Govt increases green ammonia allocation for fertiliser sector under SIGHT Programme of Green Hydrogen Mission

Ministry of New and Renewable Energy said as the National Green Hydrogen Mission progresses and gains momentum, there has been a notable increase in the demand for Green Hydrogen and its derivatives across various sectors.

In a move aimed at bolstering the production and utilisation of green hydrogen, the Ministry of New & Renewable Energy (MNRE) on June 22 announced an increase in allocation of green ammonia for the fertiliser sector under the SIGHT Programme of the National Green Hydrogen Mission (NGHM).

This initiative is a part of the government’s target to achieve production capacity of 5 million tonnes per annum of green hydrogen by the year 2030.

The Ministry of New and Renewable Energy said as the National Green Hydrogen Mission progresses and gains momentum, a notable increase in the demand for green hydrogen and its derivatives across various sectors was noted. In light of this growing demand of green ammonia from the fertiliser sector, MNRE has decided to amend the scheme guidelines dated January 16, 2024.

The amendment involves increasing the allocation under Mode 2A by 2 lakh tonnes per annum. Consequently, the total allocation for the fertiliser sector now stands at 7.5 lakh tonnes per annum of green ammonia, up from the previous 5.5 lakh tonnes per annum.

This increase in allocation is a crucial step towards stimulating demand for green hydrogen and its derivatives within the country. By enhancing the capacity for green ammonia production, the government aims to support the fertiliser sector’s transition to cleaner energy sources, thereby contributing to the broader goals of the NGHM.

National Green Hydrogen Mission to drive India's clean energy future

Launched on January 4, 2023, the National Green Hydrogen Mission has been allocated Rs 19,744 crores for implementation through FY 2029-30. This initiative aims to help India achieve self-reliance (Aatmanirbhar Bharat) in clean energy and inspire global transition to clean energy.

The Mission is expected to significantly decarbonise the economy, reduce dependence on fossil fuel imports, and position India as a leader in Green Hydrogen technology and markets.