Govt considering setting green hydrogen export target for India: Niti Aayog VC

• The government wants India to become a global hub of green hydrogen production and is considering ways to scale up domestic production, said the Niti Aayog VC
• Kumar said that the government is also considering inducing and incentivising a shift to green hydrogen in the hard-to-abate sectors like steel and oil refining

New Delhi: The government is considering setting a green hydrogen export target, which would imply an abundant domestic production of the green fuel, Niti Aayog Vice Chairman Rajiv Kumar has said. The government wants India to become a global hub of green hydrogen production and is considering ways to scale up domestic production and availability of the fuel. Addressing an industry event, "H2: The Nuts & Bolts," organised by the Centre for Study of Science, Technology and Policy (CSTEP), Kumar said that the move is part of the larger commitment to solar-plus-hydrogen as the energy vision for India, and with it, India could finally become an energy-abundant nation and a potential exporter.

"At the moment, the cost of producing green hydrogen is about $4-5 per kg, but this can be brought down significantly if we get the scale right. Some companies have already made announcements to bring down the cost to $1 per kg. Though we have a long way to go, we will eventually get there," he said.

'Govt considering incentivising shift to green hydrogen'

Kumar said that the government is also considering inducing and incentivising a shift to green hydrogen in the hard-to-abate sectors like steel and oil refining. For the transport sector, which is considered one of the biggest emitters of carbon dioxide, Niti Aayog is pushing for both green hydrogen and electric mobility to cut down emissions. "With industries, the government, and academia working together, we can realise India's vision of solar plus hydrogen and bring down costs enough to make it a public good," he said. 

Kumar said that India currently accounts for 9.9 percent of the global grey hydrogen demand already, but added that this is not the route that the country should take. "Instead, we should take steps to shift from grey to green hydrogen," he said. 

Speaking at the same event, Paolo Frankl, Head of the Renewable Energy Division at the International Energy Agency (IEA), said that India, with its capabilities, is set to play a critical role, considering the need to double green hydrogen availability in the next decade. However, he added that the entire green hydrogen supply chain, including transport and storage, should be kept in mind.

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