Strengthening India’s energy security through alternative fuels and hydrogen

India is at a crucial juncture in its energy transition journey. The country is determined to grow its economy while rapidly reducing dependence on fossil fuels. In the first quarter of FY 2025-26, India reported a 7.8% GDP growth rate, while its emission growth rate slowed down by a marginal 0.3%. The decline in coal generation share, now down to 64.2%, along with increased renewable energy capacity and improved industrial efficiency, is being credited with this slowdown.

These efforts have delivered encouraging results, but they are not enough. This is why alternative fuels need greater attention and support. They are no longer theoretical alternatives to fossil fuels but practical, scalable solutions which can help India achieve its net-zero emissions goal without jeopardising energy security. Ethanol has been the first to show measurable results, offering a glimpse of what alternative fuels can deliver at scale.

Ethanol strengthening India’s fuel mix

Few stories capture the growth potential of alternative fuels as clearly as Ethanol Blended Petrol (EBP). In 2014, blending stood at just 1.5%. A decade later, India has achieved its interim 20% blending target set for 2025, ahead of schedule.

This progress is largely the result of strong policy intervention. The Ethanol Interest Subvention Scheme (EISS) provided incentives for new molasses and grain-based plants, while Long-Term Offtake Agreements (LTOAs) with public sector oil companies gave producers the assurance of steady demand. This mix of incentives and certainty has created the momentum for rapid expansion.

Technology has played an equally important role. Ethanol can corrode pipelines and key equipment, especially at higher concentrations or when water vapour is present. Advances in mechanical-seal, filtration, and flow-control solutions are helping to overcome these issues. They reduce contamination, unplanned shutdowns, and make high-volume production more reliable. With sturdier equipment and safer storage, distilleries are operating more cleanly and efficiently. This demonstrates how the right mix of policy and technology can reshape an entire sector. The same combination will now determine how quickly other fuels, like BioCNG, can move from promise to scale.

BioCNG turning waste into energy

BioCNG is another clean energy source India is turning to in order to reduce its dependence on fossil fuels. It converts crop residue, manure, or municipal waste, materials that would otherwise rot or be burnt into a clean gas that can power buses or kitchens. This not only helps cut gas imports but also addresses waste management challenges. India aims to achieve 1% BioCNG blend in CNG and domestic PNG by the end of FY2025-26 increasing to 5% by FY 2028–29. By the end of the decade, blending is expected to reach 868,000 tonnes. This shows that BioCNG is no longer seen as a niche experiment but a mainstream energy option in the making.

The path forward, however, is not without hurdles. Farm and municipal waste rarely arrive in uniform condition. Quality variations can strain compressors, and if impurities slip through, they can corrode pipelines or cause leaks. These risks highlight why dependable equipment is just as critical as policy targets. Better purification systems, continuous gas-quality monitoring and robust sealing and rotating-equipement solutions will help plants stabilise output. With these measures in place, BioCNG facilities can run more consistently, giving public transport networks and households the confidence to adopt this cleaner fuel.

Hydrogen building the base for the future

If BioCNG is about turning today’s waste into tomorrow’s energy, hydrogen is about building the foundation for the future. The government has placed a major bet on green hydrogen through the National Green Hydrogen Mission, which targets production of 5 million metric tonnes annually by 2030. Meeting that goal could reduce emissions by almost 50 million tonnes of CO₂ annually. Pilot projects are already underway in refineries and fertiliser plants, while small trials are blending hydrogen into city gas pipelines to test its use at scale.

But hydrogen is not a simple fuel to manage. As the lightest element, it is prone to leakage. Over time it can also weaken metals, a challenge known as hydrogen embrittlement. This means storage tanks, pipelines, and electrolysers need to be built with exceptional care. Without this degree of precision, the drawbacks could outweigh the benefits. Engineering innovation is making a difference here too. Enhanced sealing materials, corrosion-resistant alloys and advanced monitoring systems are addressing these issues. Combined with renewable electricity, these innovations provide hydrogen with the stability it needs to progress beyond pilot projects.

Conclusion

India’s energy transition is not about a single breakthrough but about steady steps across multiple fronts. Ethanol has shown how supportive policy and the right technologies can deliver both farmer security and fuel stability. BioCNG can turn waste into a resource, helping both cities and villages. Hydrogen, though still in its early stages, is slowly laying the foundations of a long-term clean energy system.

Each of these fuels has challenges, yet none are beyond reach. With persistence, innovation, and clear direction, India can reduce its reliance on fossil fuels while building an energy future that is cleaner, more resilient, and better aligned with its growth ambitions.

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