India advances hydrogen sustainability efforts, signing biofuels agreement in 2023's eco-friendly progression.
India's Green Hydrogen Mission and Renewable Energy Expansion
India is making significant strides in its renewable energy sector, with ambitious plans and initiatives aimed at positioning the country as a global leader in green hydrogen production.
According to estimates, a total of 20 GW of renewable energy capacity will be added in the current financial year, with another 25 GW likely to be added in the next fiscal. This expansion is part of India's target of installing 500 GW of renewable energy capacity by 2030.
The Union Minister for Power and New & Renewable Energy, R.K. Singh, has stated that the prices for Battery Energy Storage Systems (BESS) have come down and should not exceed ₹7 per unit without Viability Gap Funding (VGF). This is a significant development as BESS plays a crucial role in ensuring the smooth operation of renewable energy systems, especially in balancing supply and demand.
One of the key initiatives driving this renewable energy expansion is the National Green Hydrogen Mission. Launched in January 2023, the mission aims to establish India as a global hub for the production, utilization, and export of green hydrogen and its derivatives. The mission targets the development of a green hydrogen production capacity of at least 5 million metric tons per year by 2030, supported by an addition of about 125 GW of renewable energy capacity.
The mission includes incentives under the Strategic Interventions for Green Hydrogen Transition (SIGHT) Programmes to boost production of green hydrogen and electrolyzers. It also benefits from supportive policies such as a 25-year waiver on interstate transmission charges for green hydrogen and ammonia producers, along with waivers on renewable energy transmission charges, facilitating cost-effective green hydrogen production.
The mission has initiated five pilot projects involving 37 hydrogen-fuel vehicles and nine hydrogen refuelling stations. Notably, the Indian Institute of Science has developed a carbon-negative process that produces 5 kg of 99% pure green hydrogen per hour from agricultural waste, indicating progress in research and technology development under the mission.
India is also making strides in its renewable energy sector beyond green hydrogen. Companies like ReNew are forging strategic partnerships to tap into the booming renewable energy market, anticipating India's initial role as an export powerhouse.
However, challenges remain in hydrogen storage, electrolysis cost reduction, and scaling vehicle technology. The mission plans to overcome these challenges through collaboration with research institutions and industry partners.
In addition to green hydrogen, India is also focusing on ethanol blending. The country aims to roll out 20% ethanol-blended petrol across the country by 2025, currently around petrol sold in the country is 12% ethanol blended.
To support this renewable energy expansion, India is also focusing on improving its power transmission infrastructure. However, according to estimates, India achieved only 61.5% of its target on expanding power transmission lines in the first half of the fiscal year. The government announced plans to set up wind power capacity of at least 10GW per annum as part of the annual bids for ISTS (Inter-State Transmission System) connected renewable energy capacity.
The National Electricity Plan envisages a requirement of 8,680MW/34,720 MWh of battery energy storage system (BESS) from FY22-27, and 38,564 MW/201,500 MWh of BESS from FY28-32. The Union cabinet recently approved a ₹3,670 crore VGF scheme for setting up 4,000MWh of battery energy storage systems (BESS) to boost round the clock renewable power.
In summary, India's National Green Hydrogen Mission is a comprehensive government initiative with dedicated funding, clear targets for production and renewable capacity, supportive policies, and tangible progress in pilot projects and technology innovation aimed at positioning India as a key player in the global green hydrogen economy by 2030. The country's renewable energy expansion, however, also requires smoother land acquisition, more transmission infrastructure, and a domestic renewable-energy supply chain.
- The National Green Hydrogen Mission, initiated in January 2023, is a significant part of India's renewable energy expansion, aimed at establishing the country as a global hub for green hydrogen production by 2030.
- Besides green hydrogen, India is focusing on ethanol blending and aims to roll out 20% ethanol-blended petrol nationwide by 2025.
- Companies like ReNew are forging strategic partnerships to tap into the booming renewable energy market in India, anticipating the country's initially role as an export powerhouse.
- Scientific progress under the mission includes the development of carbon-negative processes for producing 99% pure green hydrogen through agricultural waste.
- The mission also includes plans to tackle challenges in hydrogen storage, electrolysis cost reduction, and scaling vehicle technology through collaboration with research institutions and industry partners.
- In addition to the National Green Hydrogen Mission, further support for India's renewable energy expansion includes government initiatives for improving power transmission infrastructure and setting up battery energy storage systems (BESS).
