SAP & GIZ Collaborate to Support Green Hydrogen Certification
SAP SE SAP has entered in to a public-private partnership with the German Agency for International Cooperation ("GIZ") to evaluate and summarize certification rules and test digital solutions.
Overall, the partnership between SAP and GIZ, funded by the German Federal Ministry for Economic Affairs and Climate Action, is likely to benefit small and medium enterprises and large companies in Brazil. The project will aid in developing the hydrogen economy in Brazil and creating the necessary proof points through reliable certification for Brazil, Germany and the European Union (EU) member states.
Green hydrogen, a form of hydrogen generated through renewable energy sources, is becoming an important commodity for regions like the EU and Latin America as they aim to transition toward carbon-neutral economies, added SAP.
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Green hydrogen can serve as a replacement for grey hydrogen in industrial processes and as a low-carbon-dioxide equivalent energy carrier. It is likely to play a crucial role in decarbonizing industries such as steel, glass, chemicals and the transportation sector.
The EU plans to diversify and access new forms of renewable energy, such as hydrogen, to make the region more resilient and reduce its dependency on imported fossil fuels.
As a result, the European Commission has resolved to produce and import 10 million tons of renewable hydrogen by 2030, highlighted SAP. Brazil has an abundance of solar and wind energy as well as hydroelectric plants and policies, which are favorable conditions for efficient and affordable green energy production. This makes Brazil a leading candidate for strategic green fuel trade partnerships with Europe.
However, Brazilian companies must provide transparent proof of origin based on certification schemes to trade green hydrogen nationally and export it to regions such as the EU. The collaboration between SAP and GIZ aims to validate the general requirements and develop software concepts to support green hydrogen certification for Brazil and Germany.
SAP's GreenToken solution can provide supply-chain transparency using a blockchain-based chain of custody for trust, which can provide transparency into environmental, social and governance facts across company borders.
SAP is an independent software vendor and a leading provider of enterprise resource planning software. Its solutions are designed to cater to the needs of organizations ranging from small and medium businesses to large global enterprises.
For 2023, the company anticipates cloud revenues in the range of €15.3-€15.7 billion, suggesting an increase of 22-25% at constant currency (cc). Cloud and software revenues are now expected to be between €28.2 billion and €28.7 billion, implying a 6-8% rise at cc.
SAP currently carries a Zacks Rank #3 (Hold). Shares of the company have gained 10.3% against the sub-industry’s decline of 8.4% in the past year.
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