In 2023, India talks to supply green hydrogen to EU, Singapore happily : Report

In 2023, India in talks to supply green hydrogen to EU, Singapore: Report

In ongoing discussions, India has been engaging in talks with the European Union (EU) and Singapore regarding a potential deal to supply more than 11 million metric tons of green hydrogen annually. These discussions involve bilateral agreements that would facilitate the use of carbon credits linked to the production of green hydrogen from renewable energy sources.

A meeting held in New Delhi saw India and the EU exploring the potential for green hydrogen agreements that would involve an annual supply of 10 million metric tons. According to one official who attended the meeting, businesses in the EU would be able to invest in Indian projects and benefit from claiming carbon credits associated with these investments.

These discussions highlight the potential for collaboration and investment between India and the EU in the field of green hydrogen. By supplying a significant volume of green hydrogen, India can meet the renewable energy needs of the EU while attracting investments that support the development of clean energy projects in India. The utilization of carbon credits provides an incentive for businesses to participate in this partnership and promote sustainable practices.

The specific details of the potential bilateral agreements, such as the duration and commencement year, have not been disclosed at this stage. However, the discussions indicate a growing recognition of the value of green hydrogen as a renewable energy source and its potential to foster international cooperation in tackling climate change and transitioning towards a low-carbon future.

In a similar vein, Singapore is seeking to secure 5 million metric tons per year of green ammonia through bilateral agreements. This volume is equivalent to an additional 1-1.5 million metric tons per year of green hydrogen, as stated by another official.

Although the officials did not disclose specific details regarding the duration or commencement year of these contracts, the discussions highlight the growing interest in green hydrogen as a renewable energy source. The agreements would promote international collaboration and investment in Indian clean energy projects, while enabling the EU and Singapore to access a substantial supply of green hydrogen and ammonia respectively.

Expanding the production and use of green hydrogen has significant environmental benefits, as it helps reduce greenhouse gas emissions and dependence on fossil fuels. These potential agreements indicate a strong commitment to sustainable energy and may contribute to the growth of the green hydrogen sector in India while strengthening international partnerships in the clean energy transition.

Green ammonia, derived from green hydrogen, is commonly utilized for transportation purposes due to its ease of handling and storage. It is considered a viable carrier for hydrogen, allowing for efficient transport and distribution across different regions.

Since the discussions regarding the potential deals are still ongoing, the officials involved have opted to maintain anonymity to protect the sensitive nature of the negotiations.

Despite the lack of immediate responses, requests for comment were made to India’s renewable energy ministry, an Indian government spokesperson, and a communications officer at the EU office in New Delhi, indicating the interest in gathering official statements and perspectives on the matter.

The meetings organized by the Indian government on Wednesday brought together various stakeholders, including prominent Indian renewable companies such as Avaada Group, Renew Power, and ACME Group. This demonstrates the involvement of key players in the Indian renewable energy sector in shaping the discussions and potential agreements.

Vineet Mittal, Chairman of Avaada, expressed optimism about the business opportunities that the bilateral agreements being discussed with the EU and Singapore could present for Indian green hydrogen manufacturers. This indicates a positive outlook within the industry regarding the potential for collaborations and investments arising from these deals.

Several prominent Indian companies, including Reliance Industries, Indian Oil, and Adani Enterprises, have already outlined significant plans and investments in the green hydrogen sector. Their involvement and commitment further underline the growing importance and potential of green hydrogen as a key component of India’s energy transition strategy.

Hydrogen is indeed gaining increasing recognition globally as a clean energy source with the potential to decarbonize various sectors. Its versatility makes it suitable for applications in transportation, industry, and power generation, among others. As countries strive to reduce greenhouse gas emissions and combat climate change, many are embracing hydrogen as a key component of their sustainability strategies.

India, in particular, has set ambitious goals to position itself as a major exporter of green hydrogen. The approval of a substantial incentive plan amounting to 174.9 billion rupees ($2.13 billion) last year highlights the government’s commitment to fostering a robust green hydrogen industry. This plan serves as a crucial catalyst for investment and development in the sector, creating a favorable environment for green hydrogen production and utilization.

Furthermore, India has set a target to produce 5 million tonnes of green hydrogen by 2030. This ambitious goal demonstrates India’s determination to play a significant role in the global green energy market and contribute to the global transition toward sustainable and low-carbon solutions.

By actively promoting the development of a domestic green hydrogen industry and encouraging investment, India aims to harness its renewable energy potential and leverage its position as a major energy consumer and producer. By establishing itself as a key player in the green hydrogen market, India aims to create new economic opportunities, drive innovation, and contribute to global efforts in combating climate change.

India’s commitment to green hydrogen aligns with its broader sustainability goals, including the reduction of carbon emissions and the transition to clean and renewable energy sources. The pursuit of a robust green hydrogen industry not only supports India’s domestic energy needs but also positions the country as a valuable partner for international collaborations and trade in the emerging green energy sector.

India’s proactive approach to green hydrogen initiatives and discussions showcases its commitment to leveraging its vast renewable energy potential, attracting investments, and positioning itself as a key player in the emerging green hydrogen landscape. This strategic focus aligns with India’s broader sustainability goals and its commitment to combatting climate change.

India’s proactive approach to green hydrogen initiatives and discussions showcases its commitment to leveraging its vast renewable energy potential, attracting investments, and positioning itself as a key player in the emerging green hydrogen landscape. This strategic focus aligns with India’s broader sustainability goals and its commitment to combatting climate change.

By actively promoting the development of green hydrogen, India aims to harness its abundant renewable resources such as solar and wind power. These resources provide a strong foundation for the production of green hydrogen through electrolysis, a process that uses renewable electricity to split water into hydrogen and oxygen.