Gujarat Issues Green Hydrogen Project Land Policy

Gujarat’s state revenue department has established a strategy for assigning government wasteland to businesses interested in producing green hydrogen, or hydrogen generated using renewable energy.


Gujarat has already signed Memorandums of Understanding (MoUs) with five major firms to allocate significant expanses of government land for future green hydrogen projects. These businesses will be leased government land for 40 years. The state will also provide them the same tax breaks as other renewable energy projects like wind, solar, and wind-solar hybrids.

According to the announcement, the firms would be required to pay an annual rent of Rs 15,000 per acre, with a 15% increase every three years. Other obligations include finishing lease processes within six months following approval and reaching 50 per cent of their green hydrogen production capacity within five years of launching the plant and 100 per cent within eight years.

According to the government resolution, multilateral agreements between the developer, the collectorate concerned, and Gujarat Power Corporation Limited, the state’s main body for developing green hydrogen projects, would be submitted.

The government has outlined the prerequisites for firms interested in acquiring land for such projects. They should have generated at least one million metric tonnes of renewable hydrogen.

They must have prior experience generating at least 500 MW of renewable energy or using brown, grey, or blue hydrogen. These companies will be eligible for all government subsidies for additional renewable energy initiatives.

Reference- Mercom India, Economic Times, Business Standard, Renewable Watch