Speech by the President of the Government of Spain, Pedro Sánchez, at the presentation of the CEPSA - MAERSK agreement within the framework of COP28

Dubai (United Arab Emirates)

SPEECH BY THE PRESIDENT OF THE GOBERNMENT OF SPAIN, PEDRO SÁNCHEZ

Good afternoon everyone,

I am delighted to participate in this event and share the stage with two innovative firms that believe in Spain's green potential.

Today, these two companies:

- Maersk, a household name in international logistics

- and Cepsa, a key player in the Spanish energy sector,

join their forces to announce the construction of what will be the largest green methanol production plant in Europe, and one of the five largest in the world. It will produce 300.000 tons of Green metanol which will reduce CO2 emissions by 1,5 million tons per year.

This project will not only represent a significant reduction of CO2 emissions. Green methanol will also allow us to advance in the decarbonization of hard-toabate sectors, such as shipping or the chemical industry. In other words, this is a significant step forward towards a future free of fossil fuels.

Furthermore, through securing independent and affordable clean energy, the project contributes to the strategic autonomy and energy security of both Spain and the EU as a whole.

This investment is not only fully aligned with Spain's strategy of reindustrialisation: it will have a noticeable economic impact in Andalucía region, as it will involve a joint investment of around €1bn in Huelva and the creation of 2.500 direct and indirect jobs, placing the region as a leading global sustainable hub for the production and transportation of green methanol and renewable hydrogen.

This project does not come by accident, much the contrary. Spain has a welldefined strategy to undertake the energy transition. Thanks to Teresa Ribera who is leading this for over the past 5 years. We want, as you know quite well, that 81% of our power generation come from renewable sources by 2030. To achieve this, we will require significant storage support. Green hydrogen will play a crucial role and, thanks to projects like this, Spain already stands as a global reference.

Just as a reminder, according to the International Energy Agency, by 2050 renewable hydrogen will represent 60% of the fuel used in shipping and will have a central role in storing energy coming from a 100% renewable electricity system.

Spain's attractiveness for hydrogen is supported by data: we are a global leader in renewable energies (the 5th country in the world in wind energy and the 8th in renewable generation) and one of the most attractive countries to invest in the energy transition.

From all green hydrogen projects in the world, 20% are located in Spain, second only after the biggest economy of the world, U.S.

The Spanish Government is fully committed to offer all the necessary public support to turn Spain into the European hub of green hydrogen.

Let me finish by stressing the importance of projects like the one we are presenting today: hydrogen valleys and integrated projects show the importance of economies of scale to obtain renewable hydrogen and, at the same time, to guarantee that there is a demand for the hydrogen produced.

So, felicidades, congratulations to both companies and thank you for your trust in our country, in our vision and in our future.

(Transcript edited by the State Secretariat for Communication)

Original speech in English

Non official translation