The lower house in Brazil has approved a bill that focuses on the low carbon hydrogen development program, providing guidelines for tax incentives. This bill, part of the broader low-carbon hydrogen regulatory framework, aims to support green hydrogen projects with a significant total tax credit allocation of 18.3bn reais. Priority will be given to challenging-to-decarbonize sectors like fertilizers, steel, and cement, while also encouraging the use of hydrogen in heavy transportation sectors such as maritime transport. The bill's approach to tax credits, particularly as a social contribution on net profit, is seen as a positive step by industry experts like Gabriela Fischer and Leandro Alencar. Fischer highlights the technology-agnostic nature of the bill, focusing on low carbon emission projects. Alencar emphasizes the importance of promoting technological advancements and industrial growth through the program. However, there are suggestions for improvements, such as aligning the legislation with international standards, especially regarding certification systems. The bill aims to establish a national hydrogen certification system to ensure traceability and maintain environmental integrity. Moreover, there are calls for more explicit harmonization with global standards to facilitate international trade in the hydrogen market. Alencar recommends including mechanisms to assist small and medium enterprises (SMEs) in integrating into the hydrogen market, given their economic significance. He also proposes enhancing the effectiveness of incentives through automatic extension mechanisms and more detailed resource distribution plans. Overall, the bill represents a positive direction for Brazil's efforts towards low-carbon hydrogen production and industrial development.