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Home Home - Africa
hydrogen

Kenya Unveils Green Hydrogen Strategy

Anela DoksoBy Anela Dokso07/06/20243 Mins Read
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Kenya has unveiled an ambitious green hydrogen strategy, setting stringent carbon emission standards and laying out a roadmap for both domestic use and export.

The Energy and Petroleum Regulation Authority’s guidelines demand well-to-gate lifecycle greenhouse gas emissions of 1.0kgCO2/kgH2 or less for green hydrogen and 0.3kgCO2e/kgNH3 for green ammonia.

Kenya’s carbon emission guidelines for green hydrogen are among the strictest globally. By setting a threshold of 1.0kgCO2/kgH2, Kenya aims to ensure that its green hydrogen production remains environmentally sustainable. This ambitious target reflects a strong commitment to reducing greenhouse gas emissions but also presents significant challenges. Achieving such low emissions requires advanced technology and substantial investments in renewable energy infrastructure.

Kenya’s green hydrogen strategy is divided into two main phases. The first phase (2023–2027) focuses on stimulating domestic demand and initiating “catalytic commercial projects.” Key targets include replacing 20% of imported ammonia-based fertilizer and 100% of imported methanol with locally produced green hydrogen derivatives. This phase aims to establish a robust domestic market foundation, which is critical for scaling up production and achieving economies of scale.

The second phase (2028–2032) shifts focus towards regional and global export opportunities. The goal is to replace 50% of imported ammonia-based fertilizer and decarbonize power generation and transport sectors using green fuels. Additionally, this phase aims to explore export markets, potentially positioning Kenya as a significant player in the global green hydrogen economy.

Kenya’s green hydrogen strategy involves a coordinated effort across various government ministries and state agencies. The establishment of a green hydrogen programme coordination committee and a secretariat within the Ministry of Energy and Petroleum aims to streamline project approvals and fast-track implementation. This centralized approach is designed to overcome bureaucratic hurdles and ensure timely progress, but its effectiveness will depend on the actual execution and inter-agency collaboration.

A critical aspect of Kenya’s strategy is sourcing electricity for green hydrogen production from renewable energy. This electricity may come from captive renewable energy plants or through power purchase agreements (PPAs) with grid suppliers. The requirement for the grid source to be new and time-matched to electrolysis ensures that the hydrogen production process is truly green. However, the lack of clarity on the time-matching period raises questions about the practical implementation and monitoring of this requirement.

Kenya’s green hydrogen emission targets are commendable, but how do they stack up against global standards? The International Energy Agency (IEA) suggests that green hydrogen production typically results in emissions around 1.5-2.5kgCO2/kgH2, depending on the energy source and technology used. Kenya’s target of 1.0kgCO2/kgH2 is significantly lower, setting a high bar for domestic producers. While this positions Kenya as a potential leader in green hydrogen, it also poses substantial technological and economic challenges.

The successful implementation of Kenya’s green hydrogen strategy could yield significant economic and environmental benefits. Locally produced green hydrogen and its derivatives can reduce dependency on imports, stimulate local industries, and create jobs. Environmentally, replacing fossil-based hydrogen and ammonia with green alternatives will help reduce carbon emissions and combat climate change. However, the high initial costs and the need for technological innovation pose risks that must be carefully managed.

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