Page 13 - AfrElec Week 49 2022

AfrElec HYDROGEN AfrElec

Germany reportedly

considering €10bn investment

into Namibia green hydrogen

NAMIBIA GERMANY is considering providing aid for a German energy giant RWE is currently
€10bn ($10.5bn) hydrogen project in Namibia, building a second domestic ammonia terminal
Bloomberg reports, citing sources familiar with and, as reported by bne IntelliNews, earlier this
the matter. week signed a memorandum with Hyphen that
KfW, the German state-backed development could see it offtake up to 300,000 tonnes a year
bank, is in talks with the Namibian government of green ammonia, which is particularly suitable
and German-South African consortium Hyphen for transport by ship.
Hydrogen Energy about a possible state guaran- “We have a great demand for green ammonia
tee or loan, said the sources, who asked not to be in Germany,” Habeck was quoted as saying.
named as the discussions are private. According to Rainer Baake, a special Ger-
German Economy Minister Robert Habeck man government envoy for German-Namibian
hinted at financial support for the project during climate and energy cooperation, the hydrogen
a visit to Windhoek on Monday (December 5), plant could produce up to 20 terawatt-hours
according to the media agency, saying the invest- (TWh) of energy.
ment sum of around €10bn “almost equals the A quarter of this amount would be enough
annual gross national product of Namibia”. to cover Namibia’s current power demand of
The project will be located near the old colo- about 5TWh. Namibia could therefore be the
nial port town of Luderitz on Namibia’s Skeleton first carbon-neutral country on the African con-
Coast of the Atlantic Ocean. It will use the coun- tinent and become independent of electricity
try’s abundant solar and wind power to produce imports from neighbouring South Africa, says
green hydrogen, which would then be turned Bloomberg.
into ammonia and shipped to Germany. Ammonia is among the most common basic
After a shortfall of Russian pipeline gas materials in the chemical industry. More than
following Russia’s invasion of Ukraine in late 180mn tonnes a year is produced globally and
February, countries in Europe and particu- processed into fertilisers or used in chemical
larly Germany are rushing to secure alternative processes, among other applications.™
sources of energy from across the globe, writes
Bloomberg.

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