Green Hydrogen: the fuel of the future

Brazil is able to produce the input at the best price in the world

Aiming at the decarbonization of the economy, the Federal Government presented, in July of this year, a proposal of guidelines for the National Hydrogen Program (PNH2 in Portuguese).

According to the document prepared by the Ministry of Mines and Energy, “the global hydrogen market is quite relevant today, and is estimated to have accounted for between $110 to $136 billion in 2019, mostly for non-energy use, in applications that include the production of intermediates for fertilizers, the food industry, and the production of petroleum derivatives”.

Green hydrogen is already being considered as an alternative for sectors where carbon emissions are difficult to be reduced, because it is also an energy vector – enabling its storage and favoring the industrial and transportation sectors. According to the International Energy Agency (IEA), about 70 percent of the world’s hydrogen production is based on steam methane reforming using natural gas as an input .However, hydrogen produced by electrolysis of water, from electricity generated by renewable (green) sources such as hydroelectricity, wind and solar energy, is expected to be competitive by 2030.


Brazil has leading renewable energy sources, energy infrastructure, supply chain, and human resources, and green hydrogen projects underway.

This year, the government of Ceará implemented a Green Hydrogen Hub at the Pecém Industrial and Port Complex, aiming to reduce the emission of pollutants with new investments and also to expand business opportunities and job generation at the site. The initiative was presented by Joaquim Rolim, coordinator of the Energy Nucleus of the Federation of the Industries of the State of Ceará (FIEC), at COP26.

“The Northeast Region of Brazil has an enormous source for the generation of clean, renewable energy at competitive prices. In addition, we have the complementarity between wind and solar sources, with differentiated productivity features worldwide. And the state of Ceará plays a prominent role in this very relevant topic”, said Rolim, who represented, through FIEC, about 40 industrial associations in the state.

Ceará has 12 memorandums of understanding signed with international conglomerates for the development of green hydrogen, which is acquiring the status of “fuel of the future”. The Federation of the Industries of the State of Ceará has made available an atlas of wind and solar energy in the state, with information available to potential investors.

“In the future, an acceleration of green hydrogen competitiveness will occur, and we are already on that path. Brazil enters the world map of green growth with the potential to have the cheapest green hydrogen in the world”, added the coordinator.

The energy company Fortescue Future Industries, which operates in the state of Ceará, claims that the region offers advantages for the sector. The company is presented as a global leader in clean energy and in the green production industry, and its CEO for Latin America, Augustin Pichot, has said the following in a video recorded for the COP26 roundtable: “Brazil has significant quality and plentiful renewable energy in a sophisticated market; and the state of Ceará has an attractive infrastructure in the Port of Pecém and a strategic location. This is why we believe that Brazil can be at the forefront of renewable energy. It is a pleasure to work in Brazil to develop these important opportunities in a world that needs to decarbonize”.

Also through a video recorded especially for the occasion, FIEC’s president, Ricardo Cavalcante, pointed out that the forecasts related to green hydrogen are the best possible in the state.

“H2V will change the socioeconomic and financial situation of Ceará. FIEC’s priority now is to work hard, to generate a lot of jobs, to get the industries hiring again. I feel that the recovery of the economy is accelerating and we need to stimulate it,” he said.