The Union Cabinet has approved an initial outlay of Rs 19,744 crore for the National Green Hydrogen Mission. PM Modi launched a national mission for green fuels which will have four components that aim at enhancing domestic production of green hydrogen and promote the manufacturing of electrolysers.
The initial outlay for the mission will include Rs 17,490 crore for strategic interventions for green hydrogen transition (SIGHT) programme, Rs 1,466 crore for pilot projects, Rs 400 crore for research and development (R&D), and Rs 388 crore towards other mission components.
SIGHT will include two financial incentive mechanisms for the domestic manufacturing of electrolysers and the production of green hydrogen. The initial target is to produce 5 million tonnes (mt) of green hydrogen annually.
The mission will also support pilot projects in emerging end-use sectors and the production pathways. Regions capable of supporting large-scale production and/or utilisation of hydrogen will be identified and developed as green hydrogen hubs.
In February last year, the Ministry of Power notified the green hydrogen/ammonia policy at a production of 5 mt of green hydrogen by 2030. According to the policy drafted by the Ministry of Power, green hydrogen/ammonia manufacturers can set up green energy projects or procure the same from energy exchanges. Several waivers, including interstate transmission charges, ease of getting open access, and transmission connectivity, were provided under the policy.
