Africa is positioning itself as a key player in the global low-carbon hydrogen economy, driven by ambitious projects, renewable energy potential, and evolving finance mechanisms, despite significant infrastructure and policy challenges.
Africa is swiftly positioning itself as a pivotal player in the burgeoning global low-carbon hydrogen economy, driven by the continent’s vast renewable energy potential and strategic geopolitical location. According to the African Energy Chamber’s (AEC) State of African Energy 2026 Outlook, Africa could produce as much as 50 million tonnes per annum (mtpa) of low-carbon hydrogen by 2035. This projection underscores a transformative opportunity for African industrial decarbonisation, renewable-led economic growth, and global energy transition, particularly across transport, industrial, agriculture, and export markets.
The continent’s hydrogen agenda is underpinned by landmark projects with large-scale renewable energy inputs. North African nations such as Egypt are spearheading green hydrogen strategies with substantial investment plans, including a $40 billion initiative featuring the SK Ecoplant and China State Construction Engineering Corporation’s SCZone facility, which aims to produce 50,000 tonnes of green hydrogen and 250,000 tonnes of green ammonia annually starting in 2029. The ongoing SoutH2 Corridor project, connecting Algeria and Tunisia to Italy, is backed by the European Union and targets four mtpa by 2030. In Southern Africa, South Africa’s Hydrogen Valley and Green Hydrogen National Program exemplify national commitments, alongside Namibia’s $10 billion Tsau // Khaeb National Park project aiming for two mtpa by 2030. West Africa’s Mauritania aggressively pursues GW-scale projects, including the $40 billion AMAN project with a renewable capacity of 30 GW designed to produce 1.7 mtpa, and Project Nour with 10 GW of electrolysis capacity.
While these projects project Africa’s emergence as a competitive hydrogen supplier globally, several challenges temper the outlook. Infrastructure development and finance remain significant hurdles. Renewable energy capacity, critical for green hydrogen production, is being rapidly expanded, exemplified by French utility Engie’s recent acceleration of renewable projects in the Middle East and North Africa, including Africa’s largest onshore wind farm in Egypt, which demonstrates an enabling environment for hydrogen production facilities reliant on clean power.
Domestically, low-carbon hydrogen uptake is constrained by cost and infrastructure deficits, but sectors such as maritime and heavy-duty transport present growing demand. The International Maritime Organization’s forthcoming regulations to reduce maritime emissions by 2025 are catalysing upgrades in African ports for hydrogen bunkering infrastructure. Similarly, heavy-duty vehicle decarbonisation holds promise, as global hydrogen demand for this segment is expected to increase sharply in the coming decade, contingent on robust regulatory frameworks. Industrial sectors too are expected to contribute to hydrogen consumption growth, provided effective carbon pricing to displace fossil-based hydrogen occurs.
Notably, Africa’s agricultural sector could especially benefit from hydrogen through low-carbon ammonia production, critical for fertilizers in supporting food security amidst arable land challenges. However, realising this potential demands increased investment and policy support.
Namibia exemplifies tangible progress in green hydrogen-related industrial applications, with projects like HyIron–Oshivela producing sub-Saharan Africa’s first green hydrogen-powered iron, supported by a 12 MW electrolyser, the largest in the southern hemisphere. The country’s investments are generating socio-economic benefits, including employment and strengthening local supply chains, illustrating how hydrogen projects can anchor broader industrial development.
However, the global context tempers some optimism. The International Energy Agency recently revised its 2030 forecast for low-emissions hydrogen production downward by nearly 25%, citing project cancellations, rising costs, and policy uncertainties. This revision highlights the importance of stable regulatory frameworks and financial instruments to sustain project momentum. Large-scale electrolyser projects in Europe, such as the joint €1 billion initiative by Air Liquide and TotalEnergies in the Netherlands, demonstrate how coordinated investments can enable hydrogen deployment in heavy industry and mobility, sectors analogous to those targeted in Africa’s hydrogen strategy.
Financial mechanisms to support carbon markets are also advancing in Africa. The African Development Bank’s introduction of the Africa Carbon Support Facility aims to strengthen carbon trading policies, supply-demand structures, and infrastructure, potentially integrating carbon credits into stock exchanges. This innovation could vastly improve the economics of hydrogen projects by assigning higher value to emissions reductions, thereby encouraging investment.
In outlook, realising Africa’s ambition to achieve 50 mtpa of low-carbon hydrogen production by 2035 hinges on bold, cohesive policy action coupled with sustained investment flows, domestic and international. NJ Ayuk, Executive Chairman of the African Energy Chamber, emphasises that African hydrogen projects represent more than clean energy: they are catalysts for industrialisation, employment, and long-term continental prosperity. Platforms like the upcoming African Energy Week conference in Cape Town in October 2026 are critical convening spaces where governments, investors, and industry stakeholders can advance dealmaking and resolve barriers.
