What does it take to build a world-class electrolyser in India—one that beats the heat, slashes power use, and lasts a decade? Sandeep Agarwal of Greenzo Energy shares the journey with EFY’s Nitisha Dubey, diving into innovation, local manufacturing, and the roadblocks in India’s green hydrogen push.
Q. Can you discuss Greenzo Energy and its unique offerings?
A. Greenzo is a manufacturing company specialising in the in-house design and production of electrolysers. Our team comprises highly qualified IITians, including PhD scholars and M. Tech graduates from various IIT institutes. We have developed an alkaline electrolyser design engineering and the capability to construct complete green hydrogen production projects.
Q. Who is Greenzo Energy’s target market?
A. Our target market includes companies that have announced green hydrogen projects, particularly in coastal areas, as well as large corporate entities and government institutions committed to reducing their carbon footprint.
Q. What are the key technological advancements in your electrolyser that make it more efficient and durable compared to other manufacturers worldwide?
A. Across the industry, most electrolysers are designed to produce hydrogen at a pressure of 14 to 16 bar. In contrast, our electrolyser operates at 32 bar, which eliminates the need for one compressor and significantly reduces power consumption by up to 45 kilowatts. This enhanced efficiency contributes to both cost savings and operational simplicity.
A major differentiator lies in our electrolyser’s performance under varying temperature conditions. Electrolysers manufactured in other countries, including China, often experience degradation when ambient temperatures exceed 20°C. Our electrolyser, however, has been specifically engineered for Indian climatic conditions and continues to function efficiently without degradation even at temperatures as high as 55°C.
Another significant advantage is the extended lifespan of our electrolyser. While most competitors offer a life cycle of only five to six years, our unit is designed to operate reliably for over 10 years. Moreover, after a decade of use, it can be opened, repaired, and maintained locally within India—ensuring ease of servicing and long-term dependability.
Our proprietary technology is supported by a state-of-the-art manufacturing setup, featuring advanced robotic and AI-powered systems. These technologies minimise errors and allow us to produce high-efficiency materials at scale with precision.
Together, these features—higher operating pressure, superior thermal tolerance, extended lifespan, and cutting-edge production capabilities—distinctly position our electrolyser ahead of others in the global market.
Q. What advanced manufacturing machines and testing facilities do you have for electrolyser production?
A. We have imported advanced machinery from Germany, Korea, China, and Japan, including large-scale computer numerical control (CNC) machines unavailable or manufactured in India. Our CNC machine has an impressive size of approximately 4000mm. Additionally, we have a cutting-edge welding infrastructure equipped with AI-driven systems that communicate with robotic units. Five to six robots operate within our electrolyser welding system, enabling the efficient production of stacks. Beyond this, we have a comprehensive setup for balance-of-plant manufacturing, including a separation unit, sheet bending and welding machines, and a cap-making machine. Our facility also features a dedicated assembly unit, allowing us to integrate all components efficiently onto a skid. We possess an advanced testing facility, which, I can say, is unparalleled in India. This enables us to test electrolysers with a capacity of up to 5MW within our in-house factory, ensuring superior quality and performance validation.
Q. What is the operating pressure and temperature range of your alkaline electrolyser?
A. As I said, the operating pressure is 32 bar, and the temperature is 90 degrees Celsius.
Q. Can you provide the material specifications for the electrodes and membranes used in your electrolyser?
A. The electrodes are made from a nickel mesh base with a specialised coating. We source the nickel mesh from India, cut it to the required size, and apply the coating in India. The anode and cathode of the electrolyser are then assembled in-house. For the membrane material, we use polyphenylene sulphide (PPS) and Jifron membranes. Jifron membranes are preferred for larger sizes and high-pressure applications. Currently, both membrane materials are sourced from Europe, as we have not yet succeeded in manufacturing PPS membranes in India, though we are actively working on it.
Q. What is the water consumption rate for hydrogen production in your system?
A. The water consumption rate is 10 litres per normal cubic metre (Nm³) of hydrogen produced, which is standard across the industry.
Q. Can your system handle fluctuations in power supply from renewable energy sources?
A. Yes, our system is designed to handle power fluctuations. We have an integrated rectifier and a connected battery load, which help stabilise and control variations in power supply.
Q. What is the specific energy input required per mole of hydrogen produced?
A. Instead of measuring per mole, we calculate hydrogen production in terms of power input. A 1MW electrolyser can produce 18kg of hydrogen per hour or 200Nm³ per hour.
Q. Does your electrolyser support advanced controls like real-time monitoring and AI-based optimisation?
A. Our system includes an integrated supervisory control and data acquisition (SCADA) system, allowing real-time monitoring and control. Additionally, our system features an advanced ticketing mechanism, which generates alerts five minutes before a potential fault occurs. The SCADA system enables the autonomous operation of our electrolyser.
Q. What is the degradation rate of key components under continuous operation?
A. The primary component that experiences degradation is the electrolyser stack. While most electrolysers operate effectively between -20°C and 20°C, higher ambient temperatures can increase degradation. Other electrolysers degrade by 2.5 to 3 per cent annually when operated at 45°C ambient temperature. Our technology is designed for up to 55°C, reducing degradation to just 0.25 per cent per year. After seven years, degradation remains below 0.50%, and even at the end of its 10-year lifespan, our electrolyser maintains full efficiency, producing 200Nm³ of hydrogen per MW.
