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EBRD assesses low-carbon hydrogen in Egypt to enhance transition towards greener economy

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09/03/2022
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EBRD assesses low-carbon hydrogen in Egypt to enhance transition towards greener economy

The European Bank for Reconstruction and Development (EBRD) is helping Egypt achieve its renewable energy potential and to transition to a greener economy by assisting in the development of a national low-carbon hydrogen strategy.

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Hydrogen is one of the decarbonised fuels of the future. It can significantly contribute to the energy transition while unlocking additional benefits from renewable power generation. The Bank signed a memorandum of understanding (MoU) with Egypt’s Ministry of Electricity and Renewable Energy and Ministry of Petroleum and Mineral Resources to establish a framework for assessing the potential of low-carbon hydrogen supply chains.

The Bank’s assessment will include mapping the current and future expected international supply and demand of the hydrogen market, analysing existing and potential hydrogen production in Egypt and valuing the storage, conversion and transportation of hydrogen and its derivatives. The EBRD will also help to conduct a regulatory analysis and assessment of the changes needed to support the development of hydrogen supply chains in Egypt while ensuring the safety, reliability, competitiveness and sustainability of supply.

Mark Bowman, EBRD Vice President for Policy said, “We are very proud to contribute to Egypt’s future national low-carbon hydrogen strategy, which is in line with the Bank’s commitment to mitigating climate change where it invests. The Bank has been a strong supporter of renewable energy development in Egypt, providing policy advice, technical assistance and financing. Our aim is to back the country in achieving another milestone.”

The assessment will provide guidelines for the country’s low-carbon hydrogen strategy, promoting the sustainable development of hydrogen as a decarbonised fuel for climate change mitigation, while ensuring cost effectiveness and identifying potential areas for investment.

Accelerating progress on achieving Egypt’s national development strategy, with the Sustainable Development Goals (SDGs) at its core, Minister of International Cooperation Rania A. Al-Mashat emphasised that the country was committed to transitioning to an inclusive and green economy. Egypt will host the COP27 climate conference towards the end of the year. “Utilising low-carbon hydrogen is a key step towards mitigating climate change as the country moves to using clean and renewable energy,” Minister Al-Mashat said.

Egypt is a founding member of the EBRD. Since the start of the Bank’s operations there in 2012, the EBRD has invested close to €8.6 billion in 144 projects across the country.

EBRD assesses low-carbon hydrogen in Egypt to enhance transition towards greener economy

Source: African Business Communities
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