A new report by the European Investment Bank says Africa could make $1.1 trillion from the sale and use of green hydrogen.
It says harnessing Africa’s solar energy to produce 50 million tons of green hydrogen a year by 2035 can help secure global energy supply, create jobs, decarbonize heavy industry, and transform access to clean water and sustainable energy.
The study in conjunction with the International Solar Alliance and the African Union highlights the benefits of harnessing solar power to create green hydrogen in four African hubs: Mauritania, Morocco, southern Africa and Egypt.
It is the first detailed research on the feasible development of green hydrogen across the continent, according to the European Investment Bank.
Solar-powered green hydrogen is economically viable and can be produced at less than EUR 2 per kilogramme, cheaper than traditional fossil fuel energy, says the “Africa’s Extraordinary Green Hydrogen Potential” report released on Tuesday.
The report urges pioneer countries to mobilise private sector investment and to form market-based partnerships needed to enable mass-scale domestic and international off-take and demand for green hydrogen.