INTIEAIndia · Carbon credit revenues to fund hydrogen projectsPolicyIn force

Carbon credit revenues to fund hydrogen projects

India is exploring the sale of Internationally Transferrable Mitigation Outcomes (ITMOs) under Article 6.2 of the Paris Agreement to help bridge the cost gap between renewable hydrogen and hydrogen from unabated gas. By February 2025, no bilateral agreements had been signed, and…

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Country / jurisdiction: India · Year: 2025 · Status: In force · Level: National · Type: Voluntary

India is exploring the sale of Internationally Transferrable Mitigation Outcomes (ITMOs) under Article 6.2 of the Paris Agreement to help bridge the cost gap between renewable hydrogen and hydrogen from unabated gas. By February 2025, no bilateral agreements had been signed, and details on funding or capacity remained unclear. Hydrogen and ammonia are among 14 eligible activities. Final guidance issued in April 2025 specifies that credits can only be generated by new electrolysis plants powered by new renewable energy assets. Grid electricity use is capped at 10% annually, and projects may not consume more than 5% of locally available water.

Official source: https://beeindia.gov.in/sites/default/files/BM%20EN01.002.pdf

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https://www.iea.org/policies/27606

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