Green Hydrogen / Green Ammonia Policy

The Government of India announced the Green Hydrogen policy also known as the Green Ammonia Policy in Feb of 2022. It is a significant milestone that will assist India in meeting its environmental goals and ensuring the successful objectives of the National Hydrogen Program. The initiative also targets to boost India towards green ammonia and hydrogen exporting centres.

Aim of National Hydrogen Mission

The national hydrogen mission was introduced and initiated by the central government on the 15th of August 2021. This particular mission was having an aim to help the government of India to move India toward a green hydrogen centre. And to meet the targets related to the problems of environment and climate of India.

Moreover, this mission has planned to produce an amount of about five million tons of green ammonia or green energy by the end of the year 2030. Also, as we know the non-renewable energies are getting depleted day by day as we use them. Therefore, this mission would also help in the uplifting of renewable energy sources in India.

Green Hydrogen/Green Ammonia

Coming back to the policy we must also understand what is green hydrogen or green ammonia?

The green hydrogen/green ammonia is a gas used as a fuel. The technique for its production is dependent on the electrolytic process, it is a scientific or chemical process that produces hydrogen, a ubiquitous, light, & high reaction propellant. The hydrogen and oxygen in the water are separated using a current in this process. Companies will generate power without releasing CO₂ into the environment if this power is supplied from biofuels. Similarly, green ammonia is used for agricultural purposes such as in agricultural fertiliser which is 100% renewable as well as free from carbon.

Green Hydrogen / Green Ammonia Policy

The government of India is proposing to establish industrial zones, preferential interconnection to the Inter-State Transmission System, the ISTS, as well as free distribution for two decades and 5 years if the processing plant is completed by June 2025, according to the plan. Few other policies or the provisions are:

•  Licences for Distribution – Transmission licensees could also acquire and deliver Renewable Power to Green Hydrogen or the Green Ammonia producers in respective jurisdictions at reduced pricing that only comprises purchasing costs, and handling charges, as well as a modest margin defined by the commission of the particular state.
• Storage – Producers of green hydrogen would be allowed to build barracks near harbours to store green ammonia for outsourcing by ships. Furthermore, the individual Shipping Companies will supply the site for the warehousing at a lower cost.
• Exchange of Power – Green Hydrogen or the Ammonia producers can buy renewable energy from either a transmission network or build the capacity of renewable energy independently or via some other provider, wherever.
• Obligation for Renewable Purchase – The hydrogen or the green ammonia maker and the Distributor operator will profit from the RPO (Renewable Purchase Obligation) for the utilisation of renewable energy.
• Portal – To make this business easy and Viable, the ministry of New and Renewable energy would make and provide a portal for the operators for having the operations time-bound and clearances purposes.
• Unused Gas – If there is any unused green hydrogen or ammonia left the producers can store the gas for a maximum of 30 days from the production along with a distribution company only and can take back the gas when the producer requires it.
• Grid Connectivity – To minimise any unnecessary delays, producers of Green Hydrogen or the green Ammonia and sustainable energy plants would be granted preferential access to the power supply system or the grids.

Advantages of Green Hydrogen / Green Ammonia and its policy

There are numerous advantages of the green hydrogen and green hydrogen policy such as Using reduced renewable production facilities and expenditure knowledge gathered from wind and solar reversal bids, India does have the ability to lessen the price of green gas. The administration will gain in long run by promoting the use of hydrogen and ammonia-based technology due to the large market opportunity created by the young population and expanding industry and economy.

Moreover, it will be a source of clean energy. It will decrease reliance on fossil fuels and the importation of oil products. This will assist India in reaching its global green power targets since the program encourages renewable energy development.

Conclusion

To sum up, the green hydrogen policy also referred to as the green ammonia policy is a policy of the government of India to promote and develop green energy production in India under the National Hydrogen Program. The green hydrogen/ammonia is produced from an electrolytic process and a chemical process that generates the hydrogen from water and emits very less CO₂ in the environment.

This policy helps in the kickstart of this industrial revolution by providing a licence for the distributors, allowing them to store the renewable energies for exports and store the unused gas for some time, allowing them to have good grid connectivity as well as providing free distribution for a specific period to let the mission become a success and some other provisions.