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Namibia, South Africa sign energy agreement

Namibia, South Africa sign energy agreement

Namibia and South Africa signed an agreement during the World Hydrogen Summit in May 2024 to explore the feasibility of creating a green hydrogen corridor.

This agreement signals the start of ambitious research to construct a cross-border green hydrogen pipeline, which has the potential to alter southern Africa’s energy environment.

On Friday, Minister of Mines and Energy Tom Alweendo announced that the project involves key entities such as Western Cape Tourism, Trade and Investment Promotion Agency (Wesgro), the Northern Cape Economic Development, Trade and Investment Promotion Agency (NCEDA), the Namibia Green Hydrogen Programme (NGH2P), Gasunie Waterstof Holding B.V., and Climate Fund Managers (CFM) NL B.V. The MoU is effective following a kick-off meeting on 9 July 2024 in Cape Town.

The study, with a budget of N$4.9 billion (250 000 Euro), will look into various aspects of the project encompassing technological, commercial, financial, legal, environmental, socio-economic and operational factors.

“The study will guarantee compliance with ESG (environmental, social and governance) requirements, and aims to foster a shared vision of a sustainable and interconnected energy future by combining the expertise of all involved parties.”

Alweendo said the initial focus will be on the pipeline portion connecting Lüderitz, Namibia and the Northern Cape, South Africa.

This first phase is critical for laying the groundwork for future expansions, which include extending the pipeline to the Western Cape of South Africa and the Erongo region of Namibia, a growing hub for green hydrogen projects.

“If successful, this pipeline could be the first intra-country hydrogen backbone in Africa, cementing the way for the trade of more complex products in southern Africa. This is a key step we are taking as we look to unleash the full potential of the Africa Continental Free Trade Area, and realise the ideals of Agenda 2063; the Africa We Want,” he said.

Green hydrogen commissioner James Mnyupe on his part said that as this bold project unfolds, it holds the promise of not only advancing green hydrogen technology, but also significantly contributing to the sustainable development and industrialisation of the region.

The successful realisation of this pipeline will mark a pivotal milestone in Africa’s journey towards a green and prosperous future, he said.-Nampa