Green Hydrogen and Green Ammonia: A Sustainable Future for India's Fertilizer Production

Green Hydrogen and Green Ammonia

The Government of Indian has taken significant steps towards promoting the use of green hydrogen and green ammonia in the fertilizer sector under the SIGHT (Strategic Interventions for Green Hydrogen Transition) Programme, part of the National Green Hydrogen Mission (NGHM). This initiative aims to enhance sustainable practices in agriculture by increasing the allocation of green ammonia from 5.5 lakh tonnes per annum to 7.5 lakh tonnes per annum. This article, supplementary to our previous one, explores the implications of this move, the benefits of green hydrogen and green ammonia, and their impact on the fertilizer industry.

What are Green Hydrogen and Green Ammonia?

Green Hydrogen is hydrogen produced by splitting water into hydrogen and oxygen using renewable electricity, such as solar or wind power. This process, known as electrolysis, results in zero carbon emissions, making green hydrogen a clean energy source.

Green Ammonia is ammonia produced using green hydrogen instead of hydrogen derived from fossil fuels. The production process of green ammonia is environmentally friendly, contributing to a reduction in greenhouse gas emissions.

The SIGHT Programme and Its Objectives

The SIGHT Programme under the NGHM aims to promote the development of green hydrogen and green ammonia production plants by providing substantial capital support. Key objectives include:

• Financial Support: The government will provide Rs 300 crore for every 15,000 tonnes per annum (TPA) of green ammonia production capacity, with a maximum limit of Rs 1,000 crore per project.

• Cost Reduction: Efforts are underway to make green ammonia cost-competitive with conventional ammonia.

• Projects in Pipeline: The Ministry of New and Renewable Energy (MNRE) has already received proposals for 13 green ammonia projects with a cumulative capacity of 16.7 lakh TPA.

• The Government has set an ambitious target of producing 5 million tonnes of green hydrogen annually by 2030, with the SIGHT Programme playing a crucial role in reaching this goal.

• Emission Reduction: Increasing the allocation of green ammonia is expected to reduce the carbon footprint of the agriculture sector and contribute to India’s goal of achieving net-zero emissions by 2070.

Advantages of Green Hydrogen and Green Ammonia in Fertilizer Production

The use of green hydrogen and green ammonia in fertilizer production offers several advantages:

a.) Reduced Carbon Footprint

Conventional ammonia production relies on hydrogen derived from fossil fuels, resulting in significant carbon dioxide emissions. By using green hydrogen, the carbon footprint of ammonia and fertilizer production—and, by extension, the broader agricultural sector—can be greatly reduced.

b.) Energy Security

Green ammonia production reduces dependence on fossil fuels and provides a more stable and predictable alternative, potentially leading to more consistent fertilizer supply and prices.

c.) Circular Economy

Excess renewable energy can be used to produce green hydrogen, which can then be stored as ammonia and used for fertilizer production, creating a sustainable loop of energy and material flow.

d.) Contribution to Climate Change Mitigation

By replacing fossil fuel-based hydrogen with green hydrogen in ammonia and fertilizer production, the agriculture sector can significantly reduce its greenhouse gas emissions and contribute to the fight against climate change.

Impact on Fertilizer Sector and Crop Yields

Nirlep Singh, ex-CMD of National Fertilisers Limited, our batchmate (1979-83) from Thapar College of Engineering, Patiala, explains that there is no difference in the fertilizing potential or the crop yields from green ammonia or conventional ammonia. Both are chemically NH3 molecules, and plants cannot differentiate the source. The primary difference lies in the carbon footprint. Conventional ammonia production releases 1.8 tonnes of CO2 per tonne of ammonia, whereas green ammonia production results in zero CO2 emissions. Thus, both types of ammonia are equally effective as fertilizers, but green ammonia helps decarbonize agriculture.

Summing Up

The Central Government's decision to increase the allocation of green ammonia for the fertilizer sector under the SIGHT Programme highlights its commitment to sustainability and climate change mitigation. By promoting the use of green hydrogen and green ammonia, India is making a significant move towards reducing the carbon footprint of agriculture while ensuring food security. This initiative is particularly crucial as India's fertilizer demand is projected to grow from 60 million metric tonnes per annum (MMTPA) in 2023 to approximately 135 MMTPA by 2050. This action not only supports the national goal of achieving net-zero emissions by 2070 but also sets a benchmark for other sectors to adopt sustainable practices.

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