Indian Government Boosts Fertilizer Sector Funding in NGHM's SIGHT Programme

The Ministry of New & Renewable Energy (MNRE) is at the forefront of the National Green Hydrogen Mission (NGHM), a strategic initiative with the ambitious goal of attaining an annual production capacity of 5 million tonnes of Green Hydrogen by the year 2030. This mission underscores MNRE's commitment to advancing renewable energy technologies and fostering sustainable development practices. By promoting the widespread adoption of Green Hydrogen, MNRE seeks to significantly reduce carbon emissions, enhance energy security, and faciltate the transition towards a cleaner, more resilient energy future for India and beyond.

Within this mission, MNRE has introduced Scheme Guidelines for the SIGHT Programme – Component II: Incentive for Procurement of Green Ammonia Production (under Mode2A) of the NGHM, focusing on meeting the needs of the fertilizer sector. Originally, Tranche I of Mode 2A allocated 550,000 tonnes per annum of Green Ammonia for bidding. Following this, the Solar Energy Corporation of India (SECI) initiated a Request for Selection (RfS) to select Green Ammonia Producers through competitive bidding.

In response to the escalating demand for Green Ammonia in the fertilizer sector, MNRE has amended the Scheme Guidelines to increase the allocation under Mode 2A for the Fertiliser sector by 200,000 tonnes per annum, raising the existing allocation from 550,000 to 750,000 tonnes per annum. This adjustment marks a significant advancement in stimulating the demand for Green Hydrogen and its derivatives nationwide.

The National Green Hydrogen Mission, inaugurated on January 4, 2023, with a substantial budget allocation of Rs. 19,744 crores spanning until the fiscal year 2029-30, is a pivotal initiative in India's quest for self-sufficiency through sustainable energy practices. With a comprehensive vision, the Mission not only addresses immediate energy needs but also sets a paradigm for global Clean Energy Transition. By fostering the production and utilization of Green Hydrogen, it endeavors to fundamentally reshape India's energy landscape.

At its core, the Mission is driven by the imperative to significantly reduce carbon emissions, thereby paving the way for a cleaner and greener economy. By mitigating reliance on fossil fuel imports, India can enhance its energy security while simultaneously curbing environmental degradation. Moreover, by spearheading advancements in Green Hydrogen technology and establishing a robust market ecosystem, India aims to assert its leadership position in the burgeoning field of renewable energy.

Through strategic investment and collaboration, the National Green Hydrogen Mission aspires to catalyze a sustainable energy revolution that not only benefits the nation but also sets an inspiring example for global efforts towards a cleaner, more sustainable future.