Potential of Article 6 and other financing instruments to promote Green Hydrogen in the Steel, Cement and Mining Industries

This study analyzes the potential contribution of Article 6 and other financing instruments to promote green hydrogen projects in the cement and steel industries of Chile. The purpose of this study is to generate technical inputs for the future development of pilot initiatives under Article 6 of the Paris Agreement. The report finds that cooperative approaches under Article 6 offer a significant opportunity to incorporate additional income into the business model of hydrogen projects. The study also analyzes the sources of uncertainty associated with the sale of emission reduction certificates and makes recommendations to reduce these uncertainties and to foster demand for green hydrogen in Chile.