Portugal hopes to become a significant producer and exporter of green hydrogen with 70 private investors or groups seeking to invest 10 billion euros ($10.2 billion).

One important energy source that can help minimize pollution from long-distance heavy transport, the steel and chemical industries, and power generation is so-called green hydrogen, which is produced using renewable electricity.

Duarte Cordeiro claimed that because of his nation’s strong emphasis on cheap wind and solar energy, it will be possible to produce hydrogen and other renewable gases at cost-effective rates and increase energy independence. He did not specify a timeline for the 10 billion euro investment or the launch date for exports.

Portugal currently gets 60% of its electricity from renewable sources on an annual basis, and by 2026, the government wants that percentage to rise to 80%.

“In the near future, Portugal will likely play a significant role in (European) production of hydrogen and renewable gases. The initiatives are at various stages of development, “He explained to a congressional committee.

He added that Portugal ought to be able to export and fulfill its own hydrogen needs and that the majority of exports would go to the sea rather than the BarMar pipeline between Iberia and France.

In order to achieve a net zero emissions target by 2050, Brussels has developed a plan to scale up green hydrogen projects across polluting sectors.

Both the oil and gas giant Galp Energia and Portugal’s largest utility EDP intend to construct green hydrogen facilities near Sines, a major industrial hub.

The two largest cement companies in Portugal and the three largest glass producers, who together account for 10% of the nation’s industrial carbon emissions, have also joined a new consortium to build a green hydrogen factory.