PHDCCI makes recommendations for fast-tracking India’s National Green Hydrogen Mission 

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The PHD Chamber of Commerce and Industry (PHDCCI) has presented ten recommendations to the Government of India to expedite the National Green Hydrogen Mission. 

The National Green Hydrogen Mission, with an initial outlay of INR 19,744 crore ($2,385 million), aims to make India a global hub for producing, utilizing, and exporting green hydrogen and its derivatives. The allocation includes INR 17,490 crore for the Strategic Interventions for Green Hydrogen Transition (SIGHT) program, INR 1,466 crore for pilot projects, INR 400 crore for R&D, and INR 388 crore for other mission components.

PHDCCI has proposed:

  1. Recognition of green hydrogen and green ammonia in the Harmonized List of Infrastructure
  2. Zero goods and services tax (GST) for green hydrogen/ammonia
  3. Nil basic customs duty for electrolyzers and equipment necessary for green hydrogen production, transportation, and storage, and extension of this benefit until 2030
  4. Extension of tax benefits under Section 115BAB for green hydrogen/green ammonia production and electrolyzer manufacturing until December 31, 2030
  5. Inclusion of green hydrogen derivatives such as methanol and sustainable aviation fuel (SAF) in the list of activities eligible for trading of carbon credits
  6. Amendments to Special Economic Zone (SEZ) rules to facilitate green hydrogen and green ammonia production, reducing industry costs and enhancing global competitiveness
  7. Relaxation in SEZ rules to support renewable energy plants supplying power to green hydrogen or green ammonia units
  8. Speedy land allocation, relaxed auction processes, payment in annuity installments, and infrastructure development for shared use in green hydrogen projects
  9. Encourage the withdrawal of additional charges for selling power from solar projects in specific states, promoting renewable energy project development for green hydrogen production
  10. Establishment of a Center of Excellence (COE) for hydrogen to provide training and capacity building, along with testing benches for electrolyzers and storage tanks, aligning with international standards 

PHDCCI unveiled these recommendations on the sidelines of the 3rd International Climate Summit, being held in New Delhi on Sept. 14 and 15 at Vigyan Bhavan.  

 

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