Ministry of New and Renewable Energy Notifies Standards for Green Ammonia and Green Methanol for India to Accelerate Trade in Green Hydrogen Derivatives

The Ministry of New and Renewable Energy (MNRE) notified standards for green ammonia and green methanol for India to accelerate trade in green hydrogen derivatives. These standards set emission limits and eligibility conditions for a fuel to be classified as 'green'. The notification aims to promote the development and trade of green hydrogen derivatives in India. This initiative is part of the National Green Hydrogen Mission, which was approved by the Union Cabinet on January 4, 2023, with an outlay of ₹19,744 crore.

National Green Hydrogen Mission

¨     The mission aims to make India a global hub for the production, use, and export of green hydrogen and its derivatives, such as green ammonia and green methanol.

¨     The mission has set ambitious targets, such as producing 5 million metric tons (MMT) of green hydrogen per year by 2030 and preventing greenhouse gas emissions of approximately 50 MMT annually by 2030.

¨     The mission supports the use of renewable energy for hydrogen production to reduce carbon emissions.

Green Ammonia Standard for India

¨     This standard defines the maximum emission level permitted for ammonia to be classified as 'green'.

¨     India's Green Ammonia Standard requires that total non-biogenic greenhouse gas emissions should not exceed 0.38 kg carbon dioxide equivalent per kilogram of ammonia (kg CO₂ eq/kg NH₃).

¨     Emission calculations include emissions from green hydrogen production, ammonia synthesis, purification, compression, and on-site storage. They are calculated as an average over the previous 12 months.

Green Methanol Standard for India

¨     This standard defines the emission threshold required for methanol to be classified as 'green'.

¨     India's Green Methanol Standard requires that total non-biogenic greenhouse gas emissions not exceed 0.44 kg of carbon dioxide equivalent per kilogram (kg CO₂ eq/kg CH₃OH).

¨     Emission calculations include emissions from green hydrogen production, methanol synthesis, purification, and on-site storage. These emissions are also calculated as an average over the previous 12 months.

Carbon Dioxide Sources for Green Methanol

¨     According to the notification, carbon dioxide for green methanol production can be obtained from biogenic sources, direct air capture (DAC), or existing industrial sources.

¨     The government may revise the list of eligible carbon dioxide sources in the future.

Importance of Standards

¨     Regulatory Clarity for Industry: These standards establish clear emission limits and certification criteria for green ammonia and green methanol, providing certainty to investors and technology developers.

¨     Accelerating Industrial Decarbonization: These standards aid the decarbonization of hard-to-abate sectors such as fertilizers, shipping, power generation, and heavy industries that rely on traditional fossil fuels.

¨     Increasing Global Competitiveness: This framework aligns India with international standards for low-carbon fuels, strengthening India's position as a reliable global supplier of green hydrogen.

¨     Boosting Export Opportunities: Standardization facilitates certification and cross-border trade, which will help India expand its exports, especially to markets pursuing net-zero goals.