Charting A Strategic Course For India's Green Shipbuilding Initiative

When India unveiled its ambitious Green Tug Transition Programme (GTTP) in May 2023, it marked a critical step toward a maritime future defined by sustainability and strategic autonomy. The objective was clear: transition India's major ports from conventional harbour tugs to vessels powered by alternative fuels-hydrogen, methanol, ammonia-and electric propulsion. Yet two years later, despite promising policy directions and available industrial capabilities, the initiative has yet to deliver operational vessels at the designated ports.

This gap is not indicative of flawed policies or insufficient capabilities. Rather, it arises from implementation challenges, specifically the reliance on charter operators who, driven by short-term cost considerations, opt for easier, cheaper imported solutions, often from China. The consequence of this approach is that India risks compromising its strategic autonomy and failing to leverage the full potential of its domestic maritime industry.

Realistic Indigenisation: A Pragmatic Roadmap

Achieving 100% Make-in-India content from the outset is rarely feasible for advanced maritime technologies, a global reality recognised even by leaders in maritime innovation such as Norway. A more pragmatic approach is phased indigenisation-initially importing advanced technologies from Friendly Foreign countties, gaining expertise, and incrementally increasing the indigenous content. India's own defence shipbuilding sector successfully follows such a model, specifying clear phased indigenous content percentages-starting from 40% or 50%, and gradually increasing over time.

The GTTP should adopt a similar phased approach, clearly mandating minimum initial Make-in-India content while progressively increasing domestic participation as expertise matures. This method strikes a balance between the immediate need for high-quality technology imports from reliable Friendly Foreign Countries and long-term strategic goals, thereby fostering domestic R&D investments and industrial growth.

Avoiding Strategic Pitfalls: The China Dependency Risk

One strategic vulnerability in the current approach is reliance on imported breakdown kits, primarily from China, assembled locally with minimal indigenous value-addition. This approach, although economically attractive in the short term, carries significant long-term risks, including cybersecurity threats, operational dependency, supply chain disruptions, and geopolitical vulnerabilities.

To mitigate these risks, the government must explicitly restrict or heavily regulate the use of such imported breakdown kits from strategic competitors. Clearly specified Make-in-India thresholds and stricter tender guidelines should prioritise collaboration with trusted international partners and reputable technology suppliers.

Leveraging India's Proven Technological Strengths

Contrary to popular narratives suggesting heavy reliance on foreign technology, Indian industry already possesses advanced capabilities critical for maritime electrification. Indian companies have already demonstrated significant technologies like marine chargers ,Lithium Battery system , battery management systems (BMS) etc.

Strengthening the Domestic Maritime Ecosystem

India's domestic shipyards-both public and private-are already capable of constructing advanced vessels. The issue isn't infrastructure, but rather the absence of structured incentives and clear directives encouraging genuine technology adoption. Strategic collaborations with international partners, present ideal opportunities to strengthen the domestic supply chain.

The government should encourage similar industry-driven partnerships, backed by strategic investments, financial incentives, and clear mandates specifying minimum phased Make-in-India content. Such supportive policies will enable domestic shipyards to innovate confidently, overcoming the initial cost barriers inherent in adopting new technology.

A Strategic and Long-term Approach: Beyond Cost-centric Models

An undue emphasis on the lowest-cost (L1) procurement model has impeded the adoption of advanced technologies. Maritime electrification, like any innovative technology, requires higher upfront investments. Rather than adopting a purely cost-centric model, the GTTP should prioritise technological quality, lifecycle value, and long-term strategic autonomy. A comprehensive evaluation process, emphasising strategic, operational, and economic returns, rather than purely immediate cost savings, would foster a more robust and sustainable maritime transition.

Incremental Technology Adoption: Electric First, Hydrogen Next

Adopting a sequential and realistic technology roadmap is critical for sustainable maritime electrification. Initially, prioritising electric propulsion technology, supported by domestically produced superchargers and battery management solutions, provides a solid foundation for future technology shifts. In parallel, targeted investments and pilot programmes can explore hydrogen-powered propulsion, preparing for longer-term, scalable adoption.

India's Opportunity to Lead

India's Green Tug Transition Programme remains strategically sound and technologically feasible. With proven domestic capabilities in advanced maritime infrastructure, charging technology, and battery management, India possesses the essential elements needed for successful maritime electrification. The key challenge lies in aligning policy, industry, and implementation strategically.

A phased indigenisation model, strategic avoidance of dependency on geopolitical competitors, targeted incentives for domestic R&D, and a shift away from purely cost-driven procurement can decisively position India as a global leader in sustainable maritime technology. Achieving this will safeguard India's economic, environmental, and technological sovereignty, thereby positively defining its maritime future for decades to come.

(Aritra Banerjee is a Defence & Security columnist)