Enabling green hydrogen development: North Africa

The North Africa region (including Algeria, Egypt, Libya, Mauritania, Morocco and Tunisia) has the potential to produce competitive green hydrogen for decarbonising local industries – either directly, or indirectly through the use of green hydrogen-based commodities such as ammonia, methanol and green steel. This would create economic opportunities and high-quality jobs, and improve the trade balance of producer countries, thanks to foreign direct investment and import substitution.

Many challenges impede the deployment of a hydrogen economy in North Africa, including difficulties to finance local hydrogen projects, general uncertainties about off-taker markets (both locally and in export markets), the lack of an adequate skilled workforce to deliver project development and government support.

To leverage the opportunities for green hydrogen development, this report presents enabling measures, organised into four pillars, with illustrative examples from North African countries that are already undertaking their implementation. The four pillars are: 1) policies and regulations; 2) technologies and infrastructure; 3) markets, business and finance; and 4) supply chains, skills and community engagement.