A recent report by CareEdge Ratings projects a decrease in the levelised cost of green hydrogen in India to around $2.1 per kg by 2029-2030. This reduction is expected to be primarily driven by a 35-40 per cent drop in electrolyser prices and a 12-14 per cent improvement in efficiency, along with supportive government policies. The report highlights that the lowered cost, combined with policy support and declining renewable energy prices, will give India a competitive edge in green hydrogen production. The momentum of green hydrogen in India is foreseen to be fueled by decreased renewable energy costs and the country's commitment to decarbonisation. The Indian government's incentives, including a direct production incentive and support on electrolyser capex, are seen as positive steps towards achieving the targeted levelised cost of hydrogen. While green hydrogen has the potential to aid India's decarbonisation efforts and reduce reliance on fossil fuels, its current cost is higher than grey and brown hydrogen, presenting a barrier to widespread adoption. The report emphasizes the need for substantial investment to produce one million metric tonnes of green hydrogen, with a focus on reducing costs through electrolyser advancements to achieve the desired levelised cost of $2.1 per kg in the coming years.