Maharashtra Approves Green Hydrogen Policy

05 Jul 2023 CW Team

The state cabinet has gave its approval for Rs 85.62 billion to carry out this policy.

The nation's first state to adopt the green hydrogen policy is Maharashtra. The National Green Hydrogen Mission, which Prime Minister Narendra Modi unveiled, was intended to produce five million tonnes of green hydrogen yearly across the nation by 2023, according to officials. This policy was created in recognition of the state's potential for green hydrogen and related goods.

According to the official, the state's current annual hydrogen demand is 0.52 million tonnes and could rise to 1.5 million tonnes by 2030.

The policy would offer incentives to projects that buy renewable energy for self-consumption from in-state or out-of-state power exchanges through open access. Projects for the production of green hydrogen and related materials will be registered with the Energy Office.

According to the policy, during the ten years following the project's execution, there will be a 50% and 60% discount on the transmission and wheeling fees, respectively.

For the next 10 and 15 years, respectively, hybrid and stand-alone power plants will get a 100% tariff discount and be immune from cross-subsidy and surcharge.

“Apart from this, as per the package scheme of incentives 2019, a subsidy of Rs 50 per kg will be given for blending green hydrogen into gas for 5 years. Also, the first 20 green hydrogen refueling stations will be given 30 per cent capital cost subsidy up to a maximum of Rs 4.50 crore. The first 500 green hydrogen based fuel cell passenger vehicles will be given a capital cost subsidy of up to Rs 60 lakh per vehicle, subject to a 30 per cent capital cost subsidy. Local body tax, non-agricultural tax, and stamp duty will all be completely waived for land designated for green hydrogen projects.

The cabinet also approved spending Rs 40 million year for 10 years on hiring skilled labor, their training, skill development, one window services, etc.

The Maharashtra state cabinet approved the state's Green Hydrogen Policy to promote renewable energy and green hydrogen projects in Maharashtra in order to support renewable energy projects in the state. The state cabinet has gave its approval for Rs 85.62 billion to carry out this policy. The nation's first state to adopt the green hydrogen policy is Maharashtra. The National Green Hydrogen Mission, which Prime Minister Narendra Modi unveiled, was intended to produce five million tonnes of green hydrogen yearly across the nation by 2023, according to officials. This policy was created in recognition of the state's potential for green hydrogen and related goods. According to the official, the state's current annual hydrogen demand is 0.52 million tonnes and could rise to 1.5 million tonnes by 2030. The policy would offer incentives to projects that buy renewable energy for self-consumption from in-state or out-of-state power exchanges through open access. Projects for the production of green hydrogen and related materials will be registered with the Energy Office. According to the policy, during the ten years following the project's execution, there will be a 50% and 60% discount on the transmission and wheeling fees, respectively. For the next 10 and 15 years, respectively, hybrid and stand-alone power plants will get a 100% tariff discount and be immune from cross-subsidy and surcharge. “Apart from this, as per the package scheme of incentives 2019, a subsidy of Rs 50 per kg will be given for blending green hydrogen into gas for 5 years. Also, the first 20 green hydrogen refueling stations will be given 30 per cent capital cost subsidy up to a maximum of Rs 4.50 crore. The first 500 green hydrogen based fuel cell passenger vehicles will be given a capital cost subsidy of up to Rs 60 lakh per vehicle, subject to a 30 per cent capital cost subsidy. Local body tax, non-agricultural tax, and stamp duty will all be completely waived for land designated for green hydrogen projects. The cabinet also approved spending Rs 40 million year for 10 years on hiring skilled labor, their training, skill development, one window services, etc. See also: Govt announces new green hydrogen policy to cut down fossil fuel use Up to INR 50 billion in green investments desired in UP

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