New Delhi: The Kerala government and the Delhi-based industry group India Hydrogen Alliance (IH2A) said on Monday that they are jointly considering a proposal for the construction of the Kochi green hydrogen (KGH2) centre, which might need a $575 million capital investment.

According to the official press release, the plant will include a 150 MW electrolyser, storage facility, and infrastructure hub, a capacity of 60 tonnes per day (TPD), with the potential to reach gigawatt-scale capacity.

Following a conference for consultation between the government, business, and financing organization, the idea was discussed by IH2A and the Kerala government.

We are actively working with business and investors to build hydrogen valleys in Kerala, similar to those in Europe. The scope and emphasis on developing hydrogen infrastructure of the projected hydrogen hub make it important, according to K A Abraham, chief principal secretary to the chief minister, Government of Kerala.

According to the press release, the initiative, which aims to develop green hydrogen production, storage, transmission, and end-use infrastructure within a 50-km cluster in Kochi, is based on the Hydrogen Valley projects in the EU.

The hub plan will concentrate on the transportation use-case in the first phase in order to power fleets of 60 buses with retrofitted hydrogen internal combustion engines and to construct the necessary infrastructure.

The hub's capacity is anticipated to be expanded in the second phase in response to industry demand for green hydrogen from refineries, fertilizer, and chemical facilities.

The hub plan serves as a guide for the construction of extensive, commercial green hydrogen infrastructure in India. It's crucial to start the project development process at the proper magnitude. It demonstrates India's commitment to developing a national green hydrogen economy and its influence on the development of the global green hydrogen market, according to Jill Evanko, CEO and President of Chart Industries and a founding member of IH2A.

The hub scale, investments, and offtake green hydrogen price will not be finalised until the conclusion of a techno-commercial research, according to the press release.

In its present shape and scope, it is a first of its sort in the nation. Kerala plans to take the lead in project development and demonstrate the way ahead for the commercialization of green hydrogen in India. According to K R Jyothilal, senior secretary for electricity and general administration for the Government of Kerala, We are actively working with industry to achieve this.

The press release said that the consultation conference in Kochi featured an in-principle intent to offtake from big industrial facilities in the planned hub as well as in-principle support from industry to expand the hub and establish hydrogen infrastructure.

A representative for IH2A member Reliance Industries said, "We welcome such initiatives and look forward to cooperating with stakeholders across the hydrogen value chain."