Four green hydrogen and derivatives projects in Egypt, Morocco, Namibia and South Africa have been selected for $20 million in reimbursable project-preparation grants under the African Development Bank’s Green Hydrogen Programme, potentially advancing an estimated $23 billion pipeline of investment.
The African Development Bank announced the selection on 18 September following a competitive process that attracted 81 proposals from 18 African countries. The four projects are Project Ra in Egypt, Guelmim Green Hydrogen Valley in Morocco, the Hyphen project in Namibia and the Saldanha Hydrogen DRI project in South Africa.
From hydrogen plans to bankable projects
The selected projects collectively represent about 20 GW equivalent of renewable generation, 7 GW of electrolyser capacity and 2,950 MWh of battery storage, according to the Bank.
The programme is designed to finance pre-investment work that can help projects progress towards final investment decisions or financial close. Eligible activities include feasibility studies, engineering design and transaction advisory services.
The projects also illustrate the industrial applications emerging around green hydrogen in Africa, including green ammonia, sustainable aviation and marine fuels and lower-carbon iron production.
Preparation funding, not a $23 billion AfDB investment
The $23 billion figure represents the estimated investment value of the four projects rather than financing being provided by the African Development Bank. The Bank’s proposed support totals $20 million in reimbursable project-preparation grants and remains subject to Board approval.
Sources
- African Development Bank: Green hydrogen project selection
- African Development Bank: Green Hydrogen Programme call for proposals
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