EU Grants R628 Million to South Africa for Green Hydrogen Development
Key Ideas
  • EU Commissioner for Energy announced financial support of R628 million for South Africa to develop green hydrogen value chain, aligning with the country's economic goals.
  • Part of the grant, R140 million, will assist Transnet in its decarbonisation efforts, focusing on key operational sectors like ports, railways, and pipelines.
  • The funding is a milestone in SA-EU relations, emphasizing a joint commitment to a just energy transition and sustainable development of strategic value chains.
  • The financial support is expected to create new economic opportunities and boost domestic growth in South Africa.
The European Union's commissioner for energy, Kardi Simson, has announced a significant financial support package of R628 million (€32 million) for South Africa to develop its green hydrogen value chain. This funding aligns with South Africa's goals of adding value to its domestic economy and advancing its green industrialisation efforts. A portion of the grant, R140 million, will specifically support Transnet in its decarbonisation initiatives, focusing on critical operational areas such as ports, railways, and pipelines. The EU grants aim to bolster South Africa's nascent green hydrogen ecosystem, marking a key step towards sustainable energy development. Meetings between Simson and local ministers highlighted the ongoing collaboration between the EU and South Africa in achieving a just energy transition and fostering sustainable development. The announcement of the financial support underscores the strong partnership between the EU and South Africa in driving green initiatives. The funding is projected to not only create new economic opportunities but also contribute to domestic growth in South Africa, further solidifying the country's position in the green energy sector.
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