The Indian government has recently approved the National Green Hydrogen Mission, a programme aimed at making India a global hub for the production of green hydrogen. The mission, which has a total budget of INR 19,744 crore ($2.7bn), was launched by the Ministry of New and Renewable Energy (MNRE) on 15 August 2021 with the goal of reducing carbon emissions and increasing the use of renewable sources of energy.
The mission is expected to result in an investment of more than INR 8 lakh crore ($10.8bn) and the creation of over 6 lakh jobs by 2030, as well as a cumulative reduction in fossil fuel imports of over INR 1 lakh crore ($13.6bn) and the abatement of 50 million metric tonnes of annual greenhouse gas emissions.
Strategic Interventions for Green Hydrogen Transition Programme (SIGHT)
A significant portion of the National Green Hydrogen Mission’s budget, INR 17,490 crore ($2.4bn), has been allocated to the Strategic Interventions for Green Hydrogen Transition (SIGHT) programme.
This programme will provide financial incentives through two distinct mechanisms: one targeting the domestic manufacturing of electrolysers and the other targeting the production of green hydrogen. The SIGHT programme will also support pilot projects in emerging end-use sectors and production pathways.
Green Hydrogen Hubs
Regions that are capable of supporting large-scale production and/or utilisation of hydrogen will be identified and developed as Green Hydrogen Hubs under the National Green Hydrogen Mission.
An enabling policy framework will be developed to support the establishment of the green hydrogen ecosystem, and a robust standards and regulations framework will also be developed.
Research and Development (R&D)
INR 400 crore ($54m) of the National Green Hydrogen Mission’s budget has been allocated for research and development (R&D). A public-private partnership framework for R&D, known as the Strategic Hydrogen Innovation Partnership (SHIP), will be facilitated under the mission.
R&D projects will be goal-oriented, time-bound, and suitably scaled up to develop globally competitive technologies. A coordinated skill development programme will also be undertaken.
Benefits of the National Green Hydrogen Mission
The National Green Hydrogen Mission is expected to have a range of benefits, including:
The creation of export opportunities for green hydrogen and its derivatives
The decarbonisation of industrial, mobility, and energy sectors
A reduction in the dependence on imported fossil fuels and feedstock
The development of indigenous manufacturing capabilities
The creation of employment opportunities
The development of cutting-edge technologies
The National Green Hydrogen Mission is a significant initiative that aims to make India a global leader in green hydrogen production. The mission has a wide range of benefits, including the creation of export opportunities, the decarbonisation of various sectors, and the development of indigenous manufacturing capabilities. By investing in research and development and supporting the development of Green Hydrogen Hubs, the Indian government is positioning the country as a key player in the global transition to renewable energy.