European Investment Bank pledges up to €1bn of funding for Indian green hydrogen projects
The European Investment Bank (EIB) has pledged to fund up to €1bn ($1.07bn) for large-scale green hydrogen projects in India, under an agreement with the India Hydrogen Alliance. The lending arm of the EU is planning a credit facility to provide investments to public sector institutions supporting the green hydrogen industry.
“This facility would support the Indian government’s efforts to commercialise upcoming green hydrogen technologies and accelerate the cost reduction by investing continuously in innovation, R&D [ie, research and development], green hydrogen hubs, and pilot projects”, according to a statement from the bank. Jillian Evanko, president and CEO of the India Hydrogen Alliance (IHA), added: “Funding for large-scale green hydrogen projects is nascent and EIB’s participation will help solve a key ecosystem problem.
“We look forward to work closely with EIB, investors, industry and the government to help realise hydrogen commercialisation at scale, in the next half decade. This is an essential part of getting the first few steps of the hydrogen transition right, before we look at 2030 scenarios.” The EIB has also agreed to become a member of the IHA, an industry coalition of global and Indian companies working to establish an Indian hydrogen economy and value chain.
“The European Investment Bank recognises the huge potential of developing and reducing the cost of green hydrogen in India. Together with industry, national government and state authorities we are exploring how the EU Bank might play a role in supporting India’s National Hydrogen mission, in order to enable the use of green hydrogen to decarbonise energy, industry and transport,” said EIB vice-president Kris Peeters.
In January, India published a new H2 policy document, firming up its National Green Hydrogen Mission and adding new plans, targets and mandates for a range of sectors, from shipping and ports to road transport and fertiliser production, and this week, the state railway operator announced it would invest $335 in 35 hydrogen trains.