India’s landmark Green Hydrogen Policy released in February 2022 was a welcome initiative. While it sets the ball rolling it marks only the first steps in a long road. Challenges do remain in both implementing these measures as well as additional measures needed. It is critical to ensure that the technology, capital, and capacities do not pose a significant test for India’s domestic capabilities.
KPMG in India has released a report titled – ‘India’s green hydrogen ambition – Setting the wheels in motion’. This report lays out a comprehensive plan for increasing R&D activity in India across several programme areas.
Critical areas of focus for policy makers:
- The efforts to increase green hydrogen economy should be backed by firm measures to develop a local supply chain to ensure indigenous capabilities
- A strong alignment needs to be created between centre and states
- Demand side impetus would need to be created to facilitate green hydrogen uptake
- A well-built procurement policy framework will be needed to enable demand aggregation, cost reduction, and better risk management
- Access to finance at low cost would be a pre-requisite to facilitate development of the supply chain
Download the report here