Egypt introduces green hydrogen in 2035 Energy Strategy

Egypt - Green hydrogen will be introduced in Egypt’s 2035 Energy Strategy, Minister of Electricity and Renewable Energy Mohamed Shaker announced in a recent statement.

Shaker added that 7,650 square kilometers were allocated to renewable energy projects given the country's potential to produce 90 gigawatts of solar and wind energy.

Shaker noted that the share of renewable energy in the electricity produced by Egypt hit 20% in 2021, although that div was targeted for the end of 2022.

Yet, it is still a long way to go as the target set for 2035 is 42%.

In August, the Egyptian Electricity Holding Company and Siemens Energy signed t a memorandum of understanding (MoU) on the development of the green hydrogen industry.

The minister explained that the signing of the MoU came after the signing of an agreement of intent between the Egyptian Electricity Holding Company and Siemens Energy in January.

The agreement of intent was the beginning of holding consultations and negotiations on the possibility of implementing a green hydrogen generation project from renewable electricity with a capacity of 100 megawatts or more, through the "EPC+Finance" system.

Shaker further noted that future steps include preparing a national strategy for hydrogen in Egypt, as well as developing an action plan to implement the strategy and studying opportunities to localize the hydrogen industry in Egypt in partnership with international expertise.

Earlier in October, Egypt’s Sovereign Fund, the Norwegian company “Scatec” for renewable energy, and the Fertiglobe company, a merger of OCI N.V. and UAE's "ADNOC” signed an agreement to produce green hydrogen in quantities ranging from 50-100 megawatts, as a feedstock for the production of green ammonia.

Under the deal, the Norwegian company Scatec will build and operate a green hydrogen production facility with quantities ranging from 50 to 100 megawatts.

The production will be supplied to Egypt Basic Industries Corporation (EBIC), which is owned by Fertiglobe, which will use green hydrogen as a supplemental feedstock to produce more than 45 metric tons of green ammonia per year under a long-term purchase contract.

The project will be located near the facilities of Egypt Basic Industries Corporation “EBIC” in the industrial zone located in Ain Sukhna.