Green Hydrogen Plant Setup - An Overview

Are you looking to establish a strong presence in India’s green hydrogen market, valued at $4.53 billion in 2022? If yes, take the first step toward green hydrogen plant setup with expert guidance from Fastzeal.

The green hydrogen industry in India is rapidly emerging as a cornerstone of the nation’s transition to sustainable energy. Green hydrogen, produced through electrolysis powered by renewable sources like solar and wind, is key to achieving India's carbon reduction goals.

The government is actively promoting the green hydrogen sector with initiatives such as the National Hydrogen Energy Roadmap and the National Mission on Hydrogen Energy. With a target of achieving 40% renewable power capacity by 2030, the green hydrogen market is set for exponential growth.

Facing challenges in setting up a green hydrogen plant in India? Consult Fastzeal experts today and easily obtain the required licenses.

What is Green Hydrogen?

Green hydrogen is generated through electrolysis, where water is split into hydrogen and oxygen using an electrical current. Unlike grey and blue hydrogen, which are derived from fossil fuels, green hydrogen is a clean alternative that drastically reduces greenhouse gas emissions. It is a key solution in combating global warming and reducing reliance on non-renewable energy sources.

By adopting green hydrogen technology, India aims to replace grey hydrogen with a more sustainable and eco-friendly energy alternative, contributing to a cleaner future.

This sector presents a lucrative business opportunity, with increasing private and government investment in green hydrogen infrastructure. Now is the perfect time to set up a green hydrogen plant and become a part of India’s clean energy revolution.

Types of Hydrogen

Hydrogen plays a crucial role across various industries, and understanding its types is essential for businesses looking to enter this sector. The types of hydrogen are categorized based on production methods:

1.       Grey Hydrogen: Produced from natural gas, such as methane, but releases significant carbon emissions, contributing to pollution.

2.       Blue Hydrogen: Created similarly to grey hydrogen, but with carbon capture technology to prevent emissions from entering the atmosphere.

3.       Green Hydrogen: Generated through electrolysis using renewable energy sources, making it a completely emission-free and environmentally friendly alternative.

Benefits of Green Hydrogen Plant Setup in India

The key advantages of setting up a green hydrogen plant in India include:

1.       Clean Energy: Green hydrogen is produced from renewable sources, significantly reducing carbon footprints and aiding climate change mitigation efforts.

2.       Efficient Energy Storage: Hydrogen is easy to store and transport, offering a solution for managing energy from variable renewable sources like solar and wind.

3.       Versatility: It has applications in multiple sectors, including transportation, power generation, and industrial processes.

4.       Enhanced Air Quality: By replacing fossil fuels, green hydrogen helps reduce air pollution, improving public health.

5.       Economic Growth: The industry promotes job creation in manufacturing, infrastructure, and technology innovation.

6.       Path to a Low-Carbon Economy: Green hydrogen is a key player in the transition to a cleaner and more sustainable energy future.

Documents Required to Obtain a Green Hydrogen Plant License

The essential documents for securing a green hydrogen plant license include:

1.       Certificate of Incorporation

2.       PAN Card

3.       Site layout and plant map

4.       Environmental clearances (Pollution NOC, CPCB/SPCB approvals)

5.       Insurance documents

6.       Tax registrations (GST, TDS, etc.)

7.       Electricity board permits

8.       Industrial licenses

Government Incentives for Green Hydrogen Plant Setup in India

The government has introduced several incentives under its green hydrogen policy to promote clean energy projects. These include:

• 1.       Transmission Charge Waiver: Green hydrogen projects initiated before June 30, 2025, receive a 25-year transmission charge waiver.

  2.       Access to Renewable Energy: Manufacturers are given open access to procure renewable power within 15 days of application.

  3.       Energy Storage Benefits: Renewable energy can be stored for up to 30 days for hydrogen production at regulated tariffs.

  4.       Priority Connectivity: Faster approvals and priority connectivity to renewable energy sources.

  5.       Land Allocation: Dedicated land for hydrogen plants in renewable energy parks.

  6.       Bunker Facilities for Storage and Export: Infrastructure for hydrogen storage and export near ports at minimal fees.

  7.       Renewable Purchase Obligation (RPO) Compliance: Energy used for hydrogen production contributes toward RPO compliance.

  8.       Simplified Regulatory Approvals: A dedicated government portal for quick clearance of green hydrogen projects.

Compliances for Green Hydrogen Plant Setup in India

Key compliances required for setting up a green hydrogen plant include:

1.       Company incorporation

2.       GST registration

3.       Occupancy certificate

4.       Environmental Impact Assessment (EIA)

5.       Environmental clearance

6.       Factory license

7.       Trade license

8.       Fire No Objection Certificate (NOC)

9.       BIS registration for product compliance

10.    Compliance with labor laws

11.    Hazardous waste management authorization

12.    Petroleum and Explosive Safety Organization (PESO) license

Green Hydrogen Plant Setup Cost & Timeline

The cost of setting up a green hydrogen plant in India depends on factors like production capacity and technology. A starting investment of 10-15 crore rupees is typically required, with additional funds depending on project specifications.

The estimated timeline for large-scale green hydrogen plant setup is 3 to 4 years, which may extend due to regulatory approvals and project complexity.

Fastzeal Support for Green Hydrogen Plant Setup

Why choose Fastzeal for your green hydrogen plant licensing and setup?

1.       Expert Consultation: Get reliable assistance in obtaining a green hydrogen plant license.

2.       Tailored Guidance: Customized solutions for hassle-free project execution.

3.       Proven Track Record: 99.2% success rate in securing green hydrogen licenses.

4.       Industry Experience: Successfully assisted in 500+ green energy projects.

5.       Wide Network: Over 100 specialists in energy compliance and regulatory processes.

6.       Cost Efficiency: Helped businesses save 50 lakh+ rupees in compliance costs.

7.       24/7 Support: Round-the-clock assistance to streamline the process.

8.       Strong Government Connections: Experience working with 50+ regulatory authorities.