Government Undertaking Measures to Optimise Energy Mix and Reduce Costs for Green Hydrogen Production
Government Undertaking Measures to Optimise Energy Mix and Reduce Costs for Green Hydrogen Production
The Government of India is implementing the National Green Hydrogen Mission (NGHM), with an objective to make India a global hub of production, usage and export of Green Hydrogen and its derivatives.
India’s Green Hydrogen production capacity is likely to reach 5 Million Metric Tonnes per annum by 2030.
Significant steps have been taken under NGHM for reducing the cost of green hydrogen, details of which are provided below:
Other steps taken to facilitate reduction in green hydrogen cost, are as follows:
The above incentives ensure stable and predictable demand for green hydrogen by securing long – term offtake agreements and integration of green hydrogen for industrial decarbonisation.
India is optimising its energy mix for green hydrogen production by rapidly expanding low – cost renewable energy capacity, supported by competitive tariff – based bidding, large – scale solar and wind deployment, and enabling policy frameworks. To support this objective, the following policy measures have been undertaken:
This information was submitted by Union Minister of State for New and Renewable Energy Shri Shripad Yesso Naik in a written reply in Rajya Sabha.
- Under the incentive scheme for Electrolyser Manufacturing, 15 companies have been awarded a total manufacturing capacity of 3,000 MW per annum. The total incentive awarded is Rs. 4440 crores.
- Under the incentive scheme for Green Hydrogen production, 18 companies have been awarded a cumulative production capacity of 8,62,000 tonnes per annum.
- Under the incentive scheme for procurement of Green Hydrogen for refineries, 2 companies have been awarded a total capacity of 20,000 tonnes per annum.
- Prices have been discovered by Solar Energy Corporation of India for the production and supply of 7,24,000 tonnes per annum of Green Ammonia (a derivative of Green Hydrogen) to 13 fertilizer units across India.