The country targets a production capacity of 5 megatonnes annually by 2030, later rising to 10Mt.
Beyond ammonia production, petroleum refining, steelmaking, derivative fuels and city gas distribution, hydrogen is expected to be available for export.
In August, India signed its first green hydrogen export agreement with Japan, which will see Sembcorp transport hydrogen produced at a new facility in the state of Tamil Nadu.
The green hydrogen initiative has recently published a $25 million tender for testing facilities, infrastructure and institutional support for the development of green hydrogen standards, as well as a regulatory framework. This includes the establishment of ‘world class’ testing and qualification facilities in India.
Speaking at a recent clean energy meeting, India’s new and renewable energy, Shri Pralhad Joshi, said the budget demonstrates the government’s “unwavering support” for the renewable energy sector.
“India has a vast renewable energy potential of 2,109GW from solar, wind, hydro and biomass sources, and we are committed to achieving a significant shift towards cleaner alternatives,” Joshi added.
The minister said he would introduce “substantial incentives for indigenous electrolyser manufacturing and green hydrogen production, with India aiming to become a major exporter in this field”.
A strategic intervention for green hydrogen transition (Sight) programme has been set up to support the supply side.
Key tasks for the year reportedly include demand creation, de-risking finance and equitable resource use.