India’s enterprise into the inexperienced hydrogen market holds nice promise as a result of its versatility in purposes that vary from agriculture, transportation, electrical energy, and laborious to abate sectors like refinery, fertiliser, iron and metal, amongst others. In keeping with MEC+, the entire hydrogen consumption in India is 8.1 MTPA. This consists of home hydrogen consumption (6 MTPA), hydrogen consumption in imported fertiliser (1.2 MTPA), hydrogen consumption in imported ammonia (0.5 MTPA), hydrogen consumption in imported methanol (0.4 MTPA). In keeping with a report by NITI Aayog, the demand for hydrogen in India is projected to quadruple to 29 million tonnes by 2050, with the metal trade and heavy-duty transportation accounting for 52 % of this demand. Of this complete hydrogen demand, inexperienced hydrogen will account for 94 per cent by the identical yr.
To be able to meet the nation’s elevated demand from inexperienced hydrogen and to attain power independence by 2047, the Indian authorities carried out a number of insurance policies and programmes, such because the Nationwide Inexperienced Hydrogen Mission. In alignment with the mission’s main aim of reaching a inexperienced hydrogen manufacturing capability of no less than 5 million metric tonnes per yr, there’s a set goal for home electrolyser manufacturing, aiming for a capability vary of 60-100 GW by 2030. As per Worldwide Power Company, this goal is notably 7.5-12.5 occasions larger than the worldwide electrolyser manufacturing capability, which was round 8 GW within the yr 2021. The federal government additionally carried out an incentive program for the manufacturing of inexperienced hydrogen and electrolysers, waived interstate transmission charges for renewable power used to provide inexperienced hydrogen and its byproducts for models commissioned till December 31, 2030, allowed open entry to the grid and the banking of renewable power for 30-days to provide inexperienced hydrogen or inexperienced ammonia.
A number of developments have taken place on this area prior to now yr to harness the phase’s potential. Aligned with the federal government’s aspirations for the sector, each Indian private and non-private establishments have proven a constructive response by unveiling plans for important investments throughout the inexperienced hydrogen worth chain. This encompasses renewable power builders, electrolyser producers, oil and gasoline entities, metal producers, and varied different stakeholders.
Renewable Watch supplies a roundup of the important thing developments on this area over the previous yr.
Plans of personal gamers
- Larsen & Toubro Restricted in collaboration with ReNew and Indian Oil Company Restricted has introduced to take a position Rs 320 billion for inexperienced hydrogen tasks with most important deal with electrolysers, inexperienced hydrogen vegetation, and inexperienced ammonia tasks. It additionally plans to take a position round Rs 5 billion for manufacturing electrolysers. The corporate is in discussions with the state governments for extra land to be constructed close to ports with a purpose to transport inexperienced hydrogen and ammonia.
- Hydreen has raised a funding of $2 billion to construct inexperienced ammonia and inexperienced hydrogen services in 5 Indian states. The corporate has obtained funding from European sovereign funds. Presently, the development work for 2 tasks is ongoing in Kerela and Himachal Pradesh. Every challenge could have a capability of 250 MW, and the ammonia produced from these vegetation is meant for worldwide export.
- Amplus Photo voltaic has entered into an MoU with the Andhra Pradesh authorities to arrange a number of decentralised inexperienced hydrogen manufacturing vegetation within the state. The corporate goals to arrange 7.5 KPTA-distributed inexperienced hydrogen vegetation for industrial consumption in Andhra Pradesh with an funding (together with on-site hydrogen manufacturing vegetation and off-site wind and photo voltaic power vegetation) of Rs 15 billion.
- Ocior Power India introduced plans to determine a 1 million tonne each year inexperienced ammonia plant in Andhra Pradesh. The challenge shall be executed with an funding of Rs 400 billion. The corporate has entered a MoU with the Andhra Pradesh authorities relating to the proposed funding for the state’s inexperienced hydrogen and ammonia challenge. The renewable power challenge shall be operational in two phases by 2030.
- A land settlement has been signed by the ACME Group with Tata Metal Particular Financial Zone Restricted for creating inexperienced hydrogen and inexperienced ammonia challenge on 343 acres of land. The challenge shall be carried out on the Gopalpur Industrial Park in Ganjam district of Odisha. ACME intends to develop a 1.3 million tonnes each year inexperienced ammonia plant. The inexperienced ammonia produced at this plant shall be shipped from Gopalpur port services to markets within the west and east.
