Why in the news?

  • The Ministry of New and Renewable Energy has designated Deendayal, V.O. Chidambaranar, and Paradip ports as Green Hydrogen Hubs under the National Green Hydrogen Mission.

National Green Hydrogen Mission

  • Launched in: January 2023 by the Union Cabinet.
  • Implemented by: Union Ministry of New and Renewable Energy (MNRE).
  • Aims: To make India a global hub for the production, use, and export of green hydrogen and its derivatives.
  • Objectives:
    • Develop a domestic green hydrogen industry and reduce dependency on fossil fuels.
    • Promote low-carbon economy and decarbonize hard-to-abate sectors.
    • Create employment opportunities and promote R&D and innovation in hydrogen technologies.
    • Enable energy self-reliance and support India’s commitment to Net Zero by 2070.
  • Targets:
    • Produce 5 million metric tonnes (MMT) of green hydrogen annually.
    • Add about 125 GW of renewable energy capacity for hydrogen production.
    • Create over 6 lakh jobs in associated sectors.
    • Reduce CO₂ emissions by nearly 50 million tonnes per year.
    • Attract investment of over ₹8 lakh crore.
    • Make India capable of supplying 10% of global green hydrogen demand.
  • Key Components:
    • SIGHT Programme (Strategic Interventions for Green Hydrogen Transition): Provides financial incentives for electrolyser manufacturing and green hydrogen production.
    • Green Hydrogen Hubs: Development of specific regions with renewable energy potential and industrial demand for hydrogen (e.g., Gujarat, Rajasthan, Tamil Nadu).
    • Pilot Projects: Focus on fertilisers, refineries, steel, and heavy transport as early adopter sectors.
    • Policy & Regulations:
      • Waiver of inter-state transmission charges for renewable energy used in hydrogen production.
      • Priority grid connectivity and open access for renewable projects.
      • Creation of standards, safety codes, and certification mechanisms.
    • Research & Development: Support for R&D on electrolyser efficiency, hydrogen storage, fuel cells, and transportation technologies.
  • Benefits:
    • Helps decarbonize key industries and reduce oil import dependence.
    • Promotes Atmanirbhar Bharat in the clean energy sector.
    • Establishes India as a leader in the global hydrogen economy.
    • Boosts employment, innovation, and industrial growth.
    • Enhances energy security and supports sustainable development goals.
  • Challenges:
    • High cost of production compared to fossil-based hydrogen.
    • Infrastructure gaps in transport, storage, and distribution.
    • Water requirement for electrolysis, especially in arid regions.
    • Uncertain market demand and lack of price parity with conventional fuels.
    • Technological dependence and need for domestic electrolyser production.
    • Regulatory coordination among multiple ministries and states.