The European Commission President confirmed a substantial investment of 2 billion euros to support green hydrogen production in Brazil. A significant portion of this funding will boost a Green Energy Park project in the Brazilian state of Piauí, as announced by Ursula Von der Leyen following discussions with Brazil’s President Luiz Inácio Lula da Silva.
During the European Hydrogen Week, Ursula emphasized the EU’s commitment to backing one of the world’s most ambitious hydrogen projects in Piauí. “This investment is part of the Global Gateway’s 2 billion euro initiative to develop the hydrogen value chain in Brazil,” she stated.
The Global Gateway initiative is the EU’s strategy to finance infrastructure projects globally, focusing on securing energy supplies for Europe. This marks the initiative’s first venture into green hydrogen production in Brazil. Similar investments are being channeled into projects in Kazakhstan, Australia, Oman, Egypt, Kenya, Namibia, and Chile.
A significant outcome of this investment is the supply of green hydrogen to industries in Southeast Europe. The Green Energy Park, in partnership with the Government of Piauí, plans to establish a facility capable of producing 10 GW of clean hydrogen and ammonia, to be shipped to Croatia and thereafter distributed to Southeast European industrial consumers.
Governor Rafael Fonteles of Piauí recently approved the preliminary environmental license for this project, with a staggering investment of R$100 billion planned by Green Energy Park and the Spanish group Solatio. The projects are set to be based in the Parnaíba Export Processing Zone, with output transported via the upcoming Port of Luís Correia.
Ursula Von der Leyen also highlighted the expansion of the European Hydrogen Bank’s operations to strategic partners like Brazil. “We are extending the scope of the European Hydrogen Bank to ensure diversified, renewable hydrogen imports from dependable suppliers,” she noted.
The first auction by the European Hydrogen Bank, involving 800 million euros for project financing, is set to launch this week. A second auction round, aiming to mobilize an additional three billion euros, is scheduled for Spring 2024.
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