Government Allocates Rs. 115 Crore for Green Hydrogen Pilot in Shipping Sector: MNRE

In a significant move towards sustainable energy, the Indian government has earmarked Rs. 115 crore for the initiation of pilot projects aimed at introducing green hydrogen into the shipping sector. The announcement, made by the Ministry of New & Renewable Energy (MNRE) on Thursday, is part of the broader National Green Hydrogen Mission, reflecting a strategic commitment to transition towards clean energy and reduce dependence on fossil fuels within a crucial sector of the economy.

The MNRE unveiled the "Scheme Guidelines for implementation of Pilot projects for use of Green Hydrogen in the Shipping Sector," outlining the framework that will govern the initiative until the financial year 2025-26. The Ministry of Ports, Shipping, and Waterways (MoPSW), in collaboration with designated implementing agencies, will lead the execution of these pilot projects. The focus will be on retrofitting existing ships for green hydrogen usage and establishing bunkering and refueling infrastructures at strategic maritime locations.

A key aspect of the initiative is the promotion of green hydrogen and its derivatives as the primary fuel source, with a focus on retrofitting ships and developing fueling facilities along international shipping lanes. The Shipping Corporation of India (SCI) or its successor entity has been designated as the Scheme Implementing Agency (SIA) for retrofitting activities, ensuring a transparent project award process in alignment with the General Financial Rules (GFRs).

The MNRE will provide administrative sanctions based on recommendations from the Project Appraisal Committee (PAC), highlighting the scheme's objective to foster a replicable green hydrogen ecosystem within the maritime industry. Knowledge-sharing mechanisms, including reports, workshops, and publications, will be employed to disseminate insights and best practices derived from the pilot projects.

Launched on January 4, 2023, with an overall budget of Rs. 19,744 crore until FY 2029-30, the National Green Hydrogen Mission signifies India's ambitious pursuit of self-reliance in clean energy. The mission is expected to play a crucial role in decarbonizing the economy, reducing fossil fuel imports, and positioning India as a leader in green hydrogen technology and market sectors.

ET