India's Green Hydrogen Transition: Incentive Scheme Guidelines Released for Tranche-II
Key Ideas
  • MNRE notified Scheme Guidelines for "Strategic Interventions for Green Hydrogen Transition (SIGHT) Programme – Component II: Incentive Scheme for Green Hydrogen Production - Tranche-II" on July 3, 2024.
  • Tranche-II will have a capacity of 450,000 TPA of Green Hydrogen, with a focus on biomass-based and technology-agnostic pathways, managed by SECI.
  • Bidding criteria include the least average incentive quoted, with specific capacity limits for different pathways to encourage participation in India's National Green Hydrogen Mission.
  • The Mission aims at India's self-reliance through clean energy, decarbonization of the economy, reduced fossil fuel dependency, and positioning India as a leader in Green Hydrogen technology and market.
The Ministry of New and Renewable Energy (MNRE) in India has released the Scheme Guidelines for the implementation of the "Strategic Interventions for Green Hydrogen Transition (SIGHT) Programme – Component II: Incentive Scheme for Green Hydrogen Production (under Mode 1)- Tranche-II". This notification, made on July 3, 2024, outlines the specifics of Tranche-II, which will have a capacity of 450,000 TPA of Green Hydrogen. Within this capacity, 40,000 TPA is dedicated to biomass-based pathways (bucket II), while the remainder is allocated for technology-agnostic pathways (bucket I). The Solar Energy Corporation of India (SECI) will oversee the implementation of this tranche as well as issue the Request for Selection (RfS). Bidding for this scheme will be based on the least average incentive quoted by the bidder, with specific capacity criteria set for each bucket to ensure a diverse range of participation. The National Green Hydrogen Mission, initiated on January 4, 2023, with an allocated budget of Rs. 19,744 crores until FY 2029-30, aims to bolster India's self-reliance through clean energy practices. The mission seeks to facilitate significant decarbonization, reduce reliance on fossil fuel imports, and position India as a leader in Green Hydrogen technology and market, contributing to the global Clean Energy Transition.
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