NEW DELHI : Industries corresponding to refineries and fertilizer producers might quickly should comply with a mandate for inexperienced hydrogen consumption, with the Ministry of New and Renewable Vitality (MNRE) approaching the union cupboard with a proposal.
Talking on the BloombergNEF Summit, New and Renewable Vitality Minister RK Singh stated talks are nonetheless ongoing on the inexperienced hydrogen consumption mandate degree, which has not but been determined.
“We now have amended the Vitality Conservation Act, which provides the federal government the facility to set mandates for altering the uncooked supplies from fossil to non-fossil. For instance, I could make fertilizer, petroleum, and many others. necessary. I can ask fertilizer and petroleum (refineries) that you just use grey hydrogen or grey ammonia and a sure share of that needs to be inexperienced beginning this 12 months, and regularly escalate it in order that 100% of that’s inexperienced,” Singh stated.
“We now have mentioned this with the related ministries. In precept, the adoption of the mandate is underway. Broadly talking, now we have had the talks and now we have provide you with some figures, and we are going to quickly go to the cupboard.”
The plan to spice up demand for inexperienced hydrogen comes just a few months after the ministry launched incentive schemes ₹ 17,000 crore for inexperienced hydrogen manufacturing and electrolyser manufacturing.
The mandate was anticipated to be introduced with the rollout of the inexperienced hydrogen mission, however was delayed attributable to disagreements over the mandate degree.
The minister stated the manufacturing capability of 5.8 million tonnes of inexperienced hydrogen is already in numerous phases of set up and that the “low value” of renewable vitality in India would result in the manufacturing of the most cost effective inexperienced hydrogen on the planet.
Not too long ago, the ministry rolled out the usual for inexperienced hydrogen produced within the nation.
The federal government has decided that manufacturing models might not emit greater than 2 kg of carbon dioxide per kg of hydrogen.
Earlier this 12 months, the union cupboard authorized the Nationwide Inexperienced Hydrogen Mission, which goals to supply 5 million tons of inexperienced hydrogen yearly and make India a worldwide inexperienced hydrogen hub.
In June, the federal government notified the Strategic Interventions for Inexperienced Hydrogen Transition Program (SIGHT), together with ₹13,050 crore would go in direction of boosting inexperienced hydrogen manufacturing, and once more ₹4,440 crore would go in direction of electrolyzer manufacturing.
In January, the commerce union cupboard authorized the Nationwide Inexperienced Hydrogen Mission ₹19,744 crores. Other than the SIGHT program to help electrolyzer and inexperienced hydrogen manufacturing, the federal government would allocate assets ₹ 1,466 crore for pilot tasks, ₹400 crore for analysis and growth, and ₹388 crore for different mission elements.
Underneath its bold inexperienced hydrogen mission, the Middle goals to make India a worldwide hub for the manufacturing, use and export of inexperienced hydrogen and its derivatives. The federal government goals to carry India’s inexperienced hydrogen capability to five million tonnes each year, with related renewable vitality. capability growth of roughly 125 GW.
Inexperienced hydrogen can be utilized in a lot of sectors, together with petroleum refineries, fertilizer and metal producers, that are known as “tough to scale back” sectors when it comes to CO2 emissions. Using inexperienced hydrogen is gaining significance as a number of export-oriented industries, together with the metal trade, put together to keep away from the disruption that may very well be attributable to the implementation of the Carbon Border Adjustment Mechanism (CBAM).
India is already exploring tariff and non-tariff measures to counter the EU’s Carbon Border Adjustment Mechanism (CBAM), which proposes to tax embedded carbon imports from a number of sectors, together with metal, aluminum, cement, hydrogen, electrical energy and fertilizer. 2026. From October, corporations must submit CO2 emission information from their exports to the EU.
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Up to date: August 24, 2023, 10:17 PM IST