Saudi Arabia and Italy Partnering for Green Energy Delivery to Europe
Key Ideas
- Saudi Arabia sees Italy as a key ally in exporting green energy and fuels, including hydrogen, to Europe.
- The country aims to diversify its energy production capacity towards low-carbon products, moving away from traditional oil and gas.
- Investments in ports and pipelines are considered imperative for transporting green energy products to Europe, with a focus on hydrogen.
- The partnership aligns with the EU's goal to produce and import significant amounts of green hydrogen by 2030 to reduce reliance on fossil fuels.
Saudi Arabia's investment minister expressed the kingdom's interest in partnering with Italy to deliver green energy and fuels, such as hydrogen produced with renewable power, to Europe. This initiative is part of Saudi Arabia's strategy to expand its production capacity for low-carbon products and reduce dependency on oil and gas. While the market for low and zero-carbon hydrogen is still emerging, Saudi Arabia is actively seeking allies to facilitate the export of these products, with Italy being highlighted as a strategic partner for supplying green products to Europe. The focus is on both green and blue hydrogen production, where blue hydrogen serves as a transitional approach with captured carbon dioxide emissions. Investments in ports and pipeline networks are crucial for enabling the transportation of green energy solutions to Europe, with plans to engage other European countries like Germany. Italy, along with Germany and Austria, has already initiated cooperation on a pipeline project to transport hydrogen from the southern Mediterranean to northern Europe. This collaboration aligns with the EU's ambitious target to significantly increase green hydrogen production and imports by 2030, aiming to reduce the reliance on fossil fuels and mitigate carbon emissions.