Green Hydrozen Support: The central government has planned to provide assistance of Rs 13,050 crore out of Rs 19,744 crore under the National Green Hydrogen Mission. It plans to provide a total assistance of Rs 17,490 crore to produce green hydrogen and electrolysers under the mission announced in February. Of this, Rs 4,440 crore will be allocated for the construction of the electrolyser.
For green hydrogen, the government has planned to provide a subsidy of up to Rs 50 per kg in the first year, which will later be brought down and capped at Rs 30 per kg in the third year. It has been said in the report that the government will give subsidy on green hydrogen per kg.
Full plan to support green hydrogen
A draft states that the beneficiaries of the central government scheme will be selected through a competitive bidding process. During the first year, the assistance from the government will be more and later it will gradually decrease. Applicants should have experience of developing at least 500 MW power capacity under this scheme.
How much green hydrogen is planned to be produced
During the last four years, 5 lakh tonnes of ammonia or methanol and one lakh hydrogen will be produced. This incentive scheme will close in the financial year 2026. The Bloomberg report states that 4 lakh tonnes of capacity will be produced in the first and third quarter of fiscal year 2024 and another 4 lakh tonnes in the first quarter of the next financial year 2025.
Plan for electrolyser
The Center is planning to allocate Rs 4,440 crore for a period of five years for the manufacture of electrolyzers. Rs 4,440 per kWh is expected during the first year, which will reduce every year. To participate, the applicants should have experience of generating at least 100 MW in the last two years.
Tell that the Union Cabinet has approved the National Green Hydrogen Mission in January with an initial expenditure of Rs 19,744 crore. 17,490 crore for strategic interventions in green hydrogen transition to support domestic manufacturing, 1466 crore for pilot projects etc.
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