March 19, 2024 [Energy World]- The Ministry of New and Renewable Energy (MNRE) has issued scheme guidelines for setting up of green hydrogen hubs under the National Green Hydrogen Mission.

According to the scheme, the hub should have a capacity of at least 100,000 MTPA and higher production capacity will get priority. A scheme implementing agency nominated by the ministry will issue Call for Proposals for the project.

The eligible agencies for sending project proposals include CPSU’s, state PSU’s, private sector, state corporations, autonomous bodies, JV’s, partnerships, and consortiums of such entities.
It added that the executing agency should have existing capabilities to complete and commercialise the projects.

Under the mission, it is planned to set up at least two such green hydrogen hubs by FY26. The Budgetary outlay for the scheme is Rs. 200 crore till FY26. The financial support for setting up these two hubs will be up to Rs. 100 crore each only for the core infrastructure.

The proposals will be evaluated majorly on the basis of planned production capacity. Other criteria include water source arrangements, financial viability of hubs, etc.

The scheme will provide support for development of core infrastructure at hydrogen hubs such as storage and transportation facilities, development of pipeline infrastructure, re-fueling facility, and hydrogen compression and liquefaction technologies, etc.

The scheme aims to set up regions which are capable of large scale production of hydrogen at these hubs, maximizing production of green hydrogen, enhancing cost-competitiveness, development of green hydrogen assets across the value chain.

It said that leveraging existing infrastructure for production of hydrogen, its transport, storage and utilization will be encouraged.

The infrastructure, projects, and resources will be mapped under the PM Gati Shakti, MNRE might also recognize other locations as green hydrogen hubs without any financial support to make them eligible for other benefits.

Hydrogen hub is a region with a network of producers and end use with supporting infrastructure of storage, processing, and transportation. It could be located inland or near ports to enable exports. Potential locations for such hubs are regions having clusters of refineries and end use industries in close vicinity.

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