A Delhi NCR startup has achieved what India’s decades-long Project Kaveri could not: demonstrating a functional jet engine designed and built domestically. In May 2025, Green Aero successfully tested its hydrogen-powered jet engine dubbed The Blue Dragon, marking a significant milestone for the country’s aerospace ambitions.
The achievement comes more than three decades after India launched Project Kaveri in the 1990s, an ambitious programme to develop indigenous jet engines for the Indian Air Force’s Tejas light combat aircraft. That initiative remains incomplete, hampered by insufficient local expertise and the intricate challenges of jet engine manufacturing.
Building Beyond Traditional Engines
Founded in 2023 by Prithwish Kundu, Green Aero is developing hydrogen-powered jet engines, propulsion systems, and gas turbines for both civilian and military applications. The startup has secured $1.6 million in funding from established deep-tech investors pi Ventures and Antler.
While the hydrogen engine demonstration represents a technological breakthrough, Green Aero’s immediate commercial focus lies elsewhere. The company is preparing to launch smaller conventional fuel engines designed for drones, targeting the defence sector with products expected to reach market within months.
The dual approach reflects the practical realities of aerospace development. Hydrogen-powered aviation remains experimental globally, with industry giants like Rolls-Royce, Pratt & Whitney, and Safran conducting their own hydrogen fuel tests. Commercial deployment of such technology faces significant technical and infrastructure hurdles.
From Laboratory to Startup
Prithwish Kundu’s path to Green Aero began with childhood fascination with aviation, leading to a master’s degree in mechanical engineering from North Carolina State University in 2012. He subsequently worked as a propulsion engineer and researcher at Argonne National Laboratory, contributing to projects for NASA and the US Army.
“When you work for a large company, you do a specific role, so you’re restricted to that. But my passion was to build systems from scratch” Prithwish Kundu, founder and CEO.
After returning to India in 2021, Prithwish Kundu spent two years gaining experience in the domestic manufacturing sector. He served as associate vice president for thermal and battery research at electric vehicle manufacturer Euler Motors, developing batteries for cargo vehicles. A brief stint at satellite rocket developer AgniKul provided additional insights before he launched Green Aero in 2023.
Industry Challenges Ahead
Green Aero faces substantial obstacles common to aerospace startups worldwide. Jet engine development typically requires years of testing and capital investments measured in billions rather than millions. The company’s focus on hydrogen technology adds another layer of complexity, demanding specialised technical knowledge and potentially higher development costs.
The startup has yet to generate revenue or commence commercial operations, despite its technological demonstrations. The timeline for transitioning from prototype to profitable production remains uncertain, particularly for hydrogen-powered systems that lack established supply chains and regulatory frameworks.
Nevertheless, Green Aero’s progress represents a notable advance for India’s aerospace sector. The successful demonstration of The Blue Dragon, combined with near-term drone engine commercialisation plans, suggests the company has moved beyond conceptual development toward practical applications.
The broader context includes global interest in hydrogen aviation as airlines and governments seek alternatives to fossil fuels. However, liquid hydrogen fuel storage, distribution, and safety concerns continue to limit widespread adoption across the aviation industry.