India plans $2-B incentive for green hydrogen industry – sources

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India is planning a $2-billion incentive program for the green hydrogen industry, three sources told Reuters, in a bid to cut emissions and become a major export player in the field.

Hydrogen can be used as a fuel. It is made by splitting water with an electrical process, electrolysis. If the devices that do that, electrolysers, are powered by renewable energy, the product is called green hydrogen, a fuel free of greenhouse emissions.

The green hydrogen proposal is likely to be called “Strategic Intervention for Green Hydrogen Transition ” and will be split into 45 billion rupees for electrolyser manufacturing for five years and the 135 billion rupees for green hydrogen and green ammonia production for three years, the manager and second official said.The incentive for making green hydrogen is likely to be 50 rupees per kg for three years, they said.

In February the government announced plans for India to make 5 million tons of green hydrogen annually by 2030, a figure that the first government official said could be doubled, depending on international demand.

 

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