Uruguay has taken important steps in the development of its green hydrogen industry. Uruguay's Ministry of Industry, Energy and Mines has announced the construction of the country's first green hydrogen project in Frebentos, capital of Rio Negro Province, with a total investment of $38.6 million, which is expected to start production in 2026. The project will use solar energy to produce green hydrogen, and build supporting hydrogen production units and hydrogen refueling stations, is expected to put into operation after the annual output of green hydrogen 77 tons, mainly for heavy truck transport industry, while serving forestry, paper industry and other important industries, can reduce carbon dioxide emissions 870 tons per year.

Green hydrogen, as one of the most promising clean energy sources, has a broad development prospect in Uruguay. Uruguay already has a strong foundation in the field of renewable energy, with 97% of its electricity coming from renewable sources such as water, wind and solar between 2017 and 2020. Alisa Facio, Uruguay's Minister of Industry, Energy and Mines, said the development of the green hydrogen industry is key for Uruguay to advance the next stage of its energy transition.

The Uruguayan government has developed a detailed plan for the development of the green hydrogen industry. According to the Uruguay Green Hydrogen and its Derivatives Roadmap, the green hydrogen industry is expected to attract $18 billion in investment, create more than 30,000 jobs, and bring $1.9 billion in annual revenue to Uruguay by 2040. The roadmap also states that the penetration rate of heavy-duty hydrogen fuel cell vehicles in Uruguay will reach 3% by 2030 and 35% by 2040. In addition, the demand for green hydrogen derivatives in maritime transportation, air transportation and other fields will also increase.

In order to support the development of the green hydrogen industry, the Uruguayan government is gradually increasing subsidies for related research. In October 2024, Uruguay's National Research and Innovation Agency launched an initiative to fund research and application of green hydrogen-related technologies, including solar hydrogen production, hydrogen energy transport and supply. At the same time, Uruguay is also actively attracting the world to invest in the green hydrogen industry, and Minister Fazio led a delegation to participate in the World Hydrogen Summit to promote the country's green hydrogen project.

Uruguay is expected to become an important investment destination and export center for the green hydrogen industry. According to Facio, Uruguay's green hydrogen industry is expected to earn $1.3 billion in export revenue by 2040. The achievement of this goal will depend on Uruguay's solid foundation in the field of renewable energy, the policy support of the government and the investment and cooperation of the international community. Editor/Xu Shengpeng