WHAT IS GREEN HYDROGEN ?

Hydrogen is a clean molecule, but the process of extracting it is energy intensive. The sources and processes by which hydrogen is derived are categorised by colour tabs. Hydrogen produced from fossil fuels is called grey hydrogen, which constitutes the bulk of the hydrogen generated today. Hydrogen generated from fossil fuels with carbon capture and storage options is called blue hydrogen, while hydrogen generated using electrolysers powered by renewable power sources is called green hydrogen. Decarbonisation plans of many countries include green hydrogen (GH2) because combusting hydrogen releases only heat and steam.

THE MISSION

The National Hydrogen Mission was launched on August 15, 2021, with a view to cutting down carbon emissions and increasing the use of renewable sources of energy. The Union Cabinet on January 4, 2023, approved the National Green Hydrogen Mission, which is aimed at making India the global hub for the production of green hydrogen. The Ministry of New and Renewable Energy (MNRE) will formulate the scheme guidelines for implementation.

THE NEED FOR MISSION

Green hydrogen is not commercially viable at present. The current cost in India is around Rs 350-400 per kg; it is likely to become viable only at a production cost of under Rs 100/ kg. This is what the Hydrogen Energy Mission aims for. 

OUTLAY: ₹19,744 crore

⮚    ₹17,490 crore- for the Strategic Interventions for Green Hydrogen Transition (SIGHT) programme. Two distinct financial incentive mechanisms — targeting domestic manufacturing of electrolysers and production of green hydrogen — will be provided under the mission.

⮚    ₹1,466 crore for the upcoming pilot projects on emerging end-use sectors and production pathways.

⮚    ₹400 crore for R&D via public-private partnership framework.

⮚    ₹388 crore towards other mission components (coordinated skill development programme)

SCOPE OF THE MISSION

●      Green hydrogen production capacity of at least 5 MMT (Million Metric Tonnes) per annum with an associated renewable energy capacity addition of about 125 GW in the country by 2030.

●      Cumulative reduction in fossil fuel imports of over ₹1 lakh crore

●      Abatement of nearly 50 MMT of annual greenhouse gas emissions by 2030.

●      Investment of over ₹8 lakh crore and creation of over 6 lakh jobs by 2030.

BENEFITS

✔     Energy-independent India on imported fossil fuels and feedstock

✔     Decarbonising major sectors of the economy

✔     Global hub to produce, utilise and export the alternative fuel & its derivatives

✔     Creation of employment opportunities

✔     Development of cutting-edge technologies

CHALLENGES

▪        60% of India’s energy comes from fossil fuel sources.

▪        India lacks electrolysers for electrolysis of water.

▪        Hydrogen fuel cell technology is immature in India.

▪        Significant storage and transport costs since hydrogen reacts explosively with air.