The Indian Government has announced a USD 54.4 mln auction to promote hydrogen use in the steel and iron sector.
MECON, the Scheme Implementing Agency (SIA), has issued a Request for Proposal (RFP) for hydrogen injection in direct reduced iron (DRI) pilot plants, existing blast furnaces to reduce coal consumption, and DRI vertical shafts to partially substitute natural gas with hydrogen.
Bidders must consider hydrogen production costs, with green hydrogen required in the final implementation stage. Funding for the first pilot will cover up to 70pct of the total project cost, excluding hydrogen production and land costs. Hydrogen injection in existing plants will receive up to 50pct funding of the capital cost, also excluding hydrogen production and land.
Bidders can specify annual hydrogen consumption for their selected scheme. The pilot projects will be implemented by the Ministry of Steel (MoS) and SIA.
1 USD / 83.5 INR
