The Strategic Interventions for Green Hydrogen Transition (SIGHT) program is a part of the National Green Hydrogen Mission which aims to bolster domestic electrolyzer manufacturing and green hydrogen production. National Green Hydrogen Mission has set aside Rs. 17,490 crore for the SIGHT program.
The program consists of two distinct financial incentive mechanisms to support the domestic manufacturing of electrolyzers and the production of green hydrogen. The incentives are designed to facilitate cost reduction and rapid expansion.
The program is expected to lead to the development of 5 MMT Green Hydrogen production capacity per annum by 2030, and nearly 50 MMT per annum of CO2 emissions can be averted through the production and use of the targeted quantum of Green Hydrogen.
The incentives include a direct incentive over three years from the beginning of production and supply, with rates of Rs 50 / kilogram of green hydrogen in the first year, Rs 40 / kg in the second year, and Rs 30 / kg during the third year.
SIGHT includes various features to promote the transition to green hydrogen:
Financial Incentives: The program offers financial incentives to support the domestic manufacturing of electrolyzers and the production of green hydrogen. This includes direct incentives over three years based on the quantity of green hydrogen produced.
Demand Aggregation: The program involves demand aggregation and procurement of green hydrogen and green ammonia through competitive bidding to ensure cost-effectiveness and expansion.
Export Opportunities: It aims to facilitate export opportunities through supportive policies and strategic partnerships, promoting India as a global hub for green hydrogen production, usage, and export.
Certification Framework: The Ministry of New and Renewable Energy (MNRE) will develop a regulatory framework for certifying green hydrogen and its derivatives produced from renewable energy sources.
Decarbonization and Reduced Dependence: The mission aims to significantly decarbonize the economy, reduce dependence on fossil fuel imports, and position India as a leader in green hydrogen technology and market.
The key objectives of the Strategic Interventions for Green Hydrogen Transition (SIGHT) program are as follows:
Incentivize Adoption: The program aims to incentivize and accelerate the adoption of green hydrogen in India, aligning with global efforts for sustainable and cleaner energy sources.
Boost Domestic Manufacturing: To bolster domestic electrolyzer manufacturing and green hydrogen production, the program provides financial assistance and incentives to support these essential components.
Decarbonization and Energy Transition: The program contributes to significant decarbonization efforts, reducing dependence on fossil fuels and promoting a transition to a low-carbon or carbon-neutral economy.
Job Creation and Economic Growth: By supporting the development of a domestic green hydrogen ecosystem, including manufacturing and production, the program is expected to create jobs and boost economic growth in India.
Global Competitiveness: Through cost reduction measures and strategic interventions, the program aims to position India as a competitive player in the global green hydrogen market, fostering export opportunities and technological advancements.
The SIGHT Programme also supports pilot projects in emerging end-use sectors and various production pathways. Through these strategic interventions, India aims to accelerate its transition toward a greener and more sustainable hydrogen economy.
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