Governor of São Paulo visits the site to learn about RCGI-USP’s pioneering pilot project, which could boost sustainable energy in Brazil.
São Paulo, February 19, 2025 – The University of São Paulo (USP) is conducting tests on the world’s first experimental station dedicated to the production of renewable hydrogen from ethanol. The project, led by the university’s Research Centre for Greenhouse Gas Innovation (RCGI), marks a milestone in the search for clean energy solutions and the transition to a low-carbon economy.
With an investment of R$ 50 million, the station is located in USP’s main campus, in São Paulo, and is part of a Research and Development project in collaboration with major companies and institutions, including Shell Brazil, Raízen, Hytron (now part of the Neuman & Esser Group), SENAI CETIQT, and USP itself through the RCGI, as well as Toyota, Hyundai, Marcopolo, and the São Paulo Metropolitan Urban Transport Company (EMTU). The technology developed aims to demonstrate the feasibility of ethanol as a carrier for sustainable hydrogen production, leveraging the country’s existing infrastructure.
Capacity and Applications
The pilot plant has the capacity to produce 100 kilograms of hydrogen per day, which will be used to fuel three buses and two light vehicles, among others. The hydrogen generated will be tested in USP’s public transport buses and in the Toyota Mirai and Hyundai Nexo vehicles, both powered by hydrogen.
At this stage, the project will assess the ethanol-to-hydrogen conversion rate and fuel consumption and efficiency in vehicles. “We are driving an energy transition by demonstrating that sustainable hydrogen can be produced from ethanol with high logistical efficiency,” explains Julio Meneghini, RCGI’s scientific director. “Brazil has unique conditions for this development, given our well-established ethanol infrastructure. This opens up opportunities for decarbonizing industries with high emissions, such as steel, cement, chemical, and petrochemical sectors, as well as fertilizer production and large-scale freight and passenger transport.”

The hydrogen production at this pilot plant is carried out through ethanol steam reforming, a chemical process in which ethanol reacts with water at high temperatures, releasing hydrogen. This method stands out for its efficiency and potential to reduce carbon emissions, as the CO₂ released in the process is biogenic—meaning it can be offset by the sugarcane cultivation cycle.
Impact on Industry and Mobility
The establishment of the experimental station paves the way for advances in sustainable mobility. Aircraft manufacturers and truck and bus companies can directly benefit from the initiative, as they will have access to a significant and sustainable hydrogen source for developing fuel cell technologies.
“The promotion of this technology could bring enormous benefits to Brazilian industry. The large-scale availability of hydrogen is fundamental to enabling advancements in various sectors, from mobility to sustainable fertilizer production,” emphasizes Meneghini.
Future Prospects
From the results of this Research and Development project, data will be collected to guide future studies on large-scale application. “Our goal is to demonstrate the potential of this solution and generate technical and scientific knowledge about its feasibility, leveraging ethanol infrastructure to enable the production and distribution of renewable hydrogen,” Meneghini explains.
USP’s Rector, Carlos Gilberto Carlotti Junior, also celebrated the progress of the tests and highlighted the project’s relevance: “The role of universities is to develop technologies that do not yet exist, allowing Brazil to transition its energy sector and position itself as a global leader. If we manage to provide cheaper energy with a lower carbon footprint, we will certainly be at the forefront. For this to happen, it is essential for universities to generate knowledge and for companies to believe in and invest in the industrialization of these ideas. Major technological advances have begun this way—with academic research transforming into innovation for society.”
São Paulo Governor Tarcísio de Freitas emphasized the initiative’s importance for the state’s economy and its expansion potential during his visit to the plant on February 19:
“The Research Centre for Greenhouse Gas Innovation at the University of São Paulo is one of the forces driving our state to lead Brazil’s energy transition: scientific research. In addition, we have water availability, the country’s largest and best infrastructure, and a highly skilled workforce, making us key partners in producing clean and renewable energy for other states and even internationally. We are leveraging sugarcane’s potential to develop solutions that will transform and impact entire industries, such as transportation,” the governor stated.
The advancement of USP’s experimental plant represents a significant step toward sustainable hydrogen production in Brazil. Meneghini predicts that “this technology will help position Brazil as one of the world’s leaders in clean energy production, reducing dependence on fossil fuels and driving various economic sectors in a sustainable manner.”
About the RCGI
The Research Centre for Greenhouse Gas Innovation (RCGI) at USP is an Engineering Research Center established in 2015, funded by FAPESP and companies through the Research, Development & Innovation (RD&I) clauses in oil and gas exploration and production contracts. The center currently oversees approximately 60 active research projects (out of a total of 110) across eight programs:
Nature-Based Solutions (NBS)
Carbon Capture and Utilization (CCU)
Bioenergy with Carbon Capture and Storage (BECCS)
Greenhouse Gases (GHG)
Advocacy
Innovation Hub for Energy Systems (InnovaPower)
Decarbonization
Center-to-Center collaborations with U.S. research institutions
Recently, RCGI launched a new research hub, GeoStorage, dedicated to large-scale energy and CO₂ storage. With around 600 researchers, RCGI also collaborates with several leading institutions, including Oxford, Imperial College, Princeton, and the National Renewable Energy Laboratory (NREL).