EOIs invited for HVICs in India

The Ministry of Science and Technology in India has invited expressions of interest (EOIs) for Hydrogen Valley Innovation Clusters (HVIC) in the country as part of The National Green Hydrogen Mission approved by the country’s Union Cabinet in January 2023.

A Hydrogen Valley is a defined geographical area where hydrogen serves more than one end sector or application in mobility, industry, and energy.

The Ministry’s Department of Science and Technology (DST) will be the nodal agency and provide funding for Research, Development, and Demonstration (RD&D) activities essential for small-scale demonstration by enhancing the readiness of technologies in the green hydrogen value chain.

Funding to recommended EOIs for preparation of detailed project report (DPR) will be given in May 2023. DST will provide an assistance of INR 25 lakh for the preparation of the detailed project report.

Each small scale HVIC will target annual production of green hydrogen up to 500 tonnes per year through various proven technology routes. The initial demonstration period will be for five years (2024-2028), after which each HVIC will plan to scale up a commercial level.

The invitation has identified two types of small scale HVICs that could be considered for funding.

First is a city-or town-wide hydrogen valley, a setup with a geographical area of approximately 100 km radius – consisting of various parts of the hydrogen value chain.

Second is a campus-wide small scale hydrogen valley in which the hydrogen value chain spans the area of an R&D institution or an industrial establishment. In such cases, a consortium might plan to demonstrate green hydrogen production, storage, transportation, and consumption within the premises of a company or an R&D institution.

The selected projects will be announced in August 2023.  Project initiation and company formation will begin in October 2023, according to the invite.

DST will allocate up to INR 30 crores or 50 percent of the total HVIC cost, whichever is lower based on justified needs. The total cost of running HVIC will be for five years.

Each HVIC will be a (public-private- partnership) PPP-driven project. Industry partners willing to contribute towards the funding with respect to their specific area in the Hydrogen Value Chain would be preferred.