EIB commits €1 billion to support green hydrogen in India
The European Investment Bank (EIB), the bank of the European Union, has joined forces with the India Hydrogen Alliance (IH2A) to increase support for the development of green hydrogen projects across India. The EIB, the world’s largest international public bank and the leading financier of renewable energy and climate action, has agreed to provide indicative funding of €1 billion, subject to Indian government and EIB approvals. This move is expected to further support clean energy investment and the development of green hydrogen in India.
EIB Vice-President, Kris Peeters, said that the EIB recognizes the tremendous potential of developing green hydrogen in India. The EIB is exploring how it can support India’s National Hydrogen Mission to enable the use of green hydrogen to decarbonize energy, industry, and transport. Increased cooperation through the India Hydrogen Alliance will help to implement a national green hydrogen roadmap that delivers India’s energy transition and net-zero carbon plans while strengthening energy security in the years to come.
Jillian Evanko, President and CEO of Chart Industries and Founding Member of IH2A, expressed her delight in partnering with the EIB to bring much-needed funding to the development of the green hydrogen economy in India. She added that the EIB’s participation will solve a critical ecosystem problem and that the organization looks forward to working closely with the EIB, investors, industry, and the government to help commercialize hydrogen at scale over the next half decade.
IH2A is focused on attracting global climate finance for large-scale hydrogen hub development in India. The memorandum of understanding between the EIB and IH2A supports the Indian government’s allocation of $2 billion in public finance for the National Hydrogen Mission. This will allow IH2A to bring together global climate finance players and funding agencies to work with industry players and government agencies to plan and execute large-scale green hydrogen projects and develop the green hydrogen economy in India.
The EIB is exploring a credit facility with the Indian government to provide investments in key public sectors that support the development of the green hydrogen industry. This facility will support the Indian government’s efforts to commercialize upcoming green hydrogen technologies and reduce costs through long-term investment in innovation, R&D, green hydrogen hubs, and pilot projects.
In conclusion, the EIB’s partnership with IH2A will play a critical role in supporting climate action and the development of the green hydrogen industry in India. This project is part of the EU’s Global Gateway initiative, which supports projects that improve global and regional connectivity in various sectors, including climate, energy, and education.