A consortium of 13 prominent companies, including Reliance Industries, L&T, ReNew Power, and Waaree Energies, has submitted bids for the second tranche of India's Strategic Interventions for Green Hydrogen Transition (SIGHT) scheme. This ambitious initiative aims to accelerate the nation's transition to a green hydrogen economy.

The technical bids were opened on December 6, 2024, and the financial bids are expected to be evaluated within the next two weeks. The scheme offers incentives worth up to Rs 5,400 crore ($7,365 million approximately) to companies that successfully establish green hydrogen production facilities.

The 13 companies that have expressed interest in the second tranche collectively aim to produce over 622,500 tonnes of green hydrogen annually, significantly exceeding the government's target of 450,000 tonnes. This surge in interest underscores the growing potential of green hydrogen as a clean and sustainable energy source.

Key Players in the Green Hydrogen Race

• Reliance Industries: A major player in India's energy sector, Reliance has been actively investing in green hydrogen technologies. Their participation in the SIGHT scheme further solidifies their commitment to a sustainable future.

• L&T: A diversified engineering and construction conglomerate, L&T's entry into the green hydrogen space highlights the growing importance of this technology in various industries.

• ReNew Power: A leading renewable energy company, ReNew Power's involvement in the SIGHT scheme aligns with its broader goal of promoting clean energy solutions.

• Waaree Energies: A renowned solar energy solutions provider, Waaree Energies' participation in the green hydrogen sector demonstrates the company's diversification strategy.

Other notable companies that have submitted bids include AM Green, GH2 Solar, Avaada GreenH2, Ocior Energy, Suryadeep KA1, Green Infra Renewable, Matrix Gas and Renewables, Oriana Power, and Nishal Enterprises.

Government's Vision for a Green Hydrogen Economy

The SIGHT scheme is a crucial component of India's National Green Hydrogen Mission, which aims to establish India as a global leader in green hydrogen production and utilization. The mission targets an annual production capacity of at least 5 million metric tonnes of green hydrogen by 2030.

To incentivize green hydrogen production, the government has introduced a production-linked incentive (PLI) scheme. Under this scheme, producers can receive incentives of up to Rs 50 per kilogram of green hydrogen produced in the first year, Rs 40 per kilogram in the second year, and Rs 30 per kilogram in the third year.

The Road Ahead

The strong response to the second tranche of the SIGHT scheme indicates a promising future for India's green hydrogen industry. As the country transitions towards a low-carbon economy, green hydrogen is poised to play a pivotal role in various sectors, including transportation, power generation, and industrial processes.

The successful implementation of the SIGHT scheme and the National Green Hydrogen Mission will not only reduce India's reliance on fossil fuels but also create new economic opportunities and contribute to global efforts to combat climate change.