, stock critical spares, and collaborate on performance-based contracting with EPC partners.

Infrastructure Gaps at Indian Ports: Ports like Kandla and Tuticorin are being evaluated for hydrogen export readiness, but current capabilities fall short. India’s port infrastructure must undergo deep retrofitting:

  • Cryogenic-compatible jetties
  • Leak-proof pipelines for ammonia
  • Digital fire control and gas monitoring
  • Onsite emergency containment zones
  • Redundant bunkering systems to minimize downtime

SCM professionals will need to work closely with Sagarmala, port trusts, and terminal operators to develop SOPs for H2-compatible port operations—much like what was done for LNG a decade ago.

Multi-Stage EPC Synchronization: Unlike solar EPC, which can be executed in modular tranches, hydrogen projects require system-wide synchronization. Solar parks, electrolyzer units, compression and storage systems, ammonia conversion modules, and export infrastructure must go live in tandem. Any delay in one node disrupts the commissioning of the entire chain.

Supply chain professionals must implement critical path mapping, project buffer analysis, and digital dashboards that bring together EPC schedules, BOM readiness, customs status, and site-level progress. Traditional Gantt charts will not suffice. Dynamic supply chain control towers are needed.

THE 5-POINT ACTION AGENDA – SCM SYSTEM REDESIGN FOR THE HYDROGEN AGE

India must now design a new SCM architecture centered on hydrogen’s unique demands.

1. We need cryogenic logistics capability at scale. The current fleet of hydrogen-ready ISO containers is under 300. By 2030, over 5,000 such containers will be needed for internal movement and exports. Fleet operators must be incentivized via long-term offtake agreements and subsidized leasing models. This includes building a pool of certified drivers, HAZMAT yards, and safety inspection centers.

2. Rail-connected hydrogen industrial corridors must be designed to ease pressure on highways. Rail-linked SEZs with built-in fueling depots, material segregation zones, and real-time route optimization engines can transform last-mile delivery risk.

3. Hydrogen-specific SOPs at ports must become standard. Port warehousing must evolve to offer dual-layer containment, ammonia-compatible flooring, corrosion-proof cladding, and specialized forklifts. Even crane operators must be trained in loading high-pressure or cryogenic cargo.

4. Hydrogen EPC Control Towers must replace spreadsheets and phone calls. These will integrate BOM tracking, vendor scorecards, weather prediction, bonded inventory visibility, and customs clearance status. Using AI, such towers can simulate commissioning delays, re-sequence material movement, and flag site disruptions before they cascade.

5. Shared infrastructure between solar and hydrogen can yield cost and efficiency gains. At locations like Dholera, EPC warehousing, inverter yards, and inbound logistics channels can be harmonized across solar module deliveries and electrolyzer stacking.

HUMAN CAPITAL AND CAPABILITY DEVELOPMENT

Hydrogen SCM will fail without a trained, certified, and digitally skilled workforce. The solar boom created a cadre of electricians, racking technicians, and inverter engineers. Hydrogen requires a different breed of professional.

Key profiles that SCM must now cultivate include:

• Cryogenic tanker operators certified under HAZMAT Level 2

• Ammonia terminal safety supervisors

• Hydrogen quality control logisticians (monitoring purity, pressure, venting)

• EPC integration coordinators managing BOM delays

• SCM digital analysts integrating SCADA, customs, and ERP data flows

The National Skill Development Corporation (NSDC) must now co-develop a “Hydrogen SCM Academy” with IITs, EPC firms, and logistics majors. This should offer modular certifications, with hands-on training at hydrogen hubs. Further, hydrogen OEMs must be mandated to host skill-building programs as a prerequisite for MNRE subsidies. A quota-based skilling requirement, embedded into PLI and SIGHT incentives, can drive faster capability development.

THE NEXT FIVE YEARS: SCM KPIS TO WATCH

Between 2025 and 2030, the entire hydrogen supply chain must scale up across five dimensions:

Project Commissioning: From <10 hydrogen projects in 2025 to over 100 by 2030. Each project requires its own dedicated SCM team, vendor base, port plan, and EPC tracker.

Electrolyser Localization: From 90% import dependence today to <40% by 2030. This implies 4–5 Indian Giga factories coming online, with robust BoP vendor ecosystems built around them.

