Nodal agency: Madhya Pradesh New & Renewable Energy Department

Policy brief

MNRE has issued National Green Hydrogen Mission with the objective to stimulate green hydrogen production in the country.

Key highlights

2030 target

Green hydrogen production of 5 MMT per annum allied with 125 GW renewable capacity with a total capital outlay of INR 8 trillion (USD 98 billion)

Implementation

Phase I: 2023 to 2026

 - Increase domestic electrolyser manufacturing

 - Introduce green hydrogen to oil refining, fertiliser manufacturing and city gas      sectors

 - Develop a robust regulatory framework

Phase II: 2027 to 2030

 - Ramp up green hydrogen penetration in oil refining, fertiliser manufacturing, and city gas sectors

 - Introduce green hydrogen to steel, mobility, and shipping sectors

 - Ramp up pilot projects to study applications in other sectors including railways and aviation

Capital subsidy

Total subsidy of INR 175 billion (USD 2.2 billion) for electrolyser manufacturing and green hydrogen production to be allocated through competitive bidding process

Other incentives  

 - Waiver of ISTS charges

 - Power banking facility

 - Streamlined open access approval process

 - Similar provisions as provided in solar park, manufacturing zone and SEZ schemes

Green hydrogen purchase obligation

Minimum share of consumption of green hydrogen or its derivatives to be specified for designated consumers