India to ensure availability of renewable energy at optimum cost for production of Green Hydrogen
On 4th January 2023, the Union Cabinet approved the National Green Hydrogen Mission with an outlay of ₹ 19,744 crore.
The Mission inter alia proposes to encourage indigenous competitive manufacturing of electrolysers by providing financial incentives under the Strategic Interventions for Green Hydrogen Transition (SIGHT) programme. The Mission also proposes a comprehensive R&D programme inter alia to support development of efficient and affordable electrolysers in India.
The Government of India has been taking a number of steps to ensure availability of renewable energy at optimum cost for production of Green Hydrogen. These, inter-alia, include:
- Waiver of inter-state transmission charges has been granted for a period of 25 years to the producer of Green Hydrogen and Green Ammonia for the projects commissioned before 30th June 2025.
- The Electricity (Promoting Renewable. Energy Through Green Energy Open Access) Rules, 2022, notified in June 2022 have specified provisions for facilitating supply of renewable energy through Open Access for Green Hydrogen production.
- The Green Energy Corridor Scheme (Phase I with an outlay of ₹ 10,141.68 crore and Phase II with an outlay of ₹ 12,031.33 crore) includes laying of transmission lines and creation of new sub-stations for evacuation of renewable power.