Colombia’s government released on Wednesday the draft national hydrogen road map, stating its goal to install at least 1 GW of electrolysers and achieve a production output of at least 50 kilotons of blue hydrogen by 2030.
The 50-page document, available for public comment until August 15, describes Colombia as more than capable of producing green and blue hydrogen for internal consumption and exports, given the wealth and diversity of natural resources and its geographical position.
The government says it will need blue hydrogen at first, to develop the value chain before the green variety becomes competitive and available on a larger scale.
Colombia is rich in natural gas, oil and coal resources, and by building new plants and adapting existing ones to add carbon capture and storage (CCS) systems, it can produce blue hydrogen. This first phase would kick start the decarbonisation of some hard-to-abate industries, such as refining, but also take advantage of the know-how in the fossil-fuel sector and the existing port and industrial infrastructure, the government said.
The government estimates that the levelised cost of hydrogen (LCOH) produced from fossil-fuel streams paired with CCS will remain stable at about USD 2.4 (EUR 2.03) to USD 2.5 per kilogramme between 2020 and 2050.
However, the LCOH for green hydrogen from wind energy generated in Colombia's North Caribbean region is estimated to drop to USD 1.5/kg by 2050, according to the proposed road map.
The Colombian government said that the wind resource in the northern departments of La Guajira, Magdalena and Atlantico is as intense and constant as it gets in offshore environments. The capacity factor of wind farms in La Guajira can reach up to 63%, which could help further lower LCOH of green hydrogen to USD 1.1/kg by mid-century, the document states.
Colombia’s target as presented in the draft road map is to produce green hydrogen at a cost of USD 1.7/kg by 2030.
The proposed road map is exactly that, a map of goals and regulations to come that will help Colombia meet its Paris Agreement commitments. Other 2030 targets include the roll-out of thousands of light and heavy-duty vehicles, accompanied by the installation of hydrogen refuelling stations in the most populous regions and commercial routes.
The government also committed to creating measures to stimulate demand to help establish the business case for hydrogen production and infrastructure development.
As it is, hydrogen is grey in Colombia, classified as a dangerous substance with hydrogen-related activities subject to rigorous environmental impact assessment. The government says that the permitting procedures for the low-emission hydrogen, blue and green, will have to be revised to facilitate the speedy development and operation of projects.
In addition, the Mining and Energy Planning Unit (UPME) will be tasked with making the list of all equipment and machinery required to produce, store and distribute blue and green hydrogen, so that developers can enjoy the same tax incentives extended to other promoters of non-conventional energy projects in Colombia, the government said.
(USD 1.0 = EUR 1.185)
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