Esther Shakela
The term on everyone’s lips these days is green hydrogen. For Namibians, green hydrogen has fast become synonymous with reducing unemployment, improved economic prospects, enhanced socio-economic contexts and truly, the achievement of a nation that houses all; inclusivity for harmony.
Naturally, anything that promises transformative change is riddled with questions and scrutiny by some, while welcomed with open arms and without further enquiry for others.
“What exactly is green hydrogen?” “Why does Namibia have comparative advantage in the production of green hydrogen?” “Haibo! 24% equity stake? Who is Hyphen, anyway?” “How do we get involved?” “How do we link the production of green hydrogen to economic advancement? I think it is just a money-making scheme for the elite.”
These and more are some of the questions surrounding the development of the green hydrogen industry in Namibia. This short publication aims to tell you all you need to know about green hydrogen – what it is, why we are able to produce it, the steps we have taken to produce it, and why it is important for you to jump on board and get with the programme because it aims to ‘benefit’ you too.
What is green hydrogen?
Hydrogen is the most abundant chemical element on the planet; it is present in 75% of matter. However, we never find it alone, but in the company of other chemical elements such as oxygen, forming water or carbon- forming organic compounds.
Humanity has long used it as a raw material in the chemical industry or metallurgy and as a fuel. But because it cannot be taken directly from nature in its pure state, it needs to “manufacture” it. And it is the very method that we use to obtain hydrogen which determines whether that hydrogen is a clean, sustainable fuel or not.
When we talk about green hydrogen, we mean hydrogen that has been obtained without generating pollutant emissions: sustainable hydrogen. Green hydrogen is achieved through a process of electrolysis, powered by renewable energies such as wind or solar. Electrolysis involves using an electrical current to break down the water molecule into oxygen and hydrogen by electrodes. This is all the science stuff that has everyone confused. I know! I was never a fan of Chemistry and all related subjects in school either, but that is the technical explanation. The usual production of energy, including hydrogen, is harmful to the environment because it ‘throws out’ carbon dioxide, which is why the ozone layer is thinning [here, I cannot further explain because where were you in grade five?], which means we will soon have difficulty breathing, OMG! Green hydrogen is, in a nutshell, humanity’s likely-looking effort to saving the planet. Yay!
Why Namibia?
You know those extreme winds we experience, especially in August, that threaten to blow some people into relationships? I am sure you know that one which blows sand into our food during wedding receptions? You tog know! And that sun which defies sunscreen? It turns out both those elements are useful for something other than disturbing our lives – they are quite useful in the production of green hydrogen.
Namibia is like that parent who discovers their problematic child who chose a rap career over medicine is actually making millions of money, and can now contribute massively to the family welfare.
Our wind and solar are what makes Namibia a conducive environment for the production of Green Hydrogen, and is the beginning of sticking our tongues out at South Africa.
I’ll tell you why.
Why is green hydrogen important for Namibia?
In September 2020, during the United Nations General Assembly, President Hage Geingob said “As a way to facilitate the needed evolution of our economic structure, Namibia aims to develop a suite of innovative financial tools, including blue, green, transition bonds and international carbon credits. We support debt for climate swaps, and endeavour to create conditions for African research and development to allow locally relevant innovation to flourish.”
Two years later, Namibia is pioneering the development of green industries that are considerate of our limited fiscal position (this is a nice way of saying broke, by the way). Namibia is now a model for the development of green hydrogen, and there are companies and even governments which are willing to pay for the development of green hydrogen in the country which then results in the creation of employment, skills development, nice buildings which make us look nxa for more investments, and development of businesses so Tate Thomas can form part of the value chain and much more. It’s giving.. visionary leadership! Mbuae, what is the FIA and why are we being scammed?
The much spoken about FIA refers to the feasibility implementation agreement that the government of the Republic of Namibia signed with Hyphen. Remember, how I told you our wind and sun is actually useful? The accountants and others said we cannot just expect everyone else to believe that the wind can really blow sand into our food when we least expect it. We must show them how it can be done. Feasibility is a way of determining that Namibia can really do the things that make the green hydrogen to be done!
So, for the next two years, Hyphen will be check-alizing the situation to see whether the project can be done – Namibia is not paying for anything from its coffers at this point. However, we are benefiting from a socio-economic development framework that the government of Namibia launched just recently. Because us, we are tough negotiators, we told them that Namibians must benefit even while you are just checking. As for the 24%? I would need to write another publication. However, just briefly – 24% gives government an option to sit at the table and have a strengthened voice in making decisions that affect its citizens. It is rare for a government to have a stake this high in an exploratory asset. But our government chose to have this option to enhance their appreciation of this new budding industry which Namibia seems to be on the cutting edge of.
Whoever was speaking for us during those negotiations, neh? Gevaarlik! Let me end here. I know you will not want to read further, but if I am judging you wrongly and you would actually want to learn more, there are numerous resources you can use.
https://gh2.org/countries/namibia
https://hyphenafrica.com/
*Esther Shakela studied Public Management (Political Science) at the University of Namibia.