In two months, India will start a national green hydrogen mission.

According to individuals acquainted with the situation, the union government wants to undertake a comprehensive green hydrogen mission in two months to carry out the green hydrogen policy launched in February.

The mission is likely to declare a green hydrogen purchase obligation, similar to Renewable Purchase Obligation (RPO), in fertilizer manufacturing and petroleum refining.

An official stated, noting that the national green hydrogen policy included "preparatory steps," that what we will have is a full-fledged national green hydrogen mission ideally in two months.

The mission is also intended to identify the industries that will be required to utilize green hydrogen on a voluntary basis, as well as a pathway for industries such as fertilizer and petrochemicals to use the green fuel mandatorily.

"Green hydrogen/green ammonia should be defined as hydrogen/ammonia generated by electrolysis of water using renewable energy, includes renewable energy banked and hydrogen/ammonia produced from biomass," the power ministry stated in a notification at the policy's debut in February.

The Centre unveiled the green hydrogen policy, promising cheaper renewable energy, a 25-year fee waiver for inter-state power transmission for projects completed before June 2025, land in renewable energy parks, and mega manufacturing zones to assist local industries in transitioning away from fossil fuels.

The strategy, which intended to promote green hydrogen and green ammonia, also included encouraging green power 'banking' or 'storage', in which a green power producer can save excess renewable energy with an electrical distribution business for up to 30 days. It also plans to construct bunkers near ports to store green ammonia for export.

According to Amit Kumar, partner and head, power and utilities mining at Price Waterhouse Coopers (PwC) India, given the emphasis on creating bunkers near ports, the mission may also priorities green hydrogen exports.

"The storage component is an important component. They have stated in the strategy that bunkers should be built near ports, implying that the intention is to export it. As a result, they must specify how they intend to export green hydrogen, green ammonia, or green methanol. However it would be done," he explained.

Following Prime Minister Narendra Modi's introduction of the National Green Hydrogen Mission in August 2021, there has been a significant push on both policy and business for green hydrogen.

Mukesh Ambani and Gautam Adani, both industrialists, have previously proposed massive green hydrogen initiatives to decarbonize their enterprises. Several other firms have also indicated their intentions to enter the market.

Green hydrogen is created by dissolving water in an electrolyze. The hydrogen generated may be mixed with nitrogen to form ammonia while eliminating the use of hydrocarbons in the process. Green ammonia is used to store energy and to make fertilizer. By 2030, India hopes to manufacture 5 Million Tones (MT) of green hydrogen. The government intends to add 175 Gigawatt (GW) of green hydrogen-based electricity during the next decade. According to Rohit Ahuja, Investment Information and Credit Rating Agency's (ICRA's) head of research and outreach, the ambitious aim to increase green hydrogen production and consumption would only work if the cost of green hydrogen falls, which he believes will be achieved through permitting cheaper and mass manufacture of electrolyze.

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