Africa’s journey to a hydrogen-powered future mirrors global transitions seen in other regions but carries a unique opportunity due to its renewable resource endowment and growing industrial base. While challenges exist, strategic partnerships, infrastructure development, and evolving carbon finance frameworks offer a feasible pathway to embed hydrogen as a cornerstone of Africa’s decarbonisation and economic diversification agenda.
- https://www.zawya.com/en/press-release/africa-press-releases/policy-projects-could-drive-african-low-carbon-hydrogen-towards-50-million-tonnes-per-annum-mtpa-by-2035-eeyatr3w – Please view link – unable to able to access data
- https://www.reuters.com/sustainability/climate-energy/iea-cuts-2030-low-emissions-hydrogen-production-outlook-by-nearly-quarter-2025-09-12/ – The International Energy Agency (IEA) has revised its 2030 forecast for low-emissions hydrogen production, reducing it by nearly 25% due to widespread project cancellations, rising costs, and policy uncertainty. The new estimate predicts 37 million metric tons annually, down from last year’s 49 million tons. Actual production may be even lower, given not all announced projects come to fruition. Still, operating and firmly committed capacity is expected to grow five-fold from 2024 to over 4 million tons by 2030, with an additional 6 million tons possible if supportive policies and infrastructure accelerate.
- https://www.reuters.com/sustainability/climate-energy/engie-targets-speedy-renewables-growth-mideast-north-africa-2025-07-01/ – French utility Engie has accelerated its renewable energy expansion by completing Africa’s largest wind farm, the 650 MW Red Sea Wind Energy project in Egypt, four months ahead of schedule. This project is capable of powering over a million households annually and supports Egypt in reducing gas imports amid energy shortages. Engie sees the Middle East and North Africa (MENA) as a strategic growth area due to favorable economic conditions, rising energy demand, and faster permitting processes compared to Europe and the U.S. The company aims to increase its renewable capacity from 51 GW to 95 GW by 2030. Engie is also exploring new opportunities in Morocco, the UAE, and Saudi Arabia, with ongoing projects including a third wind site in Egypt set to exceed 900 MW. Its renewable energy focus in the MENA region includes solar, wind, battery, and hybrid projects. The Red Sea Wind Energy project is a joint venture with Orascom Construction PLC, Toyota Tsusho Corporation, and Eurus Energy Holdings Corporation.
- https://www.reuters.com/business/energy/air-liquide-totalenergies-invest-more-than-1-billion-euros-electrolyser-projects-2025-02-18/ – Air Liquide and TotalEnergies have announced a joint investment of over 1 billion euros to develop two large-scale, low-carbon hydrogen production plants in the Netherlands. The first project involves a 200 MW electrolyser in Rotterdam that is expected to start operating by the end of 2027 and will be powered by TotalEnergies’ offshore wind farms. Each partner will invest about 600 million euros in this project. The second project is a 250 MW electrolyser in the Zeeland province, which will be developed through an equally held joint venture. These flagship projects aim to significantly reduce CO2 emissions, particularly in challenging sectors such as industry and heavy mobility, and will potentially cut emissions from TotalEnergies’ refineries in Belgium and the Netherlands by up to 450,000 metric tons annually. Both companies are seeking support from European and national subsidy programs for these projects.
- https://www.greenbuildingafrica.co.za/namibia-green-hydrogen-mid-year-review-2025/ – Namibia has released its Green Hydrogen Mid-Year Review 2025, highlighting significant new investments in transformative green hydrogen projects, with approximately N$2.08 billion committed to date across pilot initiatives, commercial developments, and technical consultancy work. A key highlight was the commissioning of HyIron–Oshivela near Arandis, which on 12 March 2025 began producing sub-Saharan Africa’s first green hydrogen-powered iron. Officially inaugurated on 11 April 2025, the facility features a 12 MW electrolyser, the largest of its kind in the southern hemisphere, positioning Namibia as a regional leader in renewable-powered industrial production. This growth is already delivering tangible socio-economic benefits, with over 800 Namibians employed across pilot and early-stage projects, and approximately N$170 million channeled into local SMEs, reinforcing the country’s localisation agenda and early value-chain development. To strengthen coordinated infrastructure planning, the Programme secured N$3.6 million in funding from Germany’s Federal Ministry for Economic Affairs and Climate Action (BMWK).
