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Energy transition dialogues
Energy transition dialogues dives deep into the critical conversations shaping our energy future. We explore the challenges and opportunities of the global shift towards renewable energy, featuring insights from leading experts and diverse perspectives.
Challenges to overcome
Key barriers include high production costs compared to grey hydrogen, limited transport and storage infrastructure, water availability constraints and dependence on imported critical minerals for electrolyser manufacturing. Market uptake is hindered by insufficient demand, fragmented global standards and public safety concerns. Addressing these will be key for Green Hydrogen systems to achieve scale.
Policy and state initiatives
National green hydrogen Mission (NGHM) multi-pronged approach includes Green Hydrogen systems production-linked incentives, pilot projects, R&D, skill development and hydrogen hubs. Several states, inter alia, Uttar Pradesh, Maharashtra, Rajasthan, Andhra Pradesh, Odisha and others have introduced capital subsidies, tax waivers, and priority access to infrastructure to attract investment opportunities in India’s Green Hydrogen sector.
Recommendations for increasing GH2 offtake in India
The momentum for adopting Green Hydrogen is gaining traction, driven by competitive pricing in critical sectors such as refining and fertilizers, supportive policy frameworks and increasing global demand for hydrogen derivatives like green methanol. To facilitate large-scale deployment, it is crucial to align national policies to mandate the use of clean hydrogen, eliminate fossil fuel subsidies, and implement obligations for the consumption of hydrogen and its derivatives. Key enablers include mechanisms for demand aggregation supported by payment security, a national certification and tracking system, the development of hydrogen hubs and port infrastructure, integration into city gas distribution networks and risk mitigation strategies for offtakers. When these elements are combined with industry innovation and targeted financial incentives, they can help create a stable and bankable market for Green Hydrogen applications. This will enhance climate action, bolster energy resilience, and solidify India’s position in the future of hydrogen fuel cells in transportation and the broader global hydrogen economy.