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Africa’s hydrogen frontier grows with new German-backed initiative

The southern African nation of Mozambique has become the latest entrant in the continent’s green hydrogen race after signing a financing agreement with Germany to support an indigenous sector. Under the deal, Berlin will provide an initial $540,000 to fund market studies for green hydrogen initiatives and potential investment opportunities.

  • Though late to the party, Mozambique boasts abundant renewable resources, including hydropower, solar and wind, providing the useful conditions for competitive green hydrogen production.

  • While the feasibility study is a big first step, the country faces challenges such as political instability, unclear policies, inadequate regulatory frameworks and financing gaps.

  • Our take: Mozambique’s entry into the green hydrogen race signals Africa’s expanding role in the global energy transition but the country still has far to go.… Read more (2 min)

Countries at the northern end of the continent secured the lion’s share of green hydrogen funding commitments in March, receiving 91.2% of the total, or $55.5 billion, out of $60.8 billion across Africa, driven by large-scale project announcements. Southern Africa secured 8.6%, amounting to $5.2 billion, while northwest Africa received the remaining 0.1%, totaling $82.5 million.

  • Morocco secured the largest share of funding at $32.5 billion, making up 53.5% of the total, followed by Egypt with $23 billion (37.8%). Mozambique, with the smallest funding of $540,000, marks a significant step forward as a new entrant in Africa’s hydrogen sector.

  • In terms of the number of deals, southern Africa and North Africa got three each, while northwest Africa took one, in a distribution that also included Namibia and Mauritania.

  • Our take: North Africa’s dominance in green hydrogen funding highlights its geographic position close to global markets.… Read more (2 min)

African nations have developed a continental green hydrogen strategy aimed at guiding the region’s participation in the global energy transition. At the same time, countries such as South Africa are introducing tailored national policies and frameworks to attract investment, stimulate innovation and advance their specific ambitions within the emerging green hydrogen economy.

  • With vast renewable resources, Africa’s unified strategy allows the continent to pool its collective bargaining power, ensuring better access to international markets, investments and partnerships. 

  • While the continental strategy is essential, individual countries must develop tailored national policies that will address unique energy landscapes, infrastructure needs and economic priorities.

  • Our take: The continental strategy marks a decisive moment for the continent’s future, but success hinges on effective regional cooperation ..Read more (2 min)

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Participants at the German Training Week on Green Hydrogen in Nairobi engage in a discussion.

Events

🗓️ Participate in the launch of two green hydrogen  studies in South Africa (April 3)

🗓️ Be part of the 2nd Southern African Hydrogen and Fuel Cell Conference (April 7)

🗓️ Register for African Green and Natural Hydrogen Conference in Ethiopia (April 8)

🗓️ Attend the Global African Hydrogen Summit (GAH2S) in Namibia (September 9)

Jobs

👷🏻‍♂️ Work at GIZ as a Senior Technical Advisor - EP Secretariat (South Africa)

👨🏻‍💼 Serve as a Senior Environmental Assessment Practitioner (South Africa)

👷 Become a National Program Officer, Anticipatory Action at WFP (Chad)

Various 

🌳 Namibia launches Eco Dialogue Collective to promote green economy transparency

🤝 Suiso and CGS partner to research South Africa’s green hydrogen opportunities

💰 Green hydrogen sector in Mauritania to benefit from World Bank funding

Seen on LinkedIn 

Kelvin Mbugua, a green hydrogen finance and advisory expert says, “The African green hydrogen opportunity is real, but unlocking its full potential requires bankable projects, smart policy frameworks and strategic partnerships. As we move from concept to execution, the focus must be on de-risking investments, scaling infrastructure and ensuring local value creation—not just for exports but for Africa’s energy security and industrial growth.”____________________