On Wednesday, India approved a 197.4-billion-rupee ($2.4 billion) incentive plan to promote the green hydrogen industry in an effort to reduce emissions and become a major exporter in the field.
Green hydrogen, also known as renewable hydrogen, has the potential to be used as a fuel. It is produced by electrolysis of water using renewable energy, so it does not emit polluting carbon emissions.
Green hydrogen is emerging as a viable future alternative to fossil fuels all over the world.
It can be used in industry, to power automobiles, and to heat and power homes.
The US, Japan, Saudi Arabia, the UAE, and EU members are just a few of the nations that have poured billions of dollars into plans to create green hydrogen projects.
Hydrogen fuel is currently expensive. The National Green Hydrogen Mission of India, an incentive programme, aims to lower production costs and expand the industry’s size by 2030.
“The mission aims to make India a global hub for production, utilization and export of green hydrogen,” Information Minister Anurag Thakur told reporters after a Cabinet meeting that approved the plan on Wednesday.
“(It) will help India in becoming energy-independent and in decarbonization of major sectors of the economy.”
A Cabinet statement said that the aims for annual production of 5 million tons of green hydrogen by 2030, cutting about 50 million tons of annual carbon emissions.
Additionally, it is anticipated to help cut import expenses by 1 trillion rupees and lessen reliance on fossil fuels.
India also plans to build electrolyser capacity of 60 gigawatts to 100 gigawatts to help produce green hydrogen, Thakur said.
According to sources in the industry, the government incentive is intended to lower the cost of producing green hydrogen, which is currently between 300 and 400 rupees per kg.