Green hydrogen has potential to cut fossil fuel imports

Green hydrogen has the potential to replace fossil fuels including natural gas, either as a source of energy or as a feedstock, thereby contributing to reduction in dependence on import of fossil fuel

With the 5 million metric tonnes (MMT) installed capacity under the National Green Hydrogen Mission, India can reduce imports of fossil fuel worth Rs 1 lakh crore by 2030, Union Minister R K Singh said.

In January 2023, the Union Cabinet approved the National Green Hydrogen Mission with an outlay of Rs 19,744 crore with an aim to make India a global hub for manufacturing this clean source of energy.

Green hydrogen has the potential to replace fossil fuels including natural gas, either as a source of energy or as a feedstock, thereby contributing to reduction in dependence on import of fossil fuels, the Minister for New and Renewable Energy informed the Rajya Sabha.

The mission envisages substitution of grey hydrogen with green hydrogen in industries such as fertilizer production, petroleum refining, steel, shipping etc. reducing carbon footprint and dependence on imported fossil fuels, he said.

“The quantum of such reduction in imports is estimated at Rs 1 lakh crore by 2030,” Singh said.

The minister also said that for production of 1 kilogramme of green hydrogen via electrolysis, around 10 litres of demineralized water is needed. Accordingly, the demineralized water requirement for 5 MMT of green hydrogen production per annum will be about 50 Million Cubic Meter (MCM) per annum.

A majority of the green hydrogen production plants are expected to come up near port locations as per the industry feedback. In such cases, desalinised sea water could also be used for green hydrogen production.

Since water is a state subject, the project developers will have to comply with the state regulations for securing the water supply, Singh said.