Tamil Nadu will soon have a hydrogen manufacturing facility that operates on solar energy and does not release carbon-dioxide in the air.
The factory will be set up in Cuddalore district by a Europe-based company – Fusion Fuel Green PLC – in association with Chennai-based BGR Energy.
“We are excited to open up this new market for Fusion Fuel and develop India,” said João Wahnon, Business Development head of Fusion Fuel.
“BGR Energy has long been an innovator in India’s energy and industrial sectors and are now excited to establish a foothold in the burgeoning green hydrogen industry,” said BGR Energy MD Arjun Govind Raghupathy.
Wahnon said that in stage I, Fusion Fuel will install a small demonstrator facility for BGR Energy. The joint venture will then move on to develop large-scale hydrogen production facilities. Hydrogen is mainly used in the production of green ammonia, bio-ethanol and as a feedstock for other heavy industrial applications.
The plant will use market-leading hevo-solar technology to generate cost-competitive green hydrogen. Gradually, the venture will spread throughout India.
Hydrogen already plays a critical role in the Indian economy, with roughly 6 million tons of the gas consumed annually, primarily in the production of ammonia, methanol and in refineries.
A recent study by The Energy and Resources Institute estimated that demand for hydrogen could grow to as much as 28 million tonnes by 2050. Practically, all the hydrogen consumed in India today is grey hydrogen. The process has environmental implications because roughly nine tonnes of carbon-dioxide is released for every tonne of hydrogen produced.
Enabling cost-effective domestic production of green hydrogen will be critical in reducing carbon intensity of heavy industries and help India achieve its energy security and emissions targets.