Plans of public entities
- REC has signed an MoU with Avaada Group, committing Rs 150 billion for the event of a inexperienced hydrogen and ammonia facility in Gopalpur.
- Indian Oil Company Restricted is foraying into producing inexperienced hydrogen with a ten KTPA plant that’s deliberate in Panipat. The corporate has invited world tenders to develop the power on the land subsequent to its Panipat refinery. It’s planning to combine this inexperienced hydrogen era plant with the Panipat refinery’s present hydrogen community. The plant will function round the clock and is meant to provide 1,250 kg of inexperienced hydrogen per hour.
- Hindustan Petroleum Company Restricted is implementing a inexperienced hydrogen challenge at Visakh refinery within the state of Andhra Pradesh. The challenge could have an electrolyser capability of 370 tonne each year. The corporate has already spent Rs 110 million out of a complete allocation of Rs 330 million on the challenge.
- The Photo voltaic Power Company of India has issued a young for the choice of inexperienced hydrogen producers for establishing manufacturing services for inexperienced hydrogen in India beneath the strategic interventions for inexperienced hydrogen transition scheme, mode-1-tranche-1. The whole capability to be allotted beneath this tender is 450,000 MT each year of inexperienced hydrogen, and this capability is split into two buckets: Bucket 1 – 410,000 MT each year beneath know-how agnostic pathway and Bucket 2 – 40,000 MT each year beneath biomass-based pathway.
- NHPC has issued a young to determine a pilot challenge for a inexperienced hydrogen-based mobility station in Kargil, Ladakh, to function two hydrogen gasoline cell-based buses all through the world. The set up of two models with a capability of 30 Nm3 hour is required. The anticipated every day hydrogen manufacturing goal is 40 kg, with a minimal purity degree of 99.97 per cent.
- NTPC Inexperienced Power Restricted (NGEL) has signed a MoU with Syama Prasad Mookerjee Port to arrange a inexperienced hydrogen hub in Kolkata. NGEL and Nayara Power have signed MoU to discover prospects in inexperienced hydrogen and clear power area. The businesses will work collectively to fabricate inexperienced hydrogen for captive use by Nayara Power and to expedite decarbonisation and carbon footprint discount. NGEL has signed a MoU with HPCL Mittal Power Restricted. The MoU goals to discover alternatives within the inexperienced hydrogen enterprise and its derivatives like inexperienced ammonia and inexperienced methanol.
Outlook
The inexperienced hydrogen market in India is at the moment in its early phases of growth, exhibiting substantial potential for fast progress. Inexperienced hydrogen adoption is projected to result in financial savings in power imports, with estimates starting from $246 billion in 2030 to $358 billion in 2050. Nonetheless, there are a number of challenges and points that have to be addressed for India to determine itself as a frontrunner within the inexperienced hydrogen sector.
As per a report from the Worldwide Power Company, the manufacturing of 1 kilogram of inexperienced hydrogen requires 9 liters of water. The report emphasises that in water-stressed areas, entry to freshwater turns into a worrisome issue through the manufacturing of inexperienced hydrogen. This will grow to be a key problem for varied giant upcoming tasks particularly in states like Rajasthan. Furthermore, potential environmental points could come up, making the implementation of tasks unfeasible. One other consideration is the propensity for hydrogen to leak simply, and the explosive response of liquid hydrogen with air, necessitating the implementation of additional infrastructure to make sure secure dealing with and operations.
There are encouraging developments on this phase because the Indian authorities and trade are actively partaking in collaborative initiatives with different nations. India can also be planning to supply carbon credit for the manufacturing of inexperienced hydrogen as a method to draw investments from different international locations. Moreover, the federal government have recognized 10 states that might play a pivotal position within the manufacturing of inexperienced hydrogen, contemplating components such because the presence of industries appropriate to be used circumstances, the provision of ports, and renewable power assets, amongst different issues. These days, the Ministry of New and Renewable Power has additionally launched a set of requirements for inexperienced hydrogen, a preliminary plan for the analysis and growth of the inexperienced hydrogen ecosystem in India, and has pledged investments amounting to Rs 4 billion.
Total, the federal government has recognized inexperienced hydrogen as a driving pressure behind conducting its net-zero objectives and is providing varied incentives to bolster the sector’s progress. Going ahead, there’s a must comply with these coverage interventions with on-ground implementation and streamlined rules, to make sure the event of a sustainable inexperienced hydrogen ecosystem.