H2ePower Systems has won Oil India’s (OIL) tender to establish a 1 MW green hydrogen project in Himachal Pradesh.

The project is expected to be commissioned within 18 months of receiving the letter of award.

In December 2023, Oil India invited bids to establish the 1 MW green hydrogen project in the state with a 17 kg/hr generation capacity. The company uses an h2e steam electrolysis system based on solid oxide fuel cell (SOFC) technology, showing lower onsite hydrogen production costs than legacy technologies. The hydrogen output can vary between 0 and 125%.

The overall supply of green hydrogen will be accounted for quarterly, based on the green hydrogen production guaranteed in the offer. For any shortfall in supply, the bidder must pay ₹350.00(~$4.16)/kg to the owner.

In 2023, the Strategic Interventions for Green Hydrogen Transition (SIGHT) program was launched under the Green Hydrogen Mission with an outlay of ₹174.9 billion (~$2.08 billion)

The Ministry of New and Renewable Energy (MNRE) has allocated ₹4 billion (~$47.64 million) for developing green hydrogen hubs and other projects. The government plans to set up two such hubs in the initial phase. It aims to identify and establish regions capable of supporting large-scale production and utilization of hydrogen as green hydrogen hubs.

The MNRE has defined green hydrogen as having a well-to-gate emission of less than 2 kg CO₂ equivalent/kg H₂.

The MNRE issued guidelines for incentive disbursement for up to 450,000 metric tons per annum of green hydrogen production under Component II of the SIGHT program.

In August 2024, the National Institute of Solar Energy also invited proposals to develop testing facilities, infrastructure, and institutional support to develop standards and regulatory frameworks under the National Green Hydrogen Mission.