Chile and France come together for green hydrogen

Chili green hydrogen France
Chile and France come together for green hydrogen

Chile attended the latest Hyvolution show to present its strategy and look for investors. The country has also signed a Memorandum of Understanding (MoU) with France Hydrogène to deploy hydrogen in both countries.

In a news dispatch the AFP mentioned that Chile made a trip to Europe, specifically France, in search for new investors. These investments will be in solar energy, wind and green hydrogen in the aim of decarbonising and developing its copper mines and its industry, which are still dependent on coal and oil. At Hyvolution an MoU was signed on the first of February between France Hydrogène and the H2 Chile Association represented by Executive Director, Marcos Kulka.

A partnership between two national associations for hydrogen

Chile’s Minister of Energy, Diego Pardow, stated that “Green hydrogen plays a fundamental role in Chile’s path towards carbon neutrality in 2050, and France is a strategic partner in achieving this goal”. “Chile has great potential for developing a flourishing hydrogen economy. Many French companies and organisations are already developing projects and partnerships with Chilean players”, commented Philippe Boucly, President of France Hydrogène.

Chile had laid its hydrogen strategy in 2020. The country relies on solar energy in the north, near the Atacama Desert and the copper mining areas and on strong winds in the south, which are ideal for wind farms. The abundance and low cost of renewable energy is attracting a number of European manufacturers, including Austria Energy, Engie, TotalEnergies and EDF, as well as investors from Germany, the Netherlands and Norway, all keen to import green hydrogen into Europe. It is worth mentioning that Hyvolution held a local edition in Chile in 2023 and will be doing so again in 2024, reflecting its interest in the country.

Competitive production thanks to renewable energies

According to Marcos Kulka, 64 green hydrogen projects have been announced to date, among which “7 or 8 should receive a final investment decision before the end of the first half of the year.”

Despite geographical distance from Europe and North America, Chile has the potential to become “one of the cheapest producers of green hydrogen in the world.” That is because “over 60% of the final cost of hydrogen is linked to the cost of the electricity used in its production.” As of today, Chile’s capacity to produce green hydrogen through electrolysis remains quite low, barely reaching “2 megawatts”. The goal is to reach “25 gigawatts” by 2030, pointed out Marcos Kulka, but the investment is considerable. Initially, the country is focusing on the production of ammonia, which is used to make agricultural fertilisers, but which can also be used to transport hydrogen.

Do you want to learn more about green hydrogen in Chile? Then our latest articles on the country should interest you. You can access all of our articles written about Chile here.

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Article written by Laurent Meillaud and translated by Mariem Ben Tili

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About the author

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Laurent Meillaud

Freelance automotive journalist and consultant, author as well, focused on technologies and new trends for more than 30 years, convinced that hydrogen is one of the energies for the future.

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