PRETORIA, Sept 9 (Askume) – The European Union on Monday committed two grants worth about $35 million to South Africa to accelerate its green hydrogen plan.
Green hydrogen schemes use renewable energy to split water into hydrogen and oxygen, producing fuel that can be used in industries such as transport, petrochemicals and steel.
The first EU grant, worth R140 million ($7.8 million), is aimed at helping struggling South African state company Transnet cover the cost of infrastructure to support rail, ports, pipelines and other logistics.
Another grant of €25 million ($27.6 million) will help Africa’s most industrialized economy develop its green hydrogen value chain.
Green hydrogen is seen as crucial to decarbonisation efforts in South Africa and Europe.
European CountriesInvestments are being made in green hydrogen projects across Africa to secure future fuel supplies .
“These two EU grants will be implemented in a way that will contribute to South Africa’s strategic objectives,” EU Energy Commissioner Kadri Simson told reporters in South Africa’s administrative capital, Pretoria.
South Africa’s energy and electricity minister, Kgosientsho Ramokgopa, said: “We believe green hydrogen offers the country the best opportunity to truly industrialise.”
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