Green Aero Story: The IIT Delhi-incubated startup is developing fuel-flexible turbine technology for drones, aircraft and naval platforms, but the journey from a test-fired engine core to a commercial product remains unfinished.
India’s aerospace industry has made steady progress in building aircraft, drones and naval platforms, yet turbine engines remain one of its most difficult areas of dependence. Developing an aero engine demands years of testing, specialised manufacturing and sustained capital, leaving the global supplier base small and the technological barriers high.
Green Aero, a New Delhi-based deeptech startup founded in 2023, is trying to address that gap with an unusual two-part strategy. The company is developing more efficient turbine engines while also building propulsion systems capable of operating on hydrogen or conventional liquid fuels. Its longer-term objective is to produce engine technology in India for both civilian and defence use.
Incubated at IIT Delhi, the company was founded by Prithwish Kundu, who previously worked as a research scientist at Argonne National Laboratory in the United States. Green Aero’s work centres on developing proprietary turbine systems and reducing reliance on imported propulsion hardware.
Blue Dragon is the first major test
The most visible result of Green Aero’s work is Blue Dragon, a hydrogen-powered aero engine core that the company has test-fired. Green Aero describes it as the first hydrogen-based aero engine core developed in India.
That distinction remains a company claim, but the test itself marks an important technical step. It shows that Green Aero has moved beyond an early design concept and into hardware development, simulation and physical testing.
Hydrogen creates a demanding engineering environment. It burns faster and hotter than kerosene, requires storage at very low temperatures or high pressure, and occupies more space for the same amount of energy. These characteristics place considerable pressure on combustor design, particularly when engineers must control flame behaviour inside a compact engine system.
Kundu has said the team had to address flame flashback, a condition in which the flame travels back towards parts of the fuel system where combustion is not intended. Green Aero says it worked through design, simulation and testing to manage that problem in the Blue Dragon core.
One engine platform, different fuels
Green Aero is not limiting its technology to hydrogen. The startup is designing what it calls a fuel-agnostic propulsion platform, meaning the core architecture can be adapted for different fuels depending on the application.
The company’s stated plan is to use hydrogen-focused systems for civilian applications while retaining liquid fossil fuel versions for defence customers. The reasoning is practical. Defence aviation continues to favour liquid fuels because of their higher energy density and established handling infrastructure.
This approach gives Green Aero two distinct markets. Hydrogen propulsion represents a longer-term civil aviation opportunity, while conventional fuel systems could provide a nearer route into drones and defence platforms. The company has said its first commercial focus will be drone engine propulsion.
The strategy also lowers the risk of tying the entire business to the pace of hydrogen adoption. Instead of waiting for aviation infrastructure to change, Green Aero can continue developing turbine hardware for applications that already use liquid fuels.
Funding is being directed towards engineering
Green Aero raised $1.6 million, about ₹14 crore, in a seed round announced in July 2025. The round was led by pi Ventures, with Antler participating. The company said the capital would support an in-house testing facility, engineering and operations recruitment, and further engine development.
Kundu has said more than 95 per cent of the startup’s expenditure goes towards research and development. That includes work from the initial concept and simulation stages through prototyping and engine testing.
For a hardware company, however, funding is only one part of the challenge. Green Aero has identified a shortage of engineers with specialised aero-propulsion experience, along with constraints in precision manufacturing, supply chains and engine-testing infrastructure. Hiring people is difficult, but training them for propulsion work can be just as time-consuming.
These limitations will influence how quickly the company can move from test hardware to engines that meet the reliability and performance requirements of actual aircraft or naval systems.
Commercial launch remains the key test
Green Aero had earlier aimed to begin commercial sales in 2025. Around the time of its seed round, the company also said it intended to bring a small-category engine to market within 12 months.
By July 2026, that window had passed without a public product-launch announcement. A 2026 startup showcase continued to describe the propulsion platform as being under development.
Kundu has said Green Aero signed agreements that could not yet be disclosed. However, no customer name, confirmed order value or delivery has been publicly announced.
That distinction matters. A test-fired engine core is a meaningful engineering milestone, but it is not the same as a commercially deployable engine. A finished propulsion system must operate reliably under repeated use, integrate with a vehicle, meet customer requirements and, depending on the application, complete extensive qualification or certification.
Green Aero is therefore at a decisive stage. The company has demonstrated hardware, attracted institutional investment and outlined a broad market covering drones, aircraft and naval platforms. What it has not yet publicly demonstrated is a delivered commercial engine.
A difficult opportunity with strategic value
Green Aero’s ambition reflects a wider challenge within Indian aerospace. Building an engine domestically is not simply a manufacturing exercise. It requires control over aerodynamics, combustion, materials, thermal management, precision components, software, testing and supply chains.
The startup’s fuel-flexible approach gives it room to work across present-day defence requirements and the longer-term possibility of hydrogen aviation. Blue Dragon provides an early proof point, but the next milestone will be more consequential: converting the technology into an engine that a customer can buy, integrate and operate.
Until then, Green Aero’s story is best viewed as a promising propulsion programme still moving through development, rather than a completed commercial breakthrough.
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