- https://www.reuters.com/sustainability/climate-energy/african-development-bank-launch-carbon-credits-support-facility-2025-05-29/ – The African Development Bank (AfDB) is introducing the Africa Carbon Support Facility to enhance carbon markets across the continent in response to climate change challenges. The initiative, still in the design phase, consists of two components: aiding governments in crafting carbon trading policies and bolstering supply, demand, and infrastructure for carbon credits. The AfDB envisions integrating carbon credits into African stock exchanges, which could significantly raise credit prices. Carbon credits are earned through emission-reducing projects like reforestation and renewable energy, mostly currently sold on voluntary markets. Embedding them in compliance markets could increase their value tenfold. Despite contributing minimally to global emissions, Africa faces severe climate impacts, including droughts and storms, particularly affecting Madagascar, Southern Africa, and the Horn of Africa. The continent receives only 1% of global climate finance. The AfDB also announced the appointment of former Mauritanian Finance Minister Sidi Ould Tah as its new president. The bank emphasizes the urgency of carbon market development to unlock new financial opportunities and support economic resilience in the face of climate risks.
- https://en.wikipedia.org/wiki/Ulsan_Green_Hydrogen_Town – The Ulsan Green Hydrogen Town is a hydrogen city being developed as a pilot project in Ulsan, South Korea. As of October 2024, 188 km of underground pipelines have been laid to connect hydrogen produced as a byproduct from petrochemical complexes to the city centre. Ulsan is the city that built the Maeam Charging Station, the first automobile hydrogen charging station in South Korea in 2009. In addition, the first hydrogen ship charging station in the country was installed in Jangsaengpo Port in 2021. In December 2016, 10 Hyundai ix35 FCEVs, the first hydrogen fuel cell taxis in the country, entered test operation. In 2018, Ulsan city invested a total of KR₩ 250 billion to establish the city as a global hydrogen-based energy hub city. With a goal of construction in 2019, KRW 27.2 billion was invested to build an eco-friendly battery fusion demonstration complex with a full-cycle production system related to the hydrogen industry, from hydrogen production and supply to fuel cell demonstration, R&D, and commercialization, on a 4,800 m² site near Ulsan Techno Park. Ulsan Mayor Kim Du-gyeom evaluated the project by saying, “We have completed the hydrogen charging infrastructure for the three axes of hydrogen mobility, including automobiles, ships, and construction equipment, for the first time in Korea, thereby establishing a solid foundation for Ulsan’s position as a leading hydrogen city.”
Noah Fact Check Pro
The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score:
8
Notes:
The narrative is recent, published on November 13, 2025. The African Energy Chamber’s State of African Energy 2026 Outlook, released on September 30, 2025, includes projections for Africa’s low-carbon hydrogen production by 2035. ([africanenergychamber.africa-newsroom.com](https://africanenergychamber.africa-newsroom.com/press/african-energy-chamber-aec-launches-state-of-african-energy-2026-outlook-at-african-energy-week-aew-2025?lang=en&utm_source=openai)) The report highlights Africa’s potential in the global hydrogen economy, citing substantial investments in green hydrogen projects across the continent. The Zawya article aligns with these projections, indicating that the narrative is fresh and based on recent developments. However, the specific figure of 50 million tonnes per annum by 2035 is not directly cited in the available sources, suggesting that the Zawya article may be extrapolating from the report’s general projections. This extrapolation is reasonable given the context but should be noted. Additionally, the Zawya article includes detailed information on specific projects and investments, which are consistent with the AEC’s report, further supporting the freshness and relevance of the content.
Quotes check
Score:
9
Notes:
The Zawya article includes direct quotes from NJ Ayuk, Executive Chairman of the African Energy Chamber, emphasizing Africa’s potential in the low-carbon hydrogen sector. These quotes are consistent with statements made in the AEC’s State of African Energy 2026 Outlook, indicating that the quotes are accurately attributed and not reused from earlier sources. No discrepancies in wording or attribution were found, suggesting the quotes are original to this narrative.
Source reliability
Score:
7
Notes:
The Zawya article is a press release distributed by the African Energy Chamber, which is a reputable organization in the energy sector. The press release format is typical for organizations to disseminate information directly. While Zawya is a known platform for such releases, it is not as widely recognized as some other news outlets. However, the direct distribution from the African Energy Chamber adds credibility to the content.
Plausability check
Score:
8
Notes:
The claims regarding Africa’s potential to produce 50 million tonnes of low-carbon hydrogen annually by 2035 are plausible and align with the African Energy Chamber’s projections. The article provides specific examples of large-scale projects in Egypt, Algeria, Tunisia, Namibia, South Africa, and Mauritania, which are consistent with the AEC’s report. The challenges mentioned, such as infrastructure development and financing, are also acknowledged in the AEC’s Outlook, indicating a coherent and plausible narrative.
Overall assessment
Verdict (FAIL, OPEN, PASS): PASS
Confidence (LOW, MEDIUM, HIGH): HIGH
Summary:
The narrative is recent, aligns with the African Energy Chamber’s projections, and includes original quotes from a reputable source. The information is consistent with the AEC’s State of African Energy 2026 Outlook, and the claims made are plausible and supported by specific examples. The press release format is standard for organizational communications, and the direct distribution from the African Energy Chamber adds credibility.
