NEWS

The Centre recently notified the green hydrogen and green ammonia policy aimed at boosting the domestic production of green hydrogen to 5 million tonnes by 2030 and making India an export hub for the clean fuel.

WHAT IS GREEN HYDROGEN?

Hydrogen gas produced through electrolysis of water

WHAT IS ELECTROLYSIS – Intensive process for splitting water into hydrogen and oxygen

ABOUT THE POLICY

Offers 25 years of free power transmission for any new renewable energy plants set up to supply power for green hydrogen production before July 2025

INCENTIVES

• Single portal for all clearances required for setting up green hydrogen production as
• Facility for producers to bank any surplus renewable energy generated with discoms for upto 30 days and use it as required.
• Energy plants set up to produce green hydrogen/ammonia would be given connectivity to the grid on a priority basis
• Power distribution companies may also procure renewable energy to supply green hydrogen producers but will be required to do so at a concessional rate which will only include the cost of procurement, wheeling charges and a small margin as determined by the state commission
• Port authorities will also provide land at applicable charges to green hydrogen and green ammonia producers to set up bunkers near ports for storage prior to export.

WHAT NEXT?

The government is set to come out with mandates requiring that the oil refining, fertiliser and steel sectors procure green hydrogen and green ammonia for a certain proportion of their requirement.