Panama's Advancement Towards a Green Hydrogen Economy
Key Ideas
- Panama's national assembly approves the incorporation of green hydrogen into the country's energy matrix, citing the abundance of natural elements like solar energy, wind, and water.
- The initiative aims to reduce Panama's carbon footprint, create thousands of jobs, and save millions spent on importing fossil fuels by promoting the use of green hydrogen.
- The bill would declare green hydrogen as a fuel of national interest, providing benefits under the country's industrial promotional and development law, with a strategic goal of producing 2Mt by 2040.
- Panama ranks seventh in the H2LAC index, demonstrating its commitment to developing a hydrogen economy and leveraging the Panama Canal to participate in the global hydrogen market.
A bill to integrate green hydrogen into Panama's energy mix has progressed in the national assembly. Lawmakers have endorsed the proposal, emphasizing the abundance of natural resources suitable for green hydrogen production. The initiative highlights the environmental benefits of using hydrogen as a fuel, projecting a reduction in carbon emissions and substantial cost savings from fossil fuel imports. By declaring green hydrogen as a matter of national interest, the bill aims to incentivize companies involved in green hydrogen production and utilization. Panama's strategic plan foresees a significant increase in green hydrogen production over the next two decades, aligning with regional efforts to adopt sustainable energy practices. Additionally, Panama's involvement in the H2LAC platform underscores its dedication to developing a robust hydrogen economy and leveraging its geographic advantages, notably the Panama Canal, to become a key player in the global hydrogen market. This legislative advancement signals Panama's commitment to sustainability, job creation, and economic growth through the promotion of green hydrogen.