Brussels, 21 November 2024 – Hydrogen Europe and H2Chile have signed a Memorandum of Understanding (MoU) during the European Hydrogen Week, aimed at strengthening industry collaboration and trade opportunities in the hydrogen sector between the European Union and Chile. The agreement was endorsed by the Chilean Embassy to the European Union and the European Commission, with industry stakeholders from both regions in attendance.
The MoU serves as a commitment from both organisations to advance the hydrogen sector and enhance economic ties. This initiative builds upon the existing cooperation between the European Commission and the Government of Chile, focusing on areas such as regulatory frameworks, trade, financing, and the exchange of best practices in research and innovation, skills development, and value creation. The partnership also seeks to promote the role of hydrogen in decarbonisation efforts within global climate and energy negotiations, particularly as key COP discussions on climate financing are underway.
Jorgo Chatzimarkakis, CEO of Hydrogen Europe, emphasised the significance of the MoU in driving clean energy technologies and value chains, which are increasingly vital for both the EU and Chile. Marcos Kulka, Executive Director of H2Chile, highlighted Europe’s leadership in climate solutions and hydrogen development, noting that the agreement will aid in reducing hard-to-abate emissions.
Felix Fernandez-Shaw, LAC Director at the European Commission, acknowledged Chile’s pivotal role in Latin America’s hydrogen development and expressed support for the MoU in strengthening hydrogen business cooperation between Chile and the EU. HE Gloria Navarrete, Ambassador of the Republic of Chile to the European Union, underscored the importance of the MoU as a milestone in developing the hydrogen industry in both regions, emphasising collaboration and the exchange of good practices.
This collaboration is further bolstered by the World Bank’s approval of a US$150 million loan in June 2023 to promote green hydrogen projects in Chile. The loan aims to support the country’s green growth, energy transition, and commitment to carbon neutrality by 2050. The Chile Green Hydrogen Facility project, implemented by the Chilean Production Development Corporation (CORFO), will establish a blended finance fund for green hydrogen projects and develop risk mitigation instruments to improve financing conditions.
Carlos Felipe Jaramillo, World Bank Vice President for Latin America and the Caribbean, noted Chile’s potential to become a major global player in the green hydrogen industry, given its renewable resources and ability to attract investment in large-scale clean energy projects. The project is expected to serve as a model for other Latin American and Caribbean countries.
The MoU and the World Bank’s support underscore the growing importance of hydrogen in global decarbonisation efforts and the potential for international cooperation to drive sustainable development. The agreement is expected to facilitate industry-to-industry and public-private exchanges, strengthening cooperation on regulatory frameworks, trade, and financing, while also advancing the role of hydrogen in global climate and energy negotiations.
