European Union Supports South Africa's Green Hydrogen Plans with $35 Million Grants
Key Ideas
  • The European Union has pledged two grants totaling $35 million to support South Africa's green hydrogen initiatives.
  • The grants will assist in infrastructure development for green hydrogen projects, including supporting Transnet and developing the green hydrogen value chain.
  • Green hydrogen is considered crucial for decarbonisation efforts in both South Africa and Europe, with European countries investing in similar projects across Africa.
  • Officials from both the European Union and South Africa are optimistic about the potential of green hydrogen to drive industrialization in the country.
The European Union has committed to providing South Africa with two grants amounting to about $35 million to bolster the country's green hydrogen plans. These grants are aimed at accelerating the development of green hydrogen projects that utilize renewable energy to produce fuel usable in various industries. The first grant, valued at R140 million, will support Transnet, a struggling state company, in covering infrastructure costs for railways, ports, and pipelines. The second grant, amounting to 25 million euros, will aid in establishing South Africa's green hydrogen value chain. Green hydrogen is viewed as essential for the decarbonisation efforts in both South Africa and Europe, prompting investments in similar projects across Africa. European Energy Commissioner Kadri Simson emphasized that the grants align with South Africa's strategic objectives. South Africa's Minister of Energy and Electricity, Kgosientsho Ramokgopa, expressed optimism about green hydrogen's potential to drive industrialization in the country, highlighting the opportunities it presents for growth and development.
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