The Biotechnology Industry Research Assistance Council (BIRAC) has invited proposals for pilot projects to produce green hydrogen using biomass-based or other innovative technologies.

The last day to submit the proposals is January 27, 2026.

The call for proposals allocates ₹1 billion (~$11.09 million) in central financial assistance for these pilots, with support capped at ₹250 million (~$2.77 million)/project.

Selected bidders can receive up to 100% of the total equipment cost of ₹250 million (~$2.77 million)/project.

A portion of the grant is released upon award and agreement signing, followed by tranches linked to equipment procurement, commissioning, and final project completion after six months of operation.

The tender focuses largely on capital expenditure for equipment and retrofitting required to produce green hydrogen and its derivatives through innovative pathways, and on demonstrating their applications.

It explicitly excludes recurring and operating expenditure, including manpower, consumables, renewable power generation or sourcing, land and water sourcing costs, and civil construction.

The tender supports innovative models and pathways for green hydrogen production, including floating solar-based green hydrogen, biomass-based routes, and green hydrogen derived from wastewater.

It also seeks to validate decentralised use cases in which green hydrogen or its derivatives can be used as fuel for cooking, heating, off-grid electricity generation, and off-road vehicles.

Another stated objective is to validate the feasibility of using green hydrogen for residential and commercial appliances, including possible integration with city gas and local community applications, while demonstrating safe and secure use in newer sectors.

Proposals must be based on technologies at readiness level 5/6, meaning they should already be validated at lab scale and ready for pilot deployment.

Projects must commission their pilot plants within 12 months of signing the grant-in-aid letter agreement, after which a six-month demonstration period is required. The total project duration is capped at 18 months.

The guidelines also include provisions for extensions, but delays can trigger penalties, including a 1% per annum penalty on the amount released if the delay exceeds the allowed period.

Selected bidders must furnish a bank guarantee equal to 20% of the sanctioned amount at the time of executing the agreement.

In addition to execution, the selected agencies will have compliance and reporting obligations. These include arranging adequate land for the pilot, submitting periodic progress and milestone reports, providing audited utilisation certificates and expense statements, and allowing inspections and verification visits by appointed committees.

The tender mandates the opening of a zero-balance subsidiary account, in line with Department of Expenditure requirements intended to prevent the parking of government funds.

The tender specifically states that projects with identified offtakers will be prioritized during shortlisting.

Eligibility provisions allow an Indian company to apply either as a standalone applicant or in collaboration with other organisations such as companies, academic institutes, trusts, societies, and NGOs.

Startups are also eligible to participate, either individually or as part of a consortium.

The Union Cabinet approved the National Green Hydrogen Mission in 2023 to facilitate demand creation, production, utilization, and export of green hydrogen with an initial outlay of ₹197.44 billion (~$2.3 billion).