National Hydrogen Mission can be a game changer for India’s rising energy demands. Discuss the benefits and challenges associated.

Finance Minister in budget of 2021-22 announced a National Hydrogen Mission to give a boost to Green Hydrogen fuel in India’s energy mix.

India’s current energy status:

• Goal – 450 GW by 2030.
• Current status – 136 GW, 38% of total installed capacity.

Rising energy demands: Reasons

• Rapid urbanization.
• Increasing lifestyle changes, (270 million out of poverty, between 2005 to 2016, according to UNDP).
• Boost to manufacturing sector – Aatmanirbhar Bharat, Make in India.
• World’s services exporter.
• Rise of disruptive technologies like AI and Big Data needs energy in processing.

National hydrogen mission: A game changer

1. Features:
   • Green hydrogen generation
   • Hydrogen economy
   • Increased share of hydrogen in energy mix
2. Benefits of hydrogen for India’s energy demand:
   • Fulfill India’s INDC commitments of reducing fossil fuel mix in India’s energy basket.
   • Reduce dependence on import of fuel for strategic autonomy.
   • Save India’s Forex reserves through local fuel dependence.
   • Reduce problem of air pollution in India.
   • Abundant natural resource and favourable geographical conditions for its production.
   • Cost effective nature of hydrogen ensures energy security and scalability.
   • Sustainable development by powering remote areas.

Challenges:

• Expensive research and development on scaling is needed.
• High Initial investment in hydrogen fuel cells.
• Storage and transport infrastructure would require Investments.
• Green hydrogen – cost of carbon capture and storage.

The PPP model for investment as well as policy boost can help the mission succeed to become a game changer in energy sector.