In a landmark decision aimed at promoting eco-friendly energy in Uttar Pradesh, the Uttar Pradesh Cabinet approved the Green Hydrogen Policy at a meeting chaired by Chief Minister Yogi Adityanath at Lok Bhawan on Tuesday.
Energy Minister AK Sharma said, “So far, hydrogen production technology has relied on electricity or gas, known as gray hydrogen. A significant effort is now underway to transition from gray hydrogen to green hydrogen. The policy outlines an ambitious goal to produce one million metric tons of green hydrogen annually within the next 4 years, by 2028. The policy duration has been set for 5 years. Industries establishing themselves within this timeframe will receive subsidies and other incentives totalling Rs 5,045 crore.”
He also added, “These industries will be eligible for subsidies ranging from 10 to 30 per cent on capital expenditure, with the first 5 industries enjoying discounts of up to 40 per cent. Additionally, the policy includes provisions for energy banking, offering a 100 per cent rebate on intrastate electricity charges and billing and transmission charges for interstate transactions. Moreover, there is a provision for a 100 per cent exemption in electricity duty.”
Notably, hydrogen is used as fuel in big factories like fertilizer plants, petrochemical plants and steel plants.
