Green hydrogen (GH2) prospects in Africa are developing at breakneck speed. But the biggest questions remain unanswered.
Yes, Africa has the resources but can these highly capital intensive projects be made bankable while lenders demand heavy risk premiums on African projects?
Can commercial offtake agreements be put in place without penalising more expensive first movers?
And which projects will prevail? Competition is growing for sites with the best wind, solar irradiation, water supply, logistics and access to market.
If this is yet another scramble for Africa, will it bring sustainable development, unlike the 19th and 20th century quests for physical resources?
A manufacturing plant that will produce crucial components for fuel cells and electrolysers is expected to kick-start South Africa’s budding green hydrogen industry. But while Isondo Precious Metals is confident of making progress, many more upcoming large-scale GH2 projects remain stuck at pre-feasibility stage, writes Tonderayi Mukeredzi.
Some $10bn worth of deals were struck between Morocco and French energy and infrastructure companies during a late-October visit by Emmanuel Macron to the North African country, during which the French president offered strong support for Rabat’s claim to Western Sahara.
