India has discussed supplying over 11 metric tons of green hydrogen every year to Singapore and the European Union, a Reuters report said, citing sources. In turn, the two countries are expected to invest in the Indian green projects, the report added.
According to Reuters sources, a potential India-EU green hydrogen deal may focus on EU companies earning carbon credits by investing in clean energy projects in India. Reports said that EU may be supplied with 10 million metric tones of green hydrogen every year.
Carbon credits can be considered permits that let the owner release a specific volume of greenhouse gases. More specifically, one credit permits the owner to emit one ton of carbon dioxide or the equivalent in any other greenhouse gases.
Carbon credits are given to businesses in a fixed amount and they diminish over time. Carbon credits are considered as a financial incentive for companies to cut their carbon emissions.
As per the Reuters report, the city-state of Singaore is considering buying 1 to 1.5 million metric tons of green hydrogen annually. The country, moreover, is more focused on buying green ammonia, a popular fuel derived from green hydrogen.
India last year declared its ambition to become a major green hydrogen exporter. The Indian government approved a $2.13 billion incentive plan and a target to produce 5 million metric tons of green hydrogen by 2030. Indian companies such as Reliance Industries, Indian Oil and Adani Enterprises have big plans for green hydrogen.
Countries around the globe are turning to hydrogen in a bid to turn away from fossil fuels and address global warming.
