India Boosts Green Ammonia Allocation for Fertiliser Sector to Drive Green Hydrogen Demand
Key Ideas
  • The Ministry of New & Renewable Energy in India has increased the allocation of green ammonia for the fertiliser sector from 5.5 lakh to 7.5 lakh tonnes per annum to meet the growing demand for green hydrogen and its derivatives.
  • This move is part of the National Green Hydrogen Mission (NGHM) with a target to achieve a production capacity of 5 million tonnes per annum of green hydrogen by 2030, driving the country's transition to cleaner energy sources.
  • The NGHM, launched in 2023 with an allocated budget of Rs 19,744 crores, aims to promote self-reliance in clean energy, reduce reliance on fossil fuel imports, and position India as a global leader in Green Hydrogen technology and markets, signaling a green energy future.
  • The increase in green ammonia allocation is a strategic step to stimulate demand for green hydrogen, support the fertiliser sector's shift to cleaner energy sources, and contribute to the broader goals of the NGHM in decarbonizing the economy.
The Ministry of New & Renewable Energy in India has announced an increase in the allocation of green ammonia for the fertiliser sector as part of the National Green Hydrogen Mission. With the mission gaining momentum and seeing a rise in demand for green hydrogen and its derivatives across sectors, the government aims to bolster the production and utilization of green hydrogen by enhancing the capacity for green ammonia production. The recent amendment to the scheme guidelines involves increasing the allocation for the fertiliser sector by 2 lakh tonnes per annum, bringing the total allocation to 7.5 lakh tonnes per annum from the previous 5.5 lakh tonnes per annum. This initiative, aimed at driving the transition to cleaner energy sources, supports the broader goal of achieving a production capacity of 5 million tonnes per annum of green hydrogen by 2030. The National Green Hydrogen Mission, launched in 2023 with a substantial budget allocation, is set to make India self-reliant in clean energy, reduce dependence on fossil fuel imports, and establish the country as a leader in Green Hydrogen technology and markets.
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