- Proposed expanded Union Budget support for NGHM: IH2A submitted a proposal to the Finance Ministry for increasing budgetary support for the National Green Hydrogen Mission and creating a USD 5 bn National Hydrogen Transition and Development Fund, similar to the EU Green Hydrogen Fund, to support large-scale hydrogen projects and H2 hub development, H2 supply chains beyond electrolyser manufacturing, sectoral hydrogen transition plans, skilling and hydrogen infrastructure development in the country. Link
- Green Fuels Alliance India: Denmark has launched Green Fuels Alliance India (GFAI), to bolster collaboration between the two countries with the aim of advancing the green fuels sector, including green hydrogen. Nine organizations are taking part in the initiative as founding members including Maersk, Topsoe, European Sustainable Solutions, Novozymes, Danfoss, and Hydrogen Denmark. GFAI’s advisory board members include India Hydrogen Alliance, Energy Consortium at the Indian Institute of Technology Madras, the Danish Energy Agency and State of Green. Link
POLICY & MARKET DEVELOPMENTS
- India plans green hydrogen pilot projects in shipping and steel: India has laid out plans to undertake pilot projects to use green hydrogen in the shipping and steel sectors, at a combined cost of USD 68.6m. With a budget of USD 54.8m until FY 2029-30, the pilot projects are intended to lead to the development of infrastructure to use hydrogen in the iron and steel industry. For shipping, the Ministry is offering USD 18.6m until FY 2025-26 for pilot projects that will retrofit existing ships with green hydrogen propulsion systems, as well as the development of bunkering and refuelling facilities in ports on international shipping lanes. Link
- MNRE to incentivise production of green hydrogen: MNRE has recently published guidelines and incentives to promote the procurement of green hydrogen as part of the National Green Hydrogen Mission. Under the mission, INR 17,490 crore has been set aside for the Strategic Interventions for Green Hydrogen Transition (SIGHT) programme. The scheme offers incentives to producers supplying oil refineries can receive up to INR 50 (USD 0.60) per kilo in the first year, INR 40 / kg in the second year and INR 30 / kg during the third year. Implemented under Mode-2B, a system adopted by the MNRE for the SIGHT scheme, this approach involves aggregating demand and soliciting bids for green hydrogen and its derivatives at the lowest cost through a competitive selection process. Link
- Reliance, Jindal among six firms to get incentives for making electrolysers: Six firms, including Reliance Electrolyser Manufacturing, Jindal India, and John Cockerill Greenko Hydrogen Solutions, won incentives to produce electrolysers for green hydrogen. In response to a Solar Energy Corporation of India tender for 1.5GW manufacturing capacity, these firms secured a total of INR 1,776 crore for 1200 MW capacity. Link
- ONGC receives petroleum ministry nod to form green energy subsidiary: The Petroleum and Natural Gas Ministry has approved the formation of a subsidiary company of Oil and Natural Gas Corporation Limited for green energy and gas business. The company will engage in businesses related to green hydrogen, hydrogen blending, renewable energy (solar, wind, and hybrid), biofuels, biogas business, and LNG. Link
- GIFT City partners with IGX, GSPC for global hydrogen trading mechanism: The International Financial Services Centre (IFSC) at GIFT City has partnered with the Indian Gas Exchange and Gujarat State Petroleum Corporation to establish a Global Hydrogen Trading Mechanism. This collaboration aims to introduce the Global Hydrogen Price Index for price discovery in the green hydrogen sector, enhance transparency, and attract global institutions for trading at GIFT IFSC. Link
- PNGRB, World Bank team up for study on hydrogen transmission in natural gas networks: Petroleum and Natural Gas Regulatory Board in collaboration with the World Bank, has initiated a study to develop pathways for hydrogen transmission in natural gas pipelines and city gas distribution networks. The study, part of India's National Green Hydrogen Mission, aims to map the demand and supply of hydrogen, assess the technical compatibility of the current pipeline network, review commercial and regulatory aspects, and create a roadmap for hydrogen blending through 2040. Link
- ReNew proposes to invest INR 26,400 crore in Kerala: Renew proposes to invest INR 26,400 crore in a green hydrogen project in Kerala. The project aims to produce 1.5 million tonnes of green hydrogen annually by 2030. Renew plans to utilize 2,500 MW of renewable energy capacity to power the project, focusing on solar and wind power. The project involves establishing electrolyzer manufacturing units and related infrastructure. Link
