The fitment committee has also backed reducing the goods and services tax (GST) on storage batteries and green hydrogen electrolysers, an important component for producing green hydrogen, to 5%.
The recommendations will be placed before the GST Council at its next meeting, which is likely to be held in July, for a final call on the tax rates.
Industry had been pushing for the rate cuts and had reached out to the government on the issue.
It maintains that the tax reduction can make green hydrogen and energy storage solutions more affordable, promoting their adoption and contributing to India’s clean energy goals.
The India-EU Clean Energy and Climate Partnership supports joint projects and research and green hydrogen imports are also part of it.
