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Steps by Government to promote renewable energy in the country – EQ Mag

Steps by Government to promote renewable energy in the country – EQ Mag


National Green Hydrogen Mission targets a production capacity of 5 Million Metric Tonnes (MMT) per annum by 2030

Government announces certain components to achieve production of 5 MMT

The Government has taken several measures to promote renewable energy in the country, including, inter-alia, the following:-

  • Permitting Foreign Direct Investment (FDI) up to 100 percent under the automatic route,
  • Waiver of Inter State Transmission System (ISTS) charges for inter-state sale of solar and wind power for projects to be commissioned by 30th June 2025,
  • Declaration of trajectory for Renewable Purchase Obligation (RPO) up to the year 2029-30,
  • Setting up of Ultra Mega Renewable Energy Parks to provide land and transmission to RE developers for installation of RE projects at large scale,
  • Schemes such as Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM- KUSUM), Solar Rooftop Phase II, 12000 MW CPSU Scheme Phase II, etc,
  • Laying of new transmission lines and creating new sub-station capacity under the Green Energy Corridor Scheme for evacuation of renewable power,
  • Notification of standards for deployment of solar photovoltaic system/devices,
  • Setting up of Project Development Cell for attracting and facilitating investments,
  • Standard Bidding Guidelines for tariff based competitive bidding process for procurement of Power from Grid Connected Solar PV and Wind Projects.
  • Government has issued orders that power shall be dispatched against Letter of Credit (LC) or advance payment to ensure timely payment by distribution licensees to RE generators.
  • Notification of Promoting Renewable Energy through Green Energy Open Access Rules 2022.
  • Notification of “The Electricity (Late Payment Surcharge and related matters) Rules (LPS rules).
  • Launch of Green Term Ahead Market (GTAM) to facilitate sale of Renewable Energy Power through exchanges.
  • National Green Hydrogen Mission approved with an aim to make India a global hub for production, utilization and export of Green Hydrogen and its derivatives.

So far, a total of 174.53 GW capacity from non-fossil fuel based energy resources has been installed in the country as on 31.12.2022, which includes 167.75 GW Renewable Energy and 6.78 GW Nuclear Power capacity.

On 4th January 2023, the Union Cabinet approved the National Green Hydrogen Mission with an outlay of ₹ 19,744 crore and a target of producing 5 million metric tonnes (MMT) per annum of Green Hydrogen in country by 2030. The following components have, inter alia, been announced as part of the Mission:

  • Facilitating demand creation through exports and domestic utilization;
  • Strategic Interventions for Green Hydrogen Transition (SIGHT) programme, which includes incentives for manufacturing of electrolysers and production of green hydrogen;
  • Pilot Projects for steel, mobility, shipping, decentralized energy applications, hydrogen production from biomass, hydrogen storage, etc.;
  • Development of Green Hydrogen Hubs;
  • Support for infrastructure development;
  • Establishing a robust framework of regulations and standards;
  • Research & Development programme;
  • Skill development programme; and
  • Public awareness and outreach programme.

This information was given by Shri R.K Singh Union Minister for Power and MNRE in a written reply in Lok Sabha today.

Anand Gupta Editor - EQ Int'l Media Network