Amid the global push for alternate sources of energy, Reliance Chairman Mukesh Ambani said Reliance Industries will by 2030 create or enable capacity to generate at least 100 gigawatts of electricity from renewable sources, which can be converted into carbon-free green hydrogen.
"Green hydrogen is zero-carbon energy. It is the best and cleanest source of energy, which can play a fundamental role in world’s decarbonisation plans,” the Reliance Chairman said at the International Climate Summit 2021 on September 3.
India’s richest man also made a huge commitment for Reliance to achieve net-zero carbon status by 2035 and announced that it will be investing Rs 75,000 crore over the next three years in “four giga factories,” which will be manufacturing green technology, reported The Times of India.
He also outlined his 1-1-1 vision to bring down the cost of green hydrogen to under $1 per kg in the next decade. India can pursue a more aggressive policy of $1 per kg hydrogen compared to the global targets for bringing the price of green hydrogen to $2 per kg, he said.
Green hydrogen produced with renewable resources costs $3-6.55 a kg.
“Efforts are on globally to make green hydrogen the most affordable fuel option by bringing down its cost to initially under $2 per kg. Let me assure you all that Reliance will aggressively pursue this target and achieve it well before the turn of this decade,” he said.
He also spoke about Prime Minister Narendra Modi’s ambitious target to reach 450 MW of renewable energy by 2030, but added that only 18 percent of India’s energy is in the form of electricity and that it must find ways to “decarbonise” the remaining 82 percent.
Reliance said in a report that green hydrogen has the potential to decarbonise multiple sectors like fertilisers, steel, cement, shipping, refining and chemicals thanks to India’s solar tariffs, which are one of the lowest in the world right now.
The potential of green hydrogen as the world’s solution for carbon neutrality has been gaining traction thanks to the production of hydrogen using renewable energy.
It is currently produced using the method of water electrolysis using renewable energy. Green hydrogen can be produced from a variety of sources like natural gas, biomass and renewable energy sources like solar power and wind energy. It has a wide range of applications both in homes, industries and also the transport/automobile sector.
Ambani also touted the easy access to natural resources with “over 300 sunny days in India, high solar irradiance and vast surplus desert lands,” besides low capital costs, which will give the country a distinct edge. It has the potential to become a net green hydrogen exporter by 2030.
NTPC, India’s largest energy conglomerate, aims to lead the green hydrogen economy and is setting up a carbon capture, H2-to-methanol plant at India’s largest thermal plant in Vindhyachal. This plant comes after a memorandum of understanding with L&T. As of now, NTPC aims to get the cost of hydrogen below $3/kg and wants to reduce it further as the technology for electrolysis evolves.
"Although the costs of hydrogen from electrolysis today are high, they are expected to fall significantly in the coming year. New technologies are emerging for hydrogen storage and transportation, which will dramatically reduce the cost of distribution,” said Ambani.
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(Edited by : Shoma Bhattacharjee)
First Published: IST