India's Bold Move towards Green Hydrogen Leadership
Key Ideas
- The Government of India is actively working towards establishing the nation as a global hub for green hydrogen production and utilization.
- India's National Green Hydrogen Mission (NGHM) outlines a strategic roadmap to foster a robust green hydrogen ecosystem, targeting 5 million metric tonnes per annum by 2030.
- Legal frameworks like the Energy Conservation Act, Electricity Act, and Environmental Protection Act provide the statutory basis for promoting green hydrogen and renewable energy.
- Financial and fiscal incentives, including production-linked incentives, customs and tax exemptions, viability gap funding, and carbon credits, are being utilized to accelerate the adoption of green hydrogen.
The Government of India is aggressively pursuing the establishment of the country as a global leader in green hydrogen production and utilization. Through the National Green Hydrogen Mission (NGHM), India aims to produce 5 million metric tonnes of green hydrogen per year by 2030. This vision is supported by a comprehensive legal and regulatory framework that incentivizes stakeholders along the green hydrogen value chain. Key statutes like the Energy Conservation Act, Electricity Act, and Environmental Protection Act lay the groundwork for mandating green hydrogen usage and promoting renewable energy. Additionally, financial and fiscal incentives such as production-linked incentives, customs and tax exemptions, viability gap funding, and carbon credits are being implemented to drive the transition to green hydrogen. The legal permissibility of foreign direct investment in the renewable energy sector further strengthens India's position in attracting international capital for green hydrogen projects. The regulatory regime in India is overseen by central authorities with specific legal mandates to ensure compliance with sectoral statutes, paving the way for a sustainable and thriving green hydrogen ecosystem.