The move will also help in reduction in fossil fuel imports of over Rs 1 lakh crore and lead to reduction of nearly 50 MMT of annual greenhouse gas emissions
The Union Cabinet chaired by Prime Minister Narendra Modi approved National Green Hydrogen Mission on Wednesday. The mission will help in development of green hydrogen production capacity of at least 5 MMT (million metric tonnes) per annum with an associated renewable energy capacity addition of about 125 gigawatt in the country.
The mission is likely to invite investments worth Rs 8 lakh crore and create over 6 lakh jobs in the country, according to the government’s press release.
The move will also help in reduction in fossil fuel imports of over Rs 1 lakh crore and lead to reduction of nearly 50 MMT of annual greenhouse gas emissions.
The mission will have wide ranging benefits for creation of export opportunities for green hydrogen and its derivatives, decarbonisation of industrial, mobility and energy sectors, reduction in dependence on imported fossil fuels and feedstock, development of indigenous manufacturing capabilities, creation of employment opportunities and development of cutting-edge technologies.
The mission will have an initial outlay for Rs 19,744 crore, including an outlay of Rs 17,490 crore for the Strategic Interventions for Green Hydrogen Transition (SIGHT) programme, Rs 1,466 crore for pilot projects, Rs 400 crore for R&D, and Rs 388 crore towards other mission components. Ministry of New and Renewable Energy (MNRE) will formulate the scheme guidelines for implementation of the respective components.
The Mission will support pilot projects in emerging end-use sectors and production pathways. Regions capable of supporting large scale production and/or utilization of Hydrogen will be identified and developed as Green Hydrogen Hubs.
An enabling policy framework will be developed to support establishment of Green Hydrogen ecosystem, the government said.