"The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the National Green Hydrogen Mission," Union Minister Anurag Thakur told reporters after the Cabinet meeting. The mission's initial budget will be Rs 19,744 crore, which includes Rs 17,490 crore for the SIGHT programme, Rs 1,466 crore for pilot projects, Rs 400 crore for R&D, and Rs 388 crore for other mission components.
The scheme's implementation guidelines will be developed by the Ministry of New and Renewable Energy (MNRE). The mission aims to promote the development of green hydrogen production capacity of at least 5 MMT (Million Metric Tonnes) per year in the country by 2030, with an associated renewable energy capacity addition of approximately 125 GW.
It plans to invest over Rs 8 lakh crore and create over 6 lakh jobs by 2030. It will also result in a reduction of over Rs 1 lakh crore in fossil fuel imports and a reduction of nearly 50 MMT of annual greenhouse gas emissions by 2030.
According to an official statement, the Mission will have numerous benefits, including the creation of export opportunities for green hydrogen and its derivatives, the decarbonization of the industrial, mobility, and energy sectors, the reduction of reliance on imported fossil fuels and feedstock, the development of indigenous manufacturing capabilities, the creation of job opportunities, and the development of cutting-edge technologies.
The Mission will make it easier to create demand for, produce, use, and export green hydrogen. The Mission will provide two distinct financial incentive mechanisms aimed at domestic manufacturing of electrolysers and production of green hydrogen under the Strategic Interventions for Green Hydrogen Transition Programme (SIGHT).
In addition, the Mission will fund pilot projects in emerging end-use sectors and production pathways. Green Hydrogen Hubs will be identified and developed in regions capable of supporting large-scale hydrogen production and/or utilisation, according to the minister. To aid in the establishment of the green hydrogen ecosystem, an enabling policy framework will be developed. A solid framework of standards and regulations will also be developed.
The Mission will also facilitate a public-private partnership framework for R&D (Strategic Hydrogen Innovation Partnership - SHIP). To develop globally competitive technologies, R&D projects will be goal-oriented, time-bound, and appropriately scaled up. A coordinated skill development programme will be implemented as well.
All concerned ministries, departments, agencies, and institutions of the federal and state governments will take focused and coordinated actions to ensure the Mission's success. According to him, the Ministry of New and Renewable Energy will oversee the Mission's overall coordination and implementation.
