The Ministry of New and Renewable Energy (MNRE), with the National Institute of Solar Energy, is inviting proposals for pilot projects from start-ups developing innovative green hydrogen production or utilisation technologies. Under this initiative, the total fund allocation is of Rs 1 billion until 2025-26. Furthermore, for each project, Rs. 0.05 billion or 80 per cent of the total equipment cost per start-up will be provided, whichever amount is less.
According to the guidelines, a startup is defined as an entity registered as a private limited company, partnership firm, or LLP that is less than 10 years old. It must have an annual turnover not exceeding Rs 1 billion in any financial year and be recognised by the Department for Promotion of Industry and Internal Trade.
Furthermore, the startups that are working on technologies that align with the National Green Hydrogen Mission are encouraged to submit their proposals. The proposals can be submitted based on topics under categories such as hydrogen production, hydrogen storage and transportation, hydrogen safety, and hydrogen applications.
The disbursement of funds will take place in four installments based on specific project milestones. The first installment of 20 per cent of the central financial assistance (CFA) will be released upon the award of the project and its acceptance by the selected start-up. The second installment, also 20 per cent, will be released once the project has reached 25 per cent completion as per the sanctioned plan. The third installment of 50 per cent , will be disbursed when the project achieves 75 per cent completion. Lastly, the fourth installment of 10 per cent will be released upon the project’s full completion.
Additionally, selected start-ups are required to submit a performance bank guarantee equal to 5 per cent of the approved CFA along with the project acceptance. The last date for submitting the proposals is October 13, 2025.
