Mar 31, 2022

Government Introduces Green Hydrogen Policy 2022

In August 2021, the Government of India (‘GOI’) had launched National Hydrogen Mission aimed at India meeting its climate targets and making the country a green hydrogen hub. GOI has now, on February 17, 2022, introduced the Green Hydrogen Policy aimed at making India an export hub by increasing the production of Green Hydrogen (‘GH’) and Green Ammonia (‘GA’) to 5 million tonnes by 2030. Some of the key features of this policy are:

  1. Inter-State transmission charges, in respect of electricity transmitted to the GH / GA plants commissioned prior to June 30, 2025, will be waived for a period of 25 years;
  2. MNRE will establish a single portal for all the necessary statutory clearances and permissions for GA/GH projects, which will be granted in a time-bound manner, ideally within 30 days of the application;
  3. Renewable energy being used to produce GH/GA will be permitted to be banked for a period of 30 days and the banking charges will be capped by regulatory determination;
  4. Land in renewable energy parks may be allotted for the production of GH/GA; and
  5. The MNRE may aggregate the demand of various sectors and consolidate bids for the procurement of GH/GA in order to achieve competitive prices.

As many of the aforesaid aspects are governed by State level regulations and policies, GH/GA players would be keen to see the mode and manner of implementation of this policy of GOI.




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