- INOX Air Products signs deal for large-scale green ammonia plant in India: INOX Air Products has announced that it has signed a major deal with the Government of Maharashtra for constructing a large-scale green ammonia plant with a planned outlay of USD 3 billion. Set to be commissioned within a three to five year timeline, the plant is expected to produce 500,000 metric tonnes per annum (MTPA) of renewable produced liquid ammonia. Link
- Welspun World plans to invest INR 40,000 crore in Gujarat: The group is committed to support Gujarat's decarbonisation ambitions with a cumulative investment of over Rs 40,000 crore to build a vibrant green hydrogen and green ammonia ecosystem. Towards this, the group, through its entity Welspun New Energy Ltd) entered a strategic alliance with Gujarat Pipavav Port Limited, promoted by APM Terminals, part of the AP Moller - Maersk Group. Link
- ACME, IHI to set up green Ammonia plant in Odisha’s Gopalpur: Odisha will soon host a 1.3 million tonne per annum green ammonia plant at Gopalpur Industrial Park within the next three year ACME Clean Energy Pvt Ltd will collaborate with IHI Corporation to establish the plant. The state government has allocated 340 acres of land at Tata Steel Special Economic Zone Limited for this project, which will be developed in phases with an investment of approximately INR 60,000 crore. Link
- Hygenco to invest USD 2.5 billion in India: Hygenco Green Energies is planning to invest USD2.5 billion over three years to set up Green Hydrogen projects across multiple states in India, as part of a larger plan to capitalise on the business opportunities in the fast-developing local market for the clean fuel. The company is actively developing projects in over seven states where customers belong to refineries, steel, fertilizers and other industries with hard-to-abate emissions in manufacturing process. Link
- Torrent Power commits USD 5.7 billion in Gujarat: Torrent Power will invest around USD 5.7 billion in green hydrogen and green ammonia production, solar and hybrid power generation, and power distribution in Gujarat. The company has signed four non-binding Memorandums of Understanding with the Government of Gujarat for the proposed investment. Link
GLOBAL DEVELOPMENTS
- Japan to spur clean hydrogen production with USD 20B in subsidies: Japan plans to allocate 3 trillion yen over the next 15 years to subsidize the production of cleaner hydrogen, with a specific focus on limiting carbon dioxide emissions during production. Japan has set a strict upper limit of 3.4 kgs of CO2 emissions per 1 kg of hydrogen to qualify for subsidies. Additionally, Japan aims to significantly increase its domestic hydrogen supply, targeting a 50% rise over the current level to reach 3 million tonnes by 2030 and a monumental 20 million tonnes by 2050. Link
- Six green hydrogen projects shortlisted for headstart funding: Six green hydrogen projects totaling more than 3.5GW of capacity have been shortlisted for USD 1.35 billion of subsidies under Australia’s Hydrogen Headstart programme. Under the Program, projects seeking to produce renewable hydrogen or derivatives, such as renewable ammonia or methanol, at scale can apply for a production credit delivered over ten years to bridge the commercial gap between the cost of producing renewable hydrogen and the market price. Link
- Mitsubishi to Invest in World’s Largest Green Hydrogen Project: Japan's Mitsubishi Corp. is investing USD 690 million in the Eneco Electrolyzer project, slated to become the world's largest green hydrogen initiative. With an 800 MW capacity, it aims to produce up to 80,000 tons of hydrogen annually, surpassing current global green hydrogen production capabilities by 30 times. Link
- Essar’s UK hydrogen production facility gets green light: Cheshire West and Chester Council has approved groundbreaking plans by Essar Energy Transition (EET) Hydrogen for the first large scale, low carbon hydrogen production plant (HPP1) in the UK. Consisting of two plants, the hydrogen hub will enable local industrial and power generation businesses to switch from fossil fuels to low carbon energy. The hydrogen will be used locally by the Essar refinery and other major manufacturers in the region, including Tata Chemicals, Encirc and Pilkington to create the first low carbon refining operations, glass and chemicals manufacturing sites in the world. Link