Green hydrogen, produced through electrolysis using renewable energy, holds the promise of zero carbon emissions

In a significant move towards sustainable development, Uttar Pradesh plans to install a green hydrogen production capacity of one million tonnes per annum (MTPA), generating approximately 120,000 jobs. The step aligns with the state’s commitment to environmental sustainability and is in consonance with the burgeoning global green hydrogen market.

During the UP Global Investors Summit held in February 2023, the state attracted investment proposals worth a staggering Rs 2.73 trillion from 20 companies, reflecting broad-based global interest in this transformative project. The state is actively formulating a comprehensive policy that offers incentives on capital outlay, land acquisition, and power transmission to attract further investments in green hydrogen infrastructure.

Green hydrogen, produced through electrolysis using renewable energy, holds the promise of zero carbon emissions. Uttar Pradesh plans to leverage its abundant water resources, particularly its extensive network of rivers, for efficient green hydrogen production. The state aims to utilise green ammonia derived from hydrogen for energy storage and fertiliser production, adding versatility to the applications of this clean energy source.

The global green hydrogen market was valued at USD 1.83 billion in 2021 and is projected to reach a staggering $90 billion by 2030, with a compound annual growth rate (CAGR) of 54 percent from 2021 to 2030. This growth trajectory underscores the immense potential and economic viability of green hydrogen, making Uttar Pradesh’s strategic move timely and promising.

The state also plans to establish two Centres of Excellence (CoEs) dedicated to research and innovation in green hydrogen. Under the purview of the UP New and Renewable Energy Development Agency, these CoEs will drive technological advancements, positioning the state at the forefront of expertise in green hydrogen technologies.

With the current hydrogen demand in Uttar Pradesh standing at 900,000 tonnes per annum, primarily driven by the fertiliser and refinery sectors, the policy emphasises increasing hydrogen blending in consumption regions to promote its widespread adoption. This forward-thinking approach aligns with global efforts to transition towards cleaner energy sources.

Furthermore, the policy framework includes provisions for setting up carbon dioxide recovery units to utilise carbon emissions from biogas and other industries. The ripple effect of this initiative is expected to foster all-round sustainable economic growth, technological innovation, and a cleaner future for the state and the nation at large.