Brazil Stimulates Green Hydrogen Production with New Law
Key Ideas
- Brazilian President signed a law to boost green hydrogen production, promoting energy transition and clean fuel market.
- The program includes measures to encourage green hydrogen use in various industries like fertiliser, chemicals, and steel.
- Tax incentives will be given to both producers and consumers of low-carbon hydrogen, with yearly determination of preferences.
- Green hydrogen, produced from renewable sources, is seen as a solution to reduce greenhouse gas emissions.
Brazil has taken a significant step towards promoting the production of green hydrogen with President Luiz Inacio Lula da Silva signing a law aimed at stimulating its development. The law, which also involved Brazilian Vice President Geraldo Alckmin, establishes the Low Carbon Hydrogen Production Promotion Programme to facilitate the country's energy transition and create a market for clean fuels. The initiative targets industries like fertiliser, building materials, chemicals, steel, and trucking to adopt green hydrogen. Tax incentives will play a crucial role in encouraging both producers and consumers, with the amounts to be decided annually. Green hydrogen, derived from renewable sources including wind, solar power, biofuels, and recycled waste, is hailed as a potential solution to reduce harmful greenhouse gas emissions. This move signifies Brazil's commitment to sustainable development and environmental conservation.
Topics
Green Hydrogen
Renewable Energy
Energy Transition
Low-carbon
Sustainable Development
Clean Fuels
Industry
Tax Incentives
Environmental
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