Latin America Advisor

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What Does Colombia Need to Become a Hydrogen Exporter?

Colombian Energy Minister Diego Mesa said the government will publish a road map for hydrogen development in the coming months. // File Photo: Colombian Government.

Colombian Minister Diego Mesa announced last month that the government in September is set to publish a road map for the next 30 years, establishing the production, use and export of hydrogen. Mesa said the country’s renewable water resources put it in an ideal position to produce green hydrogen, which is made from renewable energy resources. He also mentioned interest “from some companies in Germany” to develop green hydrogen in the Andean nation. How much potential does Colombia have to become a leading green hydrogen producer, and what benefits would that bring for the country? What should the government’s road map for hydrogen production include? What specific regulations and incentives are necessary to jumpstart investment in Colombia’s budding green hydrogen industry, and which countries and companies could be potential partners in its development?

Natalia Gutiérrez, executive president of the Colombian Association of Electric Energy Generators (Acolgen): “According to an IDB study, Colombia has tremendous potential in the production of blue hydrogen in a first stage, but in the long term, green hydrogen has more competitiveness, especially in the north Caribbean zone, where the price could drop up to $1.5/kilogram. However, those prices won’t be reached until 2050, while other countries—Chile, for example—plan to reach them by 2030. The study does not consider two opportunities: one is related to tax exemptions to promote hydrogen production in accordance with the recent Energy Transition Law. The IDB said it would include it in its next version of the study—we will have to wait and see what Colombia’s real level of competitiveness is as a result. The second is that…”

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A sister publication of the Inter-American Dialogue’s daily Latin America Advisor, the weekly Energy Advisor captures fresh analysis from business leaders and government officials on the most important developments in oil and gas, biofuels, the power sector, renewables, new technologies, and the policy debates shaping the future of energy in the Western Hemisphere and beyond. To subscribe or for more information, contact Erik Brand, publisher of the Advisor, at ebrand@thedialogue.org.


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Erik Brand

Publisher
P. 202.463.2932
E. ebrand@thedialogue.org

Gene Kuleta

Editor
P. 202.463.2920
E. gkuleta@thedialogue.org

Anastasia Chacón González

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