Brazil’s green hydrogen program is ready. But how green will it be?
Brazil’s House of Representatives approved a bill creating a national policy for “low carbon” or “green” hydrogen production, following Senate clearance. The bill awaits President Lula da Silva’s signature. The regulatory framework provides legal certainty for financing hydrogen projects, attracting over $30 billion in announced investments. The government has launched five R&D notices worth $13 billion, mainly funded by innovation funds, agencies, and BNDES. Two significant changes made by the Senate remain, with one being less positive. The policy aims to boost Brazil’s energy transition and green hydrogen production.
A week after clearing Brazi’s Senate, the bill creating a national policy for manufacturing “low carbon” or “green” hydrogen in the country has also been approved by the House and is now ready for President Luiz Inácio Lula da Silva’s signature.
Hours after the lower house approved the regulatory framework, Mines and Energy Minister Alexandre Silveira said it represents the first step toward providing legal certainty for financing hydrogen projects in Brazil. The hydrogen program was among the priority topics of a meeting between Mr. Silveira and banking association Febraban this Friday.
According to the Mines and Energy Ministry, based on data from the Energy Research Company (EPE), over USD 30 billion in investments have been announced for hydrogen projects in the country so far. Most are still in the feasibility study phase, with only memorandums of understanding signed with ports and state governments.
From the government’s side, at least five notices totaling BRL 20.8 billion (nearly USD 13 billion) in R&D projects were launched within the energy transition vertical of the new industrial policy, which includes green hydrogen projects. The resources come mainly from government innovation funds, agencies, and the BNDES — Brazil’s national development bank.
Two major changes made by the Senate in the text remained, one of them not so positive.
Read More : https://brazilian.report/environment/2024/07/12/green-hydrogen-program-ready
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