The Indian government has sanctioned a ?20 million fund to support Green Hydrogen Valley projects across four states, marking a significant step towards sustainable energy solutions. The initiative aims to promote the production and utilisation of green hydrogen, a clean fuel produced using renewable energy sources, which can play a crucial role in reducing carbon emissions and combating climate change.

These projects are part of India's broader strategy to enhance its renewable energy capacity and achieve its climate goals. The four states chosen for these projects are significant due to their existing infrastructure and potential for renewable energy generation. By focusing on green hydrogen, the government is looking to diversify its energy mix and reduce dependence on fossil fuels.

Green hydrogen is produced by electrolysis of water using electricity from renewable sources like wind, solar, and hydro power. It is considered one of the cleanest fuels available, as it emits only water vapour when used. This makes it an ideal candidate for sectors that are hard to decarbonise, such as heavy industry, transportation, and power generation.

The funding will be used to develop hydrogen production plants, establish storage facilities, and create distribution networks. This infrastructure is essential to support the large-scale adoption of green hydrogen and to make it economically viable. The government also aims to foster innovation and technological advancements in this field, encouraging private sector participation and investment.

The approval of these projects underscores India's commitment to its National Hydrogen Mission, which aims to make the country a global hub for green hydrogen production and export.