81312736-Renewable Hydrogen Development Chile

The contract focuses on the development of integrated models for the production and local consumption of green hydrogen and its derivatives in the regions of Antofagasta, Biobío, and Magallanes, as well as in Chilean Antarctica. This initiative aims to contribute to the growth of the green hydrogen industry and promote exports while generating potential co-benefits. It is essential that these integrated models are designed with consideration for various plans and strategies established by Chile in areas such as territorial planning, port logistics, and urban development. Therefore, identifying and analyzing relevant documents is crucial to effectively integrate this information into the models being developed. The contract recommends considering several key documents for the activities, including the Green Hydrogen Action Plan 2023-2030, the Regional Roadmap for Green Hydrogen in Magallanes, and the Regional Development Strategy 2023-2030 for Magallanes and Chilean Antarctica. An integrated model at the regional level involves creating ecosystems where all elements of the hydrogen value chain-production, storage, distribution, and end use-are interconnected and optimized within each region. This model promotes collaboration among producers, consumers, governments, and local communities, ensuring that initiatives are tailored to specific territorial conditions while maximizing synergies between different actors and available resources. To achieve these goals, an analysis will be conducted at both national and subnational levels to identify public and private components relevant to the integrated model of hydrogen and its derivatives. This analysis will consider local requirements and characteristics specific to each region. Additionally, relationships and synergies among components will be examined to incorporate stakeholder interests at both levels. A conceptual proposal for integrated models will be designed that spatially incorporates identified components and their relationships. This proposal will include physical locations of hardware components, assumptions on product quantities, ownership structures, regulations, financing mechanisms, economic analyses, and governance models. The conceptual proposal will then be validated with key actors in each region. The analysis reveals that Antofagasta has significant potential for green hydrogen production due to its high solar radiation and ongoing mining projects that require decarbonization. The region's ports are well-suited for exporting hydrogen products. In Biobío, a highly industrialized area relies on fossil fuels; thus, there is an opportunity to transition to green hydrogen in various industrial processes. Magallanes stands out for its wind power generation potential and a strong public sector push for developing the green hydrogen industry. Various tasks will be undertaken to analyze components at national and subnational levels. This includes evaluating renewable energy generation potential across regions like Mejillones in Antofagasta and Talcahuano in Biobío. The analysis will also assess local demand for hydrogen in sectors such as transportation, industry, and residential use while identifying gaps in infrastructure necessary for production, storage, transportation, and utilization of green hydrogen. Furthermore, relationships among stakeholders will be analyzed to understand their interests and influence on developing integrated models. This involves updating stakeholder diagnoses through participatory dynamics that incorporate gender perspectives. The methodology developed will allow for reconfiguring synergies based on comparative experiences from other regions. Finally, a GIS map will be created to visually represent all physical components related to hydrogen production and its derivatives within each region. The resulting integrated model will illustrate supply relationships among different components while detailing demand from various sectors. Overall, this contract aims to position Chile as a leader in the global green hydrogen market by fostering collaboration among all stakeholders involved in this emerging industry.