India Achieves Green Ammonia Price Breakthrough: ₹55.75/kg in SECI’s First Auction vs ₹100.28/kg in 2024

In a major milestone for India’s clean energy roadmap, the Solar Energy Corporation of India (SECI) has successfully conducted the country’s first-ever auction for procurement of Green Ammonia under the National Green Hydrogen Mission. The auction, held under the Strategic Interventions for Green Hydrogen Transition (SIGHT) Scheme – Mode 2A, resulted in a record-low price discovery of ₹55.75/kg, marking a transformative moment in India’s pursuit of green fuel alternatives.

The winning bid pertains to the supply of 75,000 metric tonnes per annum of Green Ammonia to Paradeep Phosphates Limited in Odisha. This auction is the first of 13 planned auctions scheduled over the coming months, aggregating a cumulative procurement capacity of 7.24 lakh metric tonnes per year.

The price of ₹55.75/kg (approx. USD 641/MT) is significantly lower than the ₹100.28/kg (USD 1,153/MT) discovered in the 2024 H2Global auction, and is also competitive compared to the current Grey Ammonia market price of USD 515/MT (as of March 2025). With a 10-year fixed-price bid, this development offers compelling economic incentives for offtakers to transition to clean fuels.

SECI acted as the intermediary procurer, executing the auction under the aegis of the Ministry of New & Renewable Energy (MNRE), with critical support from the Department of Fertilizers and participation from key industry offtakers.

The auction saw intense competition, underscoring growing investor confidence and the maturity of India’s Green Hydrogen ecosystem. With a robust payment security mechanism in place, the scheme is set to boost confidence across the value chain, enabling large-scale adoption of Green Ammonia and its derivatives.

This landmark auction sets the tone for India’s ambitions to emerge as a global hub for Green Hydrogen production and demonstrates the effectiveness of the government’s market-based mechanisms to accelerate the clean energy transition.