Indian government-owned energy financier REC will funnel USD 6 bn into green hydrogen and ammonia projects, REC Chairman and Managing Director Vivek Kumar Dewangan told Argus. The pledge responds to calls from state oil refiners — which currently rely on fossil fuel-based hydrogen — to encourage and support green H2 projects. Coastal projects for green H2 and ammonia are also eyeing the funding, Dewangen added, amid renewed export ambitions thanks to G20 brainchild India–Middle East–Europe trade corridor.

REMEMBER- India announced its target of producing 5 mn tons of green H2 by 2030 back in 2021. The following year, the government introduced a National Green Hydrogen Mission, setting out policies and a framework that would encourage the production, use and export of the green fuel in the country.

Germany and the UK signed hydrogen energy agreement: Germany and the UK signed an agreement partnering on international trade in hydrogen to support their net zero goals, the UK’s Department for Energy Security and Net Zero said in a statement. The agreement will see both countries accelerate the role of low-carbon hydrogen in their energy production, develop renewable hydrogen tech, and support low-carbon investments. The UK launched a GBP 240 hydrogen fund while Germany will provide aid for around 2.5 GW of electrolysis and allow EUR 700 mn for developing hydrogen production methods.

The European Investment Bank is extending a EUR 1.7 bn financing package to support US-based renewables developer Solaria to develop PV plants in Iberia and Italy, the lender said in a statement. The bank — which has already rubber stamped the first EUR 278 mn green loan of the funding package for development of the first batch of projects yielding over 1 GW — will help finance development of 120 solar farms in Portugal, Spain, and Italy that will collectively have a 5.6 GW generation capacity, and will be operational in 2028. The project is backed by the InvestEU programme, which aims to facilitate more than EUR 372 bn in additional investments between 2021-2027. It will provide clean electricity to approximately 2.5 mn households while offsetting an estimated 3 mn tons of CO2 equivalent annually. The solar production plan is “Solaria’s most ambitious financing operation to date,” and funding for the project will include multiple green loans, in which other multilateral lenders and financial institutions will be allowed to take part.

OTHER STORIES WORTH KNOWING ABOUT THIS MORNING-

• India put its first green hydrogen fuel cell bus on the road in New Delhi earlier this week. The energy density of these buses is triple the amount of conventional buses and are considered the most environmentally friendly. (Wam)
• AIIB to provide USD 4.5 bn for climate projects in Bangladesh: The China-led Asian Infrastructure Investment Bank (AIIB) has pledged a loan of USD 4.5 over the next five years to fund climate projects in Bangladesh. To date, the bank has provided USD 3.27 bn in loans for 18 projects in the South Asian country. (Xinhua)
• Chinese solar panel maker Trina Solar is planning to build its third factory in Vietnam, with an expected investment of USD 400 mn. The plant is set to come online in 2025. (Reuters)