The MNRE has approved a revised scheme to set up Hydrogen Valley Innovation Clusters (HVICs) and Green Hydrogen Hubs across the country. This initiative is part of the National Green Hydrogen Mission (NGHM), which was launched on January 4, 2023, with a total budget of ₹19,744 crore. The goal of the mission is to make India a global leader in producing, using, and exporting green hydrogen and its related products. It also aims to help India become self-reliant in clean energy and contribute to the global shift towards cleaner energy sources.
The new scheme, which replaces earlier guidelines issued in March 2024, includes two main components. Component A focuses on Hydrogen Valley Innovation Clusters (HVICs). These are planned as regional clusters that will test and showcase different uses of green hydrogen. The idea is to set up “living labs” and “test beds” where small-scale hydrogen technologies can be implemented and observed. HVICs are expected to support business innovation, develop new models, and explore the economic viability of hydrogen projects. They will also act as a link between hydrogen producers and users. Each HVIC must secure land and building space on its own, as no funds will be provided for land acquisition. The Department of Science and Technology (DST) will manage this component. So far, four HVICs have been recommended for funding support of ₹172 crore. These projects must start producing green hydrogen within 18 months from the date of receiving their award letters. They will operate in a consortium model, bringing together research institutions, industries, and other stakeholders.
Component B focuses on creating Green Hydrogen Hubs. These are regions where there is already a strong presence of hydrogen producers, users (either local or for export), and infrastructure to store, process, and transport hydrogen. The aim is to support the growth of a large-scale and commercially successful hydrogen economy. These hubs will attract private investment and speed up the use of green hydrogen technologies. A key part of this component is the joint involvement of central, state, and local governments, along with private industry, to coordinate development and create new job opportunities. The hubs must plan to produce at least 1,00,000 metric tonnes of hydrogen per year, and those with larger capacities will be given priority.
Component B is divided into two parts. Component B1 provides ₹28 crore for preparing Detailed Project Reports (DPRs) for Green Hydrogen Hubs. Each state can get up to ₹3 crore for a DPR. Component B2 allows certain regions to be officially recognized as potential Green Hydrogen Hubs, even if they do not receive financial support directly. These recognized hubs can still benefit from other schemes and government support.
The Ministry of New and Renewable Energy (MNRE) will implement the Green Hydrogen Hubs component. The new scheme aims to solve the challenges of transporting and using hydrogen by promoting a cluster-based model. This approach will support early-stage projects and help India move faster toward a green hydrogen future.
Related
