Lok Sabha Question No. 2023 (UNSTARRED), answered on 2022-07-28
Subject: Green Hydrogen Policy
Ministry: NEW AND RENEWABLE ENERGY
Asked by: E. T. Mohammed Basheer

## GOVERNMENT OF INDIA MINISTRY OF NEW AND RENEWABLE ENERGY

## LOK SABHA UNSTARRED QUESTION NO. 2023

ANSWERED ON 28.07.2022

## GREEN HYDROGEN POLICY

## 2023. SHRI E.T. MOHAMMED BASHEER

Will the Minister of NEW AND RENEWABLE ENERGY be pleased to state:

- (a) whether the Government has introduced a green hydrogen policy;
- (b) if so, the details along with the status thereof;
- (c)  whether the Government proposes to establish hydrogen plants in the State of Kerala; and
- (d) if so, the details thereof?

## ANSWER

## THE MINISTER OF NEW & RENEWABLE ENERGY AND POWER (SHRI R.K. SINGH)

(a)&(b)Ministry of Power's Notification no. 23/02/2022-R&R dated 17 February 2022 inter alia provides for the following : -

-  The waiver of inter-state transmission charges shall be granted for a period of 25 years to the producer of Green Hydrogen and Green Ammonia from the projects commissioned before 30th June 2025.
-  Green Hydrogen / Green Ammonia can be manufactured by a developer by using Renewable Energy from a co-located Renewable Energy plant, or sourced from a remotely located Renewable Energy plants, whether set up by the same developer, or a third party or procured renewable energy from the Power Exchange. Green Hydrogen/Green Ammonia plants will be granted Open Access for sourcing of Renewable Energy within 15 days of receipt of application complete in all respects. The Open Access charges shall be in accordance with Rules as laid down.
-  Banking shall be permitted for a period of 30 days for Renewable Energy used for making Green Hydrogen / Green Ammonia.
-  The charges for banking shall be as fixed by the State Commission which shall not be more than the cost differential between the average tariff of renewable energy bought by the distribution licensee during the previous year and the average market clearing price (MCP) in the Day Ahead Market (DAM) during the month in which the Renewable Energy has been banked.
-  Connectivity, at the generation end and the Green Hydrogen / Green Ammonia manufacturing end, to the ISTS for Renewable Energy capacity set up for the purpose of manufacturing Green Hydrogen / Green Ammonia shall be granted on priority under the
- Electricity (Transmission system planning, development and recovery of Inter State Transmission charges) Rules 2021.
-  Land in Renewable Energy Parks can be allotted for the manufacture of Green Hydrogen / Green Ammonia.
-  The Government of India proposes to set up Manufacturing Zones.  Green Hydrogen / Green Ammonia production plant can be set up in any of the Manufacturing Zones.
-  Manufacturers of Green Hydrogen / Green Ammonia shall be allowed to set up bunkers near Ports for storage of Green Ammonia for export / use by shipping.  The land for the storage purpose shall be provided by the respective Port Authorities at applicable charges.
-  Renewable Energy consumed for the production of Green Hydrogen / Green Ammonia shall count towards RPO compliance of the consuming entity. The renewable energy consumed beyond obligation of the producer shall count towards RPO compliance of the DISCOM in whose area the project is located.
-  Distribution licensees may also procure and supply Renewable Energy to the manufacturers of Green Hydrogen / Green Ammonia in their States.   In such cases, the Distribution licensee shall only charge the cost of procurement as well as the wheeling charges and a small margin as determined by the State Commission.

(c)& (d) Government of Kerala has informed that a proposal to establish a Hydrogen production and fuelling station at Vytilla Mobility Hub, Kochi has been received by them from Indian Oil Corporation .

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