Centre rolls out norms for inexperienced hydrogen sops, incentive capped at Rs50/kg

New Delhi: The union ministry of latest and renewable power on Wednesday rolled out the rules for the much-anticipated incentive schemes for inexperienced hydrogen and electrolyzers.

A notification from the ministry stated that out of the 17,490 crore allotted for the Strategic Interventions for Inexperienced Hydrogen Transition Programme (SIGHT), 13,050 crore would go for incentivizing manufacturing of inexperienced hydrogen, whereas one other 4,440 crore would go for electrolyzer manufacturing.

Underneath the scheme, a direct incentive when it comes to per kilogram of inexperienced hydrogen will likely be offered for a interval of three years from the date of graduation of inexperienced hydrogen manufacturing.

Beneficiaries underneath the scheme will likely be chosen by way of a aggressive choice course of.

The notification stated that the incentives will likely be capped at 50 per kg within the first yr of manufacturing, 40 per kg through the second yr of manufacturing and 30 per kg within the third yr of manufacturing.

On April 6, Mint had reported that an incentives for inexperienced hydrogen manufacturing could also be capped at 50 per kg. 

It might be the primary mode of incentive for inexperienced hydrogen manufacturing. The ministry additionally stated that within the second mode, the implemeting company, in a bid to offer demand assurance to producers would combination demand and can name for bids for procurement of inexperienced hydrogen and its derivatives on the lowest value by way of a aggressive choice course of.

When it comes to help for electrolyzer manufacturing, the ministry would offer a base incentive of 4,400 per kilowatt within the first yr of manufacturing, which can step by step decline on an annual foundation.

The incentives for electrolyzers will likely be offered for 5 years from the date of graduation of producing of electrolyzers.

The motivation schemes had been introduced after the union cupboard accredited the Nationwide Inexperienced Hydrogen Mission earlier this yr with an intention to supply 5 million tonne inexperienced hydrogen yearly and make India a worldwide inexperienced hydrogen hub.

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Up to date: 28 Jun 2023, 10:43 PM IST