With the objective of augmenting the supply of clean, green and renewable energy, the state government has drawn up plans to increase the hydrogen production capacity to 5 lakh MT per annum by 2028.

This move would help the state expand its clean and renewable energy portfolio.

The Union government has already announced plans to make India a global hub for green hydrogen, producing 5 million metric tons annually by 2030 and becoming net zero by 2070. To meet this goal, the Indian government announced the National Green Hydrogen Mission in 2022.

The Uttar Pradesh government is in the process of formulating its maiden Green Hydrogen Policy 2023 to ensure complete utilisation of domestic green hydrogen production. The sector is expected to create job opportunities for more than 60,000 people.

The state will set up two centres of excellence dedicated to green hydrogen research under the UP New and Renewable Energy Development Agency. The current hydrogen demand in UP is approximately 9 lakh MT per annum, especially in the fertiliser and refinery sectors.

At the UP Global Investors Summit 2023, the state received renewable energy investment proposals, including green hydrogen, of over Rs 2.70 lakh crore from 20 companies. The state would also plan on increasing hydrogen blending in regions where there is consumption of green hydrogen. The proposed plan would pave the way for setting up carbon dioxide recovery units. Since water plays a vital role in the production of green hydrogen, the state will leverage the demand from the rivers.

“UP has taken rapid steps towards adopting non-conventional energy options…to encourage clean energy in view of global warming and climate change. The chief minister has asked officials to prepare a comprehensive green hydrogen policy,” a government official said.

Recently, Chief Minister Yogi Adityanath had asked officials to consult all stakeholders in the green hydrogen and renewable energy landscape before finalising the draft. He had also issued a directive for creating water reserves near small and big rivers, and using rainwater to produce green hydrogen. Yogi Adityanath said green hydrogen being a clean industrial fuel would help achieve the goal of net-zero carbon emissions. “The department should draft the policy after examining the Government of India’s green hydrogen policy,” he said.

Unveiled in February 2022, the green hydrogen policy offers cheaper renewable power and a 25-year financial waiver for interstate power transmission projects commissioned before June 2025. The policy also offers cheaper land in energy parks and dedicated zones for the local industry.

In the current decade, the Asia-Pacific region is projected to be the fastest growing in the global green hydrogen landscape. Green hydrogen is produced by breaking down water in an electrolyser using renewable energy, so there is no carbon emission. Later, hydrogen can be combined with nitrogen to make ‘green’ ammonia, thus avoiding planet-warming hydrocarbons. Green ammonia is used to store energy and make fertilisers.

According to reports, the global green hydrogen market was valued at $1.83 billion in 2021, and is estimated to hit $90 billion by 2030, posing a compound annual growth rate of 54 per cent.