Renewable Hydrogen Investment Opportunities in Central Asia and the Caspian Region
Key Ideas
- The EU's goal to import 10mt/yr of clean hydrogen by 2030 presents an opportunity for Central Asian and Caspian governments.
- Kazakhstan, Turkmenistan, Azerbaijan, and Uzbekistan have the potential to produce significant amounts of low-carbon hydrogen.
- Kazakhstan, with untapped wind and solar resources, could potentially produce up to 2.62mt/yr of low-carbon hydrogen by 2040.
- The Caspian region's extensive hydrocarbon experience and renewable resources make it a promising area for renewable hydrogen production.
The European Union's target to import 10 million metric tons per year of clean hydrogen by the end of the decade is creating opportunities for Central Asian and Caspian governments. Kazakhstan, a country with vast untapped wind and solar resources and a population of around 20 million, has the potential to produce up to 2.62 million metric tons per year of low-carbon hydrogen by 2040, according to the UN. Additionally, Turkmenistan and Azerbaijan can utilize desalinated water from the Caspian Sea for hydrogen production, while Uzbekistan has substantial solar resources. The geopolitical shift towards renewable energy and the abundance of renewable resources in the region position Central Asia and the Caspian region as key players in the production of renewable hydrogen.