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India Allocates INR 297 Crore for National Green Hydrogen Mission in Union Budget 2023

February 01, 2023. By News Bureau

The Budget 2023 has earmarked INR 297 crore for the first year of the National Green Hydrogen Mission.

In January this year, the union government approved an initial outlay of INR 19,744 crore, out of which INR 17,490 crore will be for the PLI scheme for producing green hydrogen and electrolysers.

Union Finance Minister Nirmala Sitharaman, in her Union Budget 2023 speech, announced the allocation of INR 10,222 crore for the renewable energy sector.

This marks an increase of 48 percent against the previous year budget’s allocation of INR 6,900.68 crore (budget estimate) and 45.3 percent over the revised estimate (RE) of INR 7,033 crore.

Regarding 'green growth' as one of the seven priority sectors for the central government, Finance Minister Sitharaman asserted, "We are implementing many programmes for green fuel, green energy, green farming, green mobility, green buildings, and green equipment, and policies for efficient use of energy across various economic sectors. These green growth efforts help in reducing carbon intensity of the economy and provides for large-scale green job opportunities."

India has set a target to have an installed capacity of renewable energy of 500 GW by 2030, as per Prime Minister Narendra Modi's pledge at the COP26 Climate Conference. This year's budget paves a push in the green energy sector. The declaration made by FM about India seeks to drive decarbonization and growth in sustainable energy. FM Sitharaman expressed that this would emphasize on green growth efforts to minimize carbon footprint.

Notably, the National Green Hydrogen Mission has been allocated INR 297 crore in this year's Union Budget. The Union Cabinet approved the National Green Hydrogen Mission on January 4 with an initial outlay of INR 19,744 crore. In this, Rs 17,490 crore will be earmarked for the production-linked incentives (PLI) for the production of green hydrogen and electrolysers.

As per the recent statistics, the total installed capacity of non-fossil fuel-based energy in India stood at 172.72 GW as on October 31, 2022. It includes 119.09 GW of renewable energy, 46.85 GW of large hydro and 6.78 GW of nuclear power capacity.

Tags:

Hydrogen / Fuel Cells