Cairo – This week, Egypt and the United Arab Emirates signed memoranda of understanding (MoUs) for cooperation on green hydrogen. Egyptian Prime Minister Mostafa Madbouly participated in signing the agreements, which provide for collaboration in developing green hydrogen production plants in the Suez Canal Economic Zone (SCZONE) and on the coast of the Mediterranean Sea in Egypt.
One of the agreements was signed, on the Egyptian side, by the Suez Canal Authority (SCA), the Sovereign Fund of Egypt, the Egyptian Electricity Transmission Company (EETC), the Egyptian New and Renewable Energy Authority (NREA), and the Hassan Allam Utilities company (HA Utilities), and on the UAE, by energy company Masdar. The other was signed by all of these, except the SCA.
Masdar and Hassan Allam formed a strategic partnership to start green hydrogen production at established sites through the agreements. The project is expected to be implemented in various stages by 2030, with an annual production target of up to 480,000 tonnes of green hydrogen and a generation capacity of four gigawatts.
Egypt’s potential
On the initiative, the Egyptian prime minister said his country is working towards encouraging investments in green energy, given its potential to become a regional hub in the sector. He believes green energy could change the global framework, and the region needs to accelerate its transformation in the subject.
The Minister of Industry and Advanced Technology of the UAE and the country’s special representative for Climate Change, Sultan Ahmed Al Jaber, emphasized the UAE are always seeking to strengthen partnerships and fraternal ties with the sibling Arab Republic of Egypt. “We are pleased to carry out agreements leading in this direction, which focus on exploring opportunities for the production of green hydrogen,” said Jaber.
The Emirati minister said his country is considered one of the world’s leaders in building green hydrogen facilities. “Through the Masdar company, we will work to leverage our experience in this field and support the development of this ambitious project. We look forward to collaborating with our Egyptian partners to strengthen our capabilities in providing carbon-free and commercially viable solutions in the energy sector,” he said.
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The two countries are preparing to host the subsequent two editions of the United Nations Conference on Climate Change (COP), COP 27 in Egypt later this year, and COP 28 the following year in the UAE. “We look forward to cooperating with our partners to achieve progress in the energy transformation, bringing significant benefits to economic growth and climate action,” said Jaber.
Neutralizing emissions
Masdar CEO Mohamed Jameel Al Ramahi said the agreements could play an essential role in the two countries’ efforts to achieve carbon neutrality. He stated the cooperation with Hassan Allam could help the green hydrogen market reach its full potential.
Hassan Allam CEO Amr Allam said he hopes to partner with Masdar to tap into Egypt’s abundant sources of green energy. He said the project’s output could be used to supply ships in the Suez Canal and electrolyzer factories in the SCZONE and on the Mediterranean coast. He also said hydrogen would be supplied to local industries, and green ammonia would be produced for exports.
The two agreements are expected to strengthen the strategic partnership between Egypt and the UAE in clean and renewable energy and green hydrogen. The initiative aligns with the carbon emissions reduction plan, especially regarding the two countries’ preparations to host the COP 27 and COP 28 conferences.
Translated by Ahmed El Nagari & Elúsio Brasileiro
