Govt Launches Rs 200 Crore Pilot Scheme to Expand Green Hydrogen Use in Residential and Commercial Sectors

The Ministry of New and Renewable Energy (MNRE) has launched an new pilot scheme to explore new ways of producing and utilizing green hydrogen across residential, commercial, and community settings. This new initiative marks a significant step in diversifying India’s green hydrogen sector, expanding its applications beyond the boundaries of the National Green Hydrogen Mission.

A budget of Rs 200 crore has been allocated for this initiative, which will extend through the fiscal years up to 2025-26. The main goal of the scheme is to promote non-traditional and decentralized uses of green hydrogen, highlighting its potential in sectors that have not yet taken advantage of its benefits. The government is keen on supporting innovative technologies, including floating solar-based hydrogen production, hydrogen derived from biomass, and hydrogen generated from wastewater.

One of the exciting features of this scheme is its focus on green hydrogen as a decentralized fuel option for various applications, from cooking and heating to off-grid electricity generation and off-road vehicles. These pilot projects will assess the technical feasibility of using green hydrogen as a clean, alternative fuel for household and commercial appliances, local community services, and city gas networks. This could prove groundbreaking for communities in remote areas, potentially providing them with cleaner, sustainable energy solutions.

Safety and reliability will be key focus areas, as the initiative aims to demonstrate the secure use of green hydrogen across various sectors. By validating the performance of green hydrogen in diverse environments, the Ministry of New and Renewable Energy (MNRE) seeks to position it as a viable alternative to traditional fuels. This effort aligns with India's broader mission to promote sustainable energy options while tackling the challenges of carbon emissions and dependency on fossil fuels.

The scheme has been sanctioned under the powers vested in the MNRE and approved by the Integrated Finance Division as of November 8, 2024. Detailed guidelines have been outlined to ensure the effective execution of these pilot projects, ensuring structured and safe deployment.

This initiative highlights the government's commitment to incorporating green hydrogen into India's energy mix, facilitating a cleaner and greener future for both urban and rural areas.

Direct Link to Scheme Guidelines for Implementation of Pilot Projects