The European Union has announced that it will allocate €32 million in grants to support the development of South Africa's green hydrogen sector. This funding is designated to harness the country's abundant renewable energy sources, like wind and solar power, for the production of green hydrogen, an environmentally friendly fuel option for ships and heavy industries. The primary objective of these grants is to attract investments into South Africa's hydrogen economy, with a substantial emphasis on promoting clean energy initiatives. The first grant of €25 million is projected to stimulate around 10 billion rand ($558 million) in combined public and private investments, indicating a strong potential for growth in the sector. Furthermore, a second grant of €7 million will be dedicated to funding hydrogen research and pilot projects managed by the state-owned Transnet SOC. Green hydrogen, produced through the electrolysis of water using renewable energy sources, stands out for its ability to generate hydrogen without greenhouse gas emissions. Though currently more expensive than traditional oil-based fuels, the competitiveness of green hydrogen is expected to improve with technological advancements and the introduction of higher penalties for fossil fuel usage. This initiative highlights the increasing interest in green hydrogen production in several African countries, including Namibia and Morocco, as they aim to capitalize on their renewable energy potential. Africa's vast resources position the continent as a potential global hub for renewable energy, but the ability of its nations to deliver cost-effective products in the emerging hydrogen sector remains to be seen.