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Government of Chile launches new green hydrogen plan

InvestChile - May,20,2024

The plan includes 81 measures that will be implemented between now and 2030 in two stages, and will be supported by a strategic committee.

HIDROGENO VERDE ENERGIA TEXTURA

The Government has presented its action plan for implementing the Green Hydrogen Strategy, which includes 81 measures across 18 lines of action that will be implemented in two stages.

The first stage, between 2023 and 2026, “will explore establishing the conditions that enable the development of the industry, defining environmental, social, and occupational standards, in addition to implementing an efficient permit system, promoting scientific research related to the industry, and making progress on tax and financial incentives,” according to the Government.

The second stage will be implemented between 2026 and 2030, and will include “tools related to land-use planning, regulation, local development, public participation, and human capital training to ensure the development of green hydrogen.”

According to the executive branch, some of the most important milestones in this project include the installation of electrolyzer equipment in technical schools for practical education on the electrolysis process and other components of the green hydrogen value chain, starting in Chile’s Magallanes Region and then in the Antofagasta and Biobío regions.

The formal opening of the GH2 Green Credit Facility, which supports the funding of hydrogen projects, was also announced. The first tender process for publicly owned land under the “Window to the Future” program has also been completed, with projects primarily in the Antofagasta Region.

A second tender process will also be initiated to award the contract for enhancing the Mardones Pier in the Magallanes Region in order to increase its logistics capacity, among other measures.

Reactions

The members of the strategic committee include former President of Chile, Michelle Bachelet, Ricardo Díaz (Governor of Antofagasta), Jorge Flies (Governor of Magallanes), Rosa Devés (Dean of Universidad de Chile), Hernán de Solminihac, Juan Carlos Jobet, Marcela Angulo, Cristina Dorador, and Anahí Urquiza.

“I’m convinced that here the wellbeing of Chile in the coming decades hinges on seizing this window of opportunity,” said President of Chile, Gabriel Boric. “There really is a tremendous potential in this industry, like lithium, where we all play an important role. This industry is taking off in Chile, and there are more than 50 projects in different phases of development, especially in the Antofagasta and Magallanes regions. Among the multiple ongoing initiatives, I would like to highlight the pilot plan in Coquimbo and La Serena, where 2,000 homes and businesses already have access to green hydrogen, enabling them to reduce CO2 emissions,” he added.

“It was important to achieve mainstream political agreements. There wasn’t always 100% agreement on everything, but we were able to do something. We tried to build agreements that everyone could live with (...) and I think that we were able to do that,” said former President Michelle Bachelet. Through this action plan, Chile “has major opportunities to take a leap toward

becoming a more diverse, productive, and innovative economy. But we also have a major opportunity, I think, to demonstrate that when we think about the country and go beyond our legitimate differences, we are able to build agreements,” added Bachelet.

“We have to keep moving this industry forward together. I think that this Government has done a very good job of providing continuity to the work that was done previously, correcting the imperfections that all human work has,” said former Minister of Energy, Juan Carlos Jobet. “I hope that we can replicate this small example in other areas as well; sit down around a table, lay out our differences, outline a long-term vision, and be optimistic about the future. This is an optimistic agenda, which is sometimes lacking in other areas,” he concluded.

Source: Emol

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Topics: Energy- Green Hydrogen

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