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Kenya and EU Join Forces to Kickstart Green Hydrogen Revolution

By September 5, 2023 7   min read  (1240 words)

September 5, 2023 |

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During the Africa Climate Summit in Nairobi today, President of the European Commission Ursula von der Leyen and President of Kenya Ruto launched the Green Hydrogen Strategy and Roadmap for Kenya, with the support of Global Gateway, Europe’s investment strategy for the world.

The Roadmap, developed with EU experts, sets out Kenya’s ambitions to develop its green hydrogen industry from this year to 2032 and beyond. It focuses on domestic market development and growth, exports, and includes specific objectives related to emission reduction, job creation, and direct investments.

Under Global Gateway, the EU will commit almost €12 million in grants to leverage public and private investments in the Kenyan green hydrogen industry. Overall, Global Gateway invests €3.4 billion in climate and nature in Kenya– from developing its renewable energy industry to building sustainable agricultural value chains to climate resilience and protecting the environment.

President of the European Commission, Ursula von der Leyen, said: “Kenya is a key ally in the fight against climate change, as shown by the initiative to host the Africa Climate Summit on the road to COP28. Kenya’s ambitious target of 100% clean energy by 2030 is an inspiration for other countries. The Roadmap on Green hydrogen will support Kenya towards that goal. It will help cut emissions, support a strategic industry for the country’s future and boost its export capacity towards partners like the EU. It’s already a success story, powered by Global Gateway.”

President of the Republic of Kenya, William Ruto, said: “The Green Hydrogen strategy prioritizes economic expansion, generation of job opportunities, and the promotion of environmental stewardship and charts a course for Kenya to harness the potential of green hydrogen as a key driver of energy transition. Green hydrogen economy will enhance food security including expansion of green production of Kenyan tea, coffee, horticulture, floriculture and grains. It will also facilitate decarbonization of our industries and indeed the economy. Kenya thanks all its partners including European Union, Germany and EIB for continued partnership and collaboration and will enhance cooperation with all African countries.” 

Background

The Green Hydrogen Strategy and Roadmap

Through its updated Nationally Determined Contribution (NDC), Kenya’s ambition is to reduce greenhouse gas emissions by a third by 2030. Kenya was a first mover in green energy transition and has made significant advancements, with over 90% of its electricity derived from renewable resources.

The EU and Kenya’s partnership focuses on accelerating investments in clean energy infrastructure to make Kenya’s commitment to achieve a 100% renewable electricity system by 2030 come true.

This Green Hydrogen Strategy and Roadmap for Kenya has been developed under the EU Global Technical Assistance Facility for Sustainable Energy and the work has been steered and managed by the Ministry of Energy and key Kenyan stakeholