The Ministry of Commerce is considering a proposal that would allow export-oriented green hydrogen projects to receive fiscal benefits for setting up and operating renewable energy plants used for the production of green hydrogen. One potential change being discussed would involve notifying Special Economic Zones (SEZs) that can be spread out across multiple locations, specifically for green hydrogen projects. These suggestions were made by green hydrogen developers at a meeting with the Ministry of New and Renewable Energy and officials from the Ministry of Commerce.
Allowing multi-locational SEZs would enable developers to use wind energy more effectively, as wind turbines could be placed at a considerable distance from each other. Currently, SEZs must have a contiguous land area of 50 hectares or more, a requirement the commerce ministry is open to relaxing for green hydrogen projects. Additionally, there is consideration for an amendment that would make renewable energy plants used for captive consumption in an SEZ unit eligible for tax and duty benefits.
The Ministry of New and Renewable Energy has issued directions to the Ministry of Power and the Ministry of Ports, Shipping and Waterways to address transmission and logistics related issues being faced by green hydrogen developers. Representatives from various companies, both public and private, attended the meeting and discussed the need for infrastructure for the storage and supply of green ammonia, a derivative of green hydrogen, at major Indian ports.
More Stories
US Coast Guard Students Demand $130 Million for Alleged Sexual Assault
Fuel Cell and CCS Study Aims to Reduce Maritime Emissions
BC Ferries Struggles with Aging Fleet After Propeller Loss of Iconic Vessel