Q. Can your system be integrated with energy storage technologies like batteries or supercapacitors?
A. No energy storage is required for our electrolyser. We directly utilise renewable power to produce hydrogen, which is then stored in connected tanks.
Q. How do you manage heat during the electrolysis process?
A. Our system includes heat exchangers, chillers, and cooling towers to dissipate excess heat efficiently.
Q. What are Greenzo Energy’s current manufacturing capabilities and future expansion plans?
A. We have set up our manufacturing unit in Ahmedabad, Sanand, Gujarat. Our facility has an annual production capacity of 250 megawatts, covering electrolyser units ranging from 0.5 to 5MW per unit. Our design enables a single unit to generate up to 5MW of green hydrogen. Looking ahead, our goal is to scale up production to 2 GW by 2030.
Q. Do you manufacture all electrolyser components in-house or outsource some parts?
A. We manufacture most components in-house, ensuring high quality and reliability. However, membranes and certain electrical components, such as PLC (programmable logic controller) drives and UPS (uninterruptible power supply) systems, are sourced externally.
Q. Is your solution eligible for government subsidies or incentives related to green energy?
A. Producers of hydrogen who have participated in tranches one and two of S.E.C.I. (Solar Energy Corporation of India) are eligible for incentives and can purchase the electrolyser from us. However, we have not participated in the Greenzo PLI (production-linked incentive) scheme because we initially believed that all schemes required a prediction-based database. Additionally, the PLI scheme is not directly linked to production, and we assumed that funds would be disbursed only after the product had been sold and successfully operated for up to five years. Furthermore, no certifying agency was appointed by SECI (Solar Energy Corporation of India) at that time. Given these uncertainties and the challenge of arranging the earnest money required for project installation, we decided not to participate in the PLI scheme.
Q. Can you provide some use cases from your previous successful projects?
A. We have successfully manufactured and deployed half a megawatt of electrolysers, which are currently in operation. Additionally, we are collaborating with Bureau Veritas and TUV (Technischer Überwachungsverein) to obtain certification for this product.
Q. What is your strategy for market expansion, and how do you prioritise deployment regions?
A. Currently, the market for electrolysers is not very large. Many who have announced plans are not yet ready to procure from India, relying instead on suppliers from China and other countries. I believe demand will pick up once our production reaches full capacity. At that stage, we will appoint a dedicated marketing team to handle market mapping and segmentation. However, we already have ₹20 billion worth of orders in hand, and our first year of production will be entirely dedicated to fulfilling these orders.
Q. Do you offer long-term service agreements or warranties for your equipment?
A. We provide comprehensive engineering, procurement, and construction (EPC) services. Additionally, we offer a 10-year operation and maintenance (O&M) agreement for customers purchasing our electrolysers.
Q. How do you manage after-sales services, including warranty and consumables coverage?
A. After-sales services are included in O&M. While we provide a 10-year warranty, consumables are not covered. They will be managed separately through the operation and maintenance plan to ensure optimal performance and long-term reliability.
Q. How is your R&D team addressing the challenges in improving electrolyser efficiency and advancing new technologies?
A. Our R&D (research and development) team is actively working on technological advancements to enhance electrolyser efficiency. Our key focus areas include reducing costs, lowering power consumption, and extending the electrolyser lifespan from 10 to 20 years. We optimise coating metallurgy and catalyst chemical compositions to achieve this, ensuring higher hydrogen production with 99.99% purity while consuming less power. Additionally, while alkaline electrolysers are ideal for bulk production, we are exploring emerging technologies like PEM (proton exchange membrane), AEM (anion exchange membrane), and SOS (solid oxide stack) for smaller applications, such as residential use. Currently, we are advancing PEM technology and developing fuel cell systems for energy generation.
Q. What kind of waste is generated in your system?
A. Our system generates zero significant waste, as its only inputs are water, potassium hydroxide (KOH) and electricity, with oxygen produced as a valuable by-product. While 20–30 per cent of the demineralised (DM) water is lost during the process, it can be reused through purification, minimising wastage. KOH consumption is minimal, requiring only occasional replacement, making our system highly efficient and sustainable.
Q. What challenges does the green hydrogen industry face?
A. The major challenges in the industry include component quality and dependence on suppliers, as relying on third-party ancillary units can impact the overall quality of electrolysers. To ensure high standards, significant investment in backward integration is necessary. Additionally, India-made electrolysers face skepticism as companies favour joint ventures with foreign manufacturers, hindering local growth.
Q. What is the upfront cost and total cost of ownership for your green hydrogen solutions?
A. The total cost of a 1MW electrolyser system is approximately ₹160 million.
Q. How was your financial performance last year, and what are your growth plans for the next two years?
A. Last fiscal year, we produced and sold our first indigenous electrolyser, generating ₹160 million in revenue with a 30 per cent PAT (profit after tax). This year, we have orders and ready electrolysers for supply in India, targeting ₹1 billion revenue with the same profitability. Next year, as production scales up, we aim for a ₹12 billion turnover, considering the initial time required to reach full capacity. Our focus remains on expanding production and meeting growing demand efficiently.
