Brazil is poised to harness the potential of green hydrogen in its energy sector, with a new bill in Piauí proposing the establishment of a State Public Policy on Green Hydrogen.

State Representative Fábio Novo (PT) introduced the bill with an aim to enhance the role of green hydrogen in Piauí’s energy matrix, stimulate its use across a range of applications, particularly as an energy source and for agricultural fertilizer production, and to contribute to reducing greenhouse gas emissions.

The bill, presented on Wednesday (05), is set for technical committee review in the House. According to Representative Fábio Novo, Brazil holds significant potential for green hydrogen applications, especially Piauí due to its geographical proximity to Europe. This advantageous location presents a strategic opportunity to supply green hydrogen to both national and international industries, potentially replacing fossil fuels and reducing air pollutant emissions.

Green hydrogen, produced using renewable energy to power the process of electrolysis, is a clean and versatile energy carrier. It is regarded as key to the global energy transition, given its potential to decarbonize a range of sectors where direct electrification is challenging. Notably, it does not emit carbon when used, making it a promising solution for curbing climate change.

The bill positions green hydrogen as a pivotal player in Brazil’s energy transition, opening avenues for its increased use in sectors such as agriculture. Fertilizer production from green hydrogen can offer a sustainable alternative to conventional methods, reducing the environmental footprint of agriculture.

Representative Novo underscores the project’s potential to attract investment and generate employment and income, making it not just an environmental, but an economic boon. The bill comes at a time when the global green hydrogen market is projected to grow substantially, with countries around the world looking to leverage this technology as part of their decarbonization strategies.

The success of this policy would depend on a range of factors including the state’s ability to attract investment in the necessary infrastructure, the reduction of costs associated with green hydrogen production, and the development of a market for green hydrogen and related products.

While challenges remain, this bill signifies an important step towards a more sustainable energy future in Brazil. By positioning Piauí as a potential green hydrogen hub, Brazil is aligning its energy policy with global decarbonization efforts and opening up new economic opportunities for its citizens.

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