Port and Export Readiness: From 2 planning-stage ports to 8 fully hydrogen-ready terminals. Requires port SCM professionals embedded in project design teams.

Cryogenic Fleet Build-Out: From 300 ISO tanks to over 5,000. Requires CAPEX support, operator training, and digital route optimization.

Workforce Scaling: From <3,000 trained hydrogen logistics professionals to 50,000+. Skill development must keep pace with project pipelines.

STRATEGIC ACTION PLAN FOR SCM LEADERS

Develop Hydrogen-Focused SEZs: Establish hydrogen clusters with inbuilt SCM zones—bonded warehousing, cryoservicing depots, rail heads, and customs offices. Locations like Jagatsinghpur (OD) and Thoothukudi (TN) are ideal.

Deploy Integrated Command Centers: Control towers must oversee EPC delivery, customs clearance, vendor on-time delivery, and inbound logistics. These should be run in partnership with 4PL providers.

Establish Hydrogen Logistics Risk Registries: Track weather disruptions, customs delays, tank failures, or skill gaps through a central registry. Convert these insights into insurance premium negotiation and contingency planning.

Implement ESG and Traceability Protocols: Hydrogen SCM must embed GHG savings, purity certifications, and route footprints in its transport documentation. Blockchain or secure cloud records will be essential for EU/JP market access.

Prepare for Global SCM Integration: Harmonize with IMO ammonia handling norms, CertifHy verification, and partner with Middle East green hydrogen exporters to build interoperable logistics corridors.

SCM WILL SHAPE THE HYDROGEN CENTURY

India’s clean energy roadmap cannot be built on solar alone. Green hydrogen is the next frontier—a molecule that powers steel plants, shipping lines, and fertilizer hubs. But without robust, agile, and digitally integrated supply chains, hydrogen will remain a laboratory dream.

The SCM profession now sits at the heart of this revolution. From designing control towers and fleet strategies to building customs clearance engines and training cryo-handlers, supply chain leaders will define whether India becomes a hydrogen exporter or an import-dependent laggard. This decade belongs to those who can build not just infrastructure, but ecosystems. In the race to Net Zero, India must deliver clean molecules with clean movement. And that delivery will be driven by supply chain excellence.

CALL TO ACTION: IT’S TIME TO BUILD THE HYDROGEN-READY SUPPLY CHAIN

India’s vision to become a global clean energy powerhouse will not be realized through technology pilots or subsidy schemes alone. It will be built on the shoulders of a robust, agile, and future ready supply chain. One that does not simply move boxes or schedule trailers — but one that moves molecules, synchronizes multi-node EPC timelines, and ensures purity, pressure, and safety across every touchpoint.

As SCM professionals, we cannot afford to treat hydrogen as an adjacent line item to solar. Hydrogen is not just a new commodity — it’s an entirely new operating system for supply chains. And unless we build this system now, India risks losing first-mover advantage to more logistically prepared economies in the Middle East, Europe, and East Asia.

THIS IS THE MOMENT TO ACT.

We must:

  • Push for national-level hydrogen logistics standards: cryogenic routing norms, digital fleet registries, port safety protocols, and customs classifications must be unified and transparent.
  • Collaborate with EPC firms, port authorities, and policymakers to fast-track the buildout of hydrogen-ready infrastructure, from rail-linked SEZs to dual-fuel export terminals.
  • Partner with OEMs and academia to launch a Hydrogen SCM Academy — to certify the next 50,000 professionals needed for cryo logistics, ammonia handling, control tower ops, and digital EPC orchestration.
  • Deploy SCM digital infrastructure — from AI-driven material planning to hydrogen traceability dashboards that meet European and Japanese import standards.
  • Most importantly, adopt a system level mindset: solar and hydrogen are not separate lanes; they are interdependent vectors that must be co-optimized in warehousing, vendor networks, fleet planning, and EPC timelines.

The call is not just to government or to industry bodies — it is to every SCM leader, logistics partner, EPC controller, and digital planner in the country. If we get the supply chain right, India won’t just meet its 5 MTPA hydrogen production target. It will become the blueprint nation — the one that taught the world how to scale clean energy not just by invention, but by execution.

The opportunity is here. The technology exists. What we build now will define whether we just move energy — or lead the movement.

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