Remarks by Commissioner Simson at an event on the Team Europe Initiative for Renewable Hydrogen Development in Chile

Remarks by Simson on Team Europe Initiative RH2 Development

Ladies and Gentlemen,

Good evening, everyone,

I'm so pleased to be here this evening.

I'm especially pleased to welcome all of you here – Chilean and EU Member States representatives and other important stakeholders from the energy sector.

Chile and the EU may seem like worlds apart.

But despite the physical distance that separates us, a strong history of partnership unites us.

In 2002, Chile was the first country in Latin America to sign an Association Agreement with the EU.

Today, Chile is the first country of the region with whom we have signed a new generation of Advanced Framework Agreements.

Add to that the 45 billion euros investment package for the region agreed at the EU-CELAC last summer.

This is key.

It's part of the EU's Global Gateway offer to support partners, like Chile, in their economic, green, and digital transitions.

Against this backdrop, there is huge momentum for Chile and the EU's cooperation.

We can continue to grow as partner and allies.

We can continue to strengthen our business ties and find new investment opportunities. Including in one sector with massive potential – energy.

In this respect, let me leave you with three key messages.

The first point to note is that we're headed in the same direction.

The EU and Chile both aim to achieve carbon-neutrality by 2050.

And this transition is both fast and irreversible.

For the EU, the Russian invasion of Ukraine was a turning point – one where we made the bold decision to go all in on the energy transition.

In the past year alone, the EU has installed around 73 GW of renewable energy capacity.

And in just a couple of years, the share of our electricity mix produced with renewables has jumped from 27 to 45%.

Chile is on a similar trajectory.

Solar and wind have grown exponentially, an expansion which is set to continue in coming years.

All this to say that we have the same vision and goals, and we're both committed to delivering on the energy transition.

These are all critical ingredients of a successful partnership.

This brings me to my second point on Global Gateway.

At its core, Global Gateway is about a new form of cooperation where the EU, its Member States and its financial institutions all join forces to maximise potential for cooperation with a third country.

We know we can have greater and more strategic impact by pooling resources, capacity, and expertise.

Our goal is to boost private capital and public funding for sustainable and inclusive development, in Chile and Latin America.

This is exactly what we're doing under the two initiatives to support the development of Chile's renewable hydrogen sector.

The Global Gateway RH2 Funding Platform is a joint EIB KfW initiative with a budget of EUR 216.5 million.

It will channel financing for developing projects for producing and using renewable hydrogen.

The second initiative, the Team Europe RH2 Project, will strengthen conditions for promoting the renewable and sustainable hydrogen economy in Chile.

And yet again it's another great example of the “Team Europe” approach in action – its 8 million euros budget will be implemented by the German and Spanish development agencies, GiZ and AECID.

Third and final point.

A gateway by definition goes both ways.

This is why our Global Gateway offer will deliver for both the EU and Chile.

Chile is already a frontrunner in the energy transition.

It can further position itself as a renewable hydrogen hub and a first mover in this international market to export renewable hydrogen to Europe.

Ladies and Gentlemen,

The bottom line is that our cooperation on energy and especially renewable hydrogen has huge benefits for both Chile and the EU.

I hope that, in the coming years, we can continue to nurture this flourishing cooperation.

Together, let's create jobs, green growth, and take another big step for the global energy transition.