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Green hydrogen in Germany depends on the African tide

February 18, 2024

On February 13, 2024, the German Development Fund allocated 270 million euros to encourage a number of African countries to produce green hydrogen. It was then supplied to Germany, and Morocco was the main country in obtaining a percentage of this grant, along with a number of countries: South Africa, Brazil, Georgia, India, Egypt, and Kenya.

The German government seeks to achieve the goal of reducing carbon emissions and achieving carbon neutrality by 2045 by reducing reliance on unclean energy sources such as fossil fuels and all their derivatives, and replacing them with other clean sources such as solar energy, wind, hydrogen, and others. Germany is focusing in particular on the hydrogen aspect on its path to neutrality. Carbon, so in this report we will learn about Germany’s most important efforts in this regard.

Import green hydrogen:
To meet Germany's needs for green hydrogen, which is expected to reach 130 terawatt-hours in 2030, the German government has concluded several agreements with a number of countries to import between 50% and 70% of green hydrogen, led by African countries.

Later in 2023, the German Development Bank granted 300 million euros to Morocco with the aim of developing several projects related to green hydrogen, including the Tarfaya station, which will move Morocco to become the first country in Africa to produce green hydrogen by 2025.

In the same context, the German government approved a grant worth 3.5 billion euros to the H2 Global Foundation in Germany to purchase green hydrogen.

German Economy Minister Robert Habeck concluded an agreement with Algerian Energy Minister Mohamed Arkab later this month; To finance Algeria with approximately 20 million euros to establish a green hydrogen project in the Sonatrach region in Arzew, Oran, Algeria. This project is expected to produce 50 megawatts of energy.

This agreement comes within the Southern Hydrogen Corridor project, known as “Corridor Sud H2,” which is scheduled to be a hydrogen interconnection network between North African countries, especially Algeria, with southern European countries, especially Italy, Austria, and Germany, with a length of 3,300 kilometers.

HAPEC seeks to encourage Algeria to produce green hydrogen. Because it has a large area of desert and thus a good reserve of solar and wind energy, thus its high ability to produce green hydrogen.

Green hydrogen production:
In addition to importing green hydrogen, Germany seeks to produce hydrogen, as the following chart shows, which shows Germany’s goal to produce 10 gigawatts of hydrogen by 2030 instead of 5 gigawatts in 2023. Germany will also seek to produce green hydrogen instead of the other unclean one produced from fossil fuels, Which accounts for 100% of Germany's total hydrogen production.

National Hydrogen Strategy:
Germany's interest in green transformation and reducing carbon emissions began in 2020 when former German Chancellor Angela Merkel laid the foundation stone for what is known as the "National Hydrogen Strategy", which aims to raise Germany's energy production capacity in 2030, but given the infrastructure Germany possesses in… Currently, Germany will not be able to reach its goals related to green hydrogen, relying only on itself, but it must import hydrogen from neighboring countries.