Spain and Spanish companies are making big investments in plants to produce so-called 'green' hydrogen, fuel produced without the use of carbon-spewing fossil fuel plants. Green hydrogen is seen as a key to reducing carbon pollution and climate change.
Hydrogen is widely touted as a pollution-free fuel of the future, powering vehicles and leaving only water vapor in its exhaust, but most of the world's hydrogen fuel so far is being produced by plants burning fossil fuels, at least partially canceling the advantage. Green hydrogen plants use renewable energy sources such as wind, water and hydro.
Spain's rapid growth in the field—it now includes 20% of the world's green hydrogen projects, second only too the U.S.—was spurred by a 2021 government decision to support projects using €1.5 billion in funds froom the EU's Covid Recovery Fund.
Major projects are underway, especially in Spain's sunny southern regions, including Andalusia. The largest Spanish project currently in operation is run by energy provider Iberdrola, which built a 100-megawatt solar installation to produce green hydrogen for a neighboring fertilizer factory, providing it with 10% of its power, while saving 48,000 tonnes of carbon dioxide. If successful, a second phase will provide 100% of the plant's power.
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