India has unveiled guidelines for the second phase of its clean hydrogen production funding scheme, aiming to support the production of 450,000 tonnes of hydrogen annually. The Tranche-II Incentive Scheme for Green Hydrogen Production will offer incentives over a three-year period, with decreasing caps starting at $0.61/kg in the first year. The auction process will be divided into technology-agnostic and biomass-based pathways, catering to different production capacities. The oversubscription of projects in the first round highlights the interest in green hydrogen production. Despite concerns raised by the Institute for Energy Economics and Financial Analysis (IEEFA) regarding low incentive rates and the levelised cost of hydrogen in India, the country's focus on green hydrogen aligns with its broader goal of achieving five million tonnes of hydrogen production annually by 2030. The funding scheme, part of the $2.1bn Strategic Initiative for Green Hydrogen Technologies (SIGHT), aims to boost India's position in the global green hydrogen market. The growing interest in green hydrogen reflects a global shift towards cleaner energy sources and aligns with efforts to reduce dependence on hydrocarbon-based fuels.