Ministry of Power Notifies Green Hydrogen/
Green Ammonia Policy
·
A Major Policy Enabler by Government for Production of Green
Hydrogen/ Green Ammonia using Renewable sources of energy
·
A Step Forward towards National Hydrogen Mission
Hon’ble Prime Minister launched
the National Hydrogen Mission on India’s 75th Independence Day (i.e. 15th August, 2021). The Mission
aims to aid the government in meeting its climate targets and making India a
green hydrogen hub. This will help in meeting the target of production of 5
million tonnes of Green hydrogen by 2030 and the
related development of renewable energy capacity.
Hydrogen and Ammonia are
envisaged to be the future fuels to replace fossil fuels. Production of these
fuels by using power from renewable energy, termed as green hydrogen and green
ammonia, is one of the major requirements towards environmentally sustainable
energy security of the nation. Government of India is taking various measures
to facilitate the transition from fossil fuel / fossil fuel based feed stocks
to green hydrogen / green ammonia. The notification of this policy is one of
the major steps in this endeavour.
The policy provides as follows :
i.
Green
Hydrogen / Ammonia manufacturers may purchase renewable power from the power
exchange or set up renewable energy capacity themselves or through any other,
developer, anywhere.
ii.
Open
access will be granted within 15 days of receipt of application.
iii.
The Green
Hydrogen / Ammonia manufacturer can bank his unconsumed renewable power, up to
30 days, with distribution company and take it back
when required.
iv.
Distribution
licensees can also procure and supply Renewable Energy to the manufacturers of
Green Hydrogen / Green Ammonia in their States at concessional prices which
will only include the cost of procurement, wheeling charges and a small margin
as determined by the State Commission.
v.
Waiver of
inter-state transmission charges for a period of 25 years will be allowed to
the manufacturers of Green Hydrogen and Green Ammonia for the projects
commissioned before 30th June 2025.
vi.
The
manufacturers of Green Hydrogen / Ammonia and the renewable energy plant shall
be given connectivity to the grid on priority basis to avoid any procedural
delays.
vii. The benefit of Renewable Purchase Obligation
(RPO) will be granted incentive to the hydrogen/Ammonia manufacturer and the
Distribution licensee for consumption of renewable power.
viii.To ensure ease of doing business a single portal for carrying
out all the activities including statutory clearances in a time bound manner
will be set up by MNRE.
ix.
Connectivity,
at the generation end and the Green Hydrogen / Green Ammonia manufacturing end,
to the ISTS for Renewable Energy capacity set up for the purpose of
manufacturing Green Hydrogen / Green Ammonia shall be granted on priority.
x.
Manufacturers
of Green Hydrogen / Green Ammonia shall be allowed to set up bunkers near Ports
for storage of Green Ammonia for export / use by shipping. The land for the
storage for this purpose shall be provided by the respective Port Authorities
at applicable charges.
The implementation of this
Policy will provide clean fuel to the common people of the country. This will
reduce dependence on fossil fuel and also reduce crude oil imports. The
objective also is for our country to emerge as an export Hub for Green Hydrogen
and Green Ammonia.
The
policy promotes Renewable Energy (RE) generation as RE will be the basic
ingredient in making green hydrogen.
This in turn will help in meeting the international commitments for
clean energy.