Brazil to raise investment in low-carbon hydrogen research

Brazil plans to raise investment in the research and development of low-carbon hydrogen to around BRL 200 million (USD 41.1m/EUR 38m) per year in 2025, the Ministry of Mines and Energy (MME) has announced.

The figure is seven times higher than the BRL 29 million allocated in 2020. It is part of the Triennial Work Plan 2023-2025 of the National Hydrogen Programme (PNH2), available on the website of the Brazilian government in Portuguese.

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In the document, the government presents a total of 65 actions for the next three years, of which 32 are already underway. In addition to the investment increase, it proposes the definition of a national legal and regulatory framework for hydrogen in order to enable the financing of large-scale projects.

PNH2 defines a hydrogen strategy with three milestones – the dissemination of low-carbon hydrogen pilot plants in all regions of the country by 2025; the consolidation of Brazil as the most competitive producer of low-carbon hydrogen in the world by 2030 and the consolidation of low-carbon emission hydrogen hubs in Brazil by 2035.

According to MME’s National Secretary of Energy Transition and Planning, Thiago Barral, Brazil has the technical potential to produce 1.8 gigatonnes of hydrogen per year at the lowest production cost.

(BRL 1.0 = USD 0.206/EUR 0.190)