Latin America next big thing in hydrogen?


International Energy Agency (IEA) has identified Latin America as a strong area of opportunity for the development of what many believe will be the energy source of the future.

In a 2020 study, the IEA said, “Latin America could become a key contributor to the global drive toward low carbon hydrogen.”

As Big Oil continues to decarbonize its energy supply over the next decades, hydrogen fuel is becoming a part of the long-term global energy transition. Hydrogen is an ideal energy source because it provides a carbon-free basis for synthetic fuels to power transportation and manufacturing.

While hydrogen production in Latin America is currently limited, pilot programs to test hydrogen as an energy carrier are steadily being established.

Argentina, Brazil, Chile, and Colombia have all released plans to grow their hydrogen industries, with the aim of being low-carbon hydrogen exporters in the near future. Mexico, Paraguay, and Uruguay are all interested in using hydrogen energy to reduce carbon emissions in manufacturing and transportation, but have yet to implement political strategies for doing so.

Latin America could position itself as a hydrogen market leader, with Chile taking the regional lead, if it invests in the industry now. About 120 countries around the world have announced plans to achieve net-zero energy over the next few decades.

Arnes Biogradlija
Creative Content Director at EnergyNews.Biz

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