EDP is consolidating its ambitious plan to phase out coal production by 2025 and be completely green by 2030. The company has a new strategic target for hydrogen from renewable sources and expects to invest in projects that generate 1.5 GW by 2030. In order to strengthen the objectives of its Strategic Plan, EDP becomes one of the 28 major companies joining the H2Zero initiative. According to estimates, the targets of companies that adhere to H2Zero are equivalent to 25% of the potential for decarbonization by hydrogen by the end of the decade, the company announces.
Thus, through its announcement on November 9 at the UN Climate Change Conference (COP26), EDP becomes one of the 28 major international companies that have made the H2Zero commitment initiated by the World Business Council for Sustainable Development (WBCSD) to accelerate the development of renewable hydrogen on a global scale. H2Zero aims to accelerate the development and production of renewable hydrogen by the end of this decade and make it an essential part of the future net-zero energy system.
By joining this commitment, EDP is consolidating its ambitious plan to phase out coal production by 2025 and be completely green by 2030 and believes that these steps are crucial for the energy transition process. At the same time, the company is consolidating its objectives of its Strategic Plan, which already envisages investments in the production of 250 MW of electrolyzers from renewable hydrogen sources, by 2025.
The company wants to invest in the production of hydrogen from renewable sources, for which the current presence in strategic markets (such as the Iberian Peninsula, USA or Brazil) and in regions where there is a favorable context for the development of these types of projects will be decisive – as is the case of localities with good solar and wind resources, infrastructure to support projects, easy access to industrial customers, favorable regulatory environment, among other conditions.
“EDP, as a leader in the energy transition, is aware that the fight against climate change is urgent and requires immediate action. That is why we aim to guarantee 100% of renewable energy production by 2030 and take concrete steps to support the decarbonisation of all sectors of the economy,” said Miguel Stilwell d’Andrade, CEO of EDP.
“Green hydrogen will play a crucial role for this path and there is no time to lose. Now is the time to consolidate this ambition and turn it into reality.”
The investment plan will thus involve the transformation of old coal-fired power plants into hydrogen centers, but also the investment in new production units. By consolidating this investment, EDP hopes to contribute to a greater and faster decarbonisation of the economy, especially in sectors where the electrification process is more difficult. A process that, as WBCSD reiterates, requires unprecedented collaboration between the public and private sectors and the definition of clear and stable regulatory policies.
According to Hydrogen Council estimates, the targets of companies adhering to the H2Zero commitment are equivalent to 25% of the potential for hydrogen decarbonisation by the end of the decade. EDP is one of these 28 companies (among which are other energy companies such as Iberdrola, Enel, Engie, Shell or Total) whose contribution will be decisive for the decarbonization of the economy. This topic was one of the key points on the agenda of this week’s COP26 conference, which brings together delegations from hundreds of countries, thousands of environmental activists, journalists and public figures. Hydrogen was one of the topics discussed on Tuesday, November 9, at COP26, the day dedicated to Industry, with the participation of Miguel Setas, member of the executive board of the EDP group, at the conference “Switching to zero, a climate neutral energy system, through hydrogen.”
