An SAP partnership with the German Agency for International Cooperation (GIZ) to promote green hydrogen certification has been announced, as part of a public-private initiative.
As a leading enterprise software company, SAP recognizes that sustainability and climate change are critical issues that require urgent action. Through its sustainability and climate Strategy, SAP aims to help customers achieve their sustainability goals while pursuing its vision to create a sustainable future. The German enterprise software multinational believes that technology can be used as a force for good, and the company is committed to empowering organizations to achieve environmental, social, and governance (ESG) objectives while delivering sustainable business value.
SAP’s sustainability and climate strategy focuses on the following pillars:
- ESG Management and Reporting: SAP helps organizations collect and manage ESG data while providing transparent reporting to stakeholders.
- Decarbonization of Operations and Supply Chain: SAP is committed to reducing its carbon footprint and helping its customers reduce their emissions across the value chain.
- Green Business and Industry Networks: SAP supports the development of sustainable business practices by leveraging its technology solutions to create industry networks for accountability and transparency across supply chains.
- Sustainable Innovation: SAP is committed to creating new sustainable technologies and solutions to help organizations achieve their sustainability goals.
The German tech giant is continuously exploring new ways to support the transition to a sustainable future. Its partnerships with various organizations and institutions serve as an excellent example of SAP’s commitment to sustainability and using technology to address climate change.
Unveiling the SAP Partnership with GIZ to Promote Sustainability
Green hydrogen, generated from renewable energy sources, is a critical component in transforming regions into carbon-neutral economies. As such, the European Union and Latin America are increasingly investing in green hydrogen, not only to replace grey hydrogen but also as an energy carrier with low CO2e. To support the development of green hydrogen production and trade, Brazilian companies need to provide transparent proof of origin, based on certification schemes.
In a bid to validate general requirements and develop a software solution to support green hydrogen certification for Brazil and Germany, SAP has partnered with the German Agency for International Cooperation (GIZ). The partnership will evaluate and summarize certification rules while testing digital solutions to help Brazilian suppliers prove the green origin of their hydrogen.
Sabine Bendiek, Chief People and Operating Officer and Member of the Executive Board at SAP SE, stated that the goal of the partnership was to advance sustainable hydrogen projects in developing and emerging countries after the parties involved signed a letter of intent (LoI) outlining the agreement between them. Germany’s Federal Minister for Economic Affairs and Climate Action, Robert Habeck, attended a delegation event where GIZ Brazil countersigned the LoI.
“One of SAP’s first collaborative aspirations with GIZ is to develop a pilot project to digitize the hydrogen certification processes for Brazilian companies. We’re excited to work with GIZ on this project, which will eventually allow certification data to be exchanged and evaluated along the value chain in a tamperproof, cost-efficient, and traceable manner,” Bendiek shared.
GreenToken by SAP
SAP’s GreenToken solution can provide transparency across the supply chain and traceability back to the origin of any material, leveraging a blockchain-based chain of custody for trust. By providing transparency into ESG facts such as commodity origin, child labor, and sustainability status across company borders, SAP’s GreenToken solution aims to create transparency and accountability throughout the supply chain with their streamlined data model in compliance with the World Business Council for Sustainable Development (WBCSD).
The SAP-GIZ partnership, funded by the German Federal Ministry for Economic Affairs and Climate Action, is expected to benefit small and medium enterprises as well as large companies in Brazil. The partnership will contribute significantly to developing the hydrogen economy in Brazil by creating the necessary proof points through reliable certification for Brazil, Germany, and the European Union Member States.
“As Brazilian hydrogen companies are looking to sell their products in domestic, European, and other markets, this project will help prepare them for the requirements of region-specific certification processes,” GIZ Brazil Vice Country Director Dr. Markus Francke remarked.
