The Ministry of New and Renewable Energy (MNRE) has released guidelines for disbursement of incentives for the production of up to 450,000 metric tonnes (mt) per year of green hydrogen as part of Component II (Mode 1, Tranche II) of the Strategic Interventions for Green Hydrogen Transition programme.
The Solar Energy Corporation of India Limited has been assigned the responsibility of supervising the competitive bidding process and managing the implementation of the programme. Green hydrogen producers will receive incentives over three years, with limits set at Rs 50 per kg in the first year, Rs 40 per kg in the second year, and Rs 30 per kg in the third year. For products derived from green hydrogen, such as green ammonia, incentives will be allocated based on the amount of green hydrogen used in their production. MNRE has determined an equivalence factor of 0.1765 kg of green hydrogen per kg of green ammonia.