The Government of India has approved three hydrogen-based steel production pilot projects under the National Green Hydrogen Mission.
The government will provide Rs. 347 crore in financial support for the pilot projects over three years, paving the way for the development of similar technologies in India.
Through pilot projects, the government aims to identify advanced technologies for utilizing green hydrogen in the steelmaking process. The projects will showcase safe, secure green hydrogen-based steel-making processes, demonstrating their technical feasibility, performance, and economic viability for low-carbon iron and steel production.
Three components led to the invitation to submit proposals. These include (i) A vertical shaft-based DRI production unit utilizing a 100% hydrogen pilot project; (ii) utilizing hydrogen in a blast furnace to minimize the consumption of coal and coke; and (iii) injecting hydrogen into the unit.
It must be noted that the Ministry of New and Renewable Energy in the Mission has released guidelines for executing pilot projects in the steel sector.
The National Green Hydrogen Mission, which will cost Rs. 19,744 crores up to FY 2029–2030, was introduced on January 4, 2023. It will inspire the global Clean Energy Transition and help India achieve its goal of becoming Aatmanirbhar, or self-sufficient, through the use of clean energy.
The Mission will enable India to take the lead in green hydrogen technology and market share, significantly reduce the country’s reliance on imported fossil fuels, and decarbonize the economy.
