On October 8, 2024, Norway’s Scatec and Germany’s PtX signed a €30 million grant to support Egypt’s green hydrogen project, as announced by the Ministry of Planning, Economic Development, and International Cooperation. The agreement took place during the Hamburg Sustainability Conference and was attended by Minister Rania Al-Mashat. The funding is part of a larger initiative backed by the German Federal Ministry for Economic Cooperation and Development, which has allocated €270 million for Egypt and six other countries, including Brazil, India, and Kenya. This fund aims to support industrial projects along the green hydrogen value chain.
The project is set to enhance Egypt’s strategy in the Suez Canal Economic Zone and aims for climate neutrality in energy-intensive industries. It is expected to create 1,330 jobs and produce 70,000 tons of green ammonia, contributing to Egypt’s goal of reducing carbon emissions and promoting renewable energy sources.
Minister Al-Mashat emphasized the potential of Egypt’s energy sector to produce green hydrogen at competitive prices, targeting the lowest production cost globally by 2050 at $1.7 per kilogram. Egypt aims to capture 8% of the global hydrogen market and has initiated several partnerships, including strategic collaborations with the German government and the European Union.
This initiative aligns with Egypt’s broader ambitions to become a leading producer and exporter of green hydrogen, following the signing of seven memoranda of understanding with global developers worth $41 billion over the next decade. Egypt is also working on establishing the National Council for Green Hydrogen to boost green investment in the sector.
