Africa’s green hydrogen sector is gathering pace, with over 52 large-scale projects now under development across the continent—positioning it as a critical geography in the global decarbonization effort.
From industrial feedstocks to clean fuels, Africa’s renewable hydrogen ambitions are now backed by increasing political will, regulatory reforms, and international investment.
In South Africa alone, President Cyril Ramaphosa announced this week that R1.49 billion (approx. $80 million) has been invested through the country’s Hydrogen South Africa (HySA) program. Speaking at a Cape Town energy event on June 12, the President reaffirmed hydrogen’s strategic importance as a catalyst for economic growth and emissions reductions, citing five flagship projects now underway. Among them, the HySHiFT project aims to produce 400,000 tons of sustainable aviation fuel annually—marking one of Africa’s most advanced decarbonization initiatives in the hard-to-abate aviation sector.
The continent’s technical potential is immense. According to Ramaphosa, Africa could generate between 30 to 60 million tons of green hydrogen per year by 2050, driven by its unparalleled access to solar and wind resources. If realized, this could translate into as many as four million new jobs, particularly across Africa Green Hydrogen Alliance member states: Egypt, Morocco, Mauritania, Namibia, and South Africa.
However, infrastructure remains a bottleneck. Recognizing this, South Africa is introducing targeted reforms to accelerate renewable-linked hydrogen production. Recent regulatory developments include new wheeling provisions—allowing independent power producers to sell electricity via the grid—and the establishment of an Independent Transmission Projects Office to coordinate grid investments.
These foundational steps are essential not just for hydrogen, but also for integrating variable renewable energy into South Africa’s constrained transmission network. According to energy analysts, green hydrogen projects will only be viable if clean electricity can be supplied at scale and at cost-competitive prices—something only possible with deep structural changes in power markets.
On the continental level, marquee projects such as the Coega Green Ammonia hub in South Africa, Mauritania’s AMAN mega-project, and Morocco’s Project Nour are progressing toward financial close. These initiatives are being buoyed by growing global demand for clean molecules, especially in sectors where direct electrification is infeasible—such as steel, fertilizers, and marine fuels.
Europe, and Germany in particular, is emerging as a key offtake partner. Through the H2Global mechanism, Germany has committed to signing long-term contracts for green hydrogen imports, offering price stability to early-stage projects. One of the four global green hydrogen tendering lots under this scheme has been allocated to Africa, reinforcing the continent’s role as a strategic supplier in Europe’s energy transition.
A Joint Declaration of Intent between Germany and several African governments further outlines cooperation on green steel and fertilizer production, signaling not just a trade relationship, but an attempt to foster localized value chains.
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