The Government of Egypt has reportedly announced a collaborative effort with German energy behemoth, Siemens Energy, to build a robust green hydrogen sector in the country.
According to reports, Siemens Energy would work with the Egyptian Electricity Holding Company (EEHC), the state power group, on a pilot project. Evidently, the pilot project would deploy an electrolyzer with a capacity of up to 200MW in keeping with a long-term effort to leverage Egypt’s abundant renewable power resources to produce and export H2.
Siemens Energy reportedly said that the pilot project would help drive early technology deployment, develop a partner landscape, establish off-take relations, build and test regulatory environment and certification, and define logistic concepts. Further details pertaining to possible location and timeline of the project remain undisclosed.
For the uninitiated, Siemens has a long-standing history of activity in the nation and the industrial manufacturing expert, along with its offshoots Siemens Gamesa and Siemens Energy, has inked major deals pertaining to wind and fossil power generation in recent years.
Christian Bruch, CEO of Siemens Energy, after signing a memorandum of understanding (MoU) with EEHC, stated that green hydrogen possesses the ability to substantially decarbonize the industry and enhance economic diversity. Bruch further added that building a domestic hydrogen ecosystem and value chain in the country could potentially deliver a more prosperous and sustainable future for Egyptians.
Egypt has now become the latest country in the Middle East and North Africa (MENA) region to set out plans as a future hub for green hydrogen and target promising export marketplaces for the energy transition fuel in Asia and Europe, as per reliable sources.
Earlier, Saudi Arabia and Oman unveiled green hydrogen mega-projects, while in the United Arab Emirates, Siemens Energy has laid out plans to tap renewables for green aviation fuel generation, according to reports.
Like these countries, Egypt is seemingly equipped with the wind and solar resources required to slash renewable power costs. Lowering these costs would be crucial for making green hydrogen a strong contender against other H2 variants made from fossil fuels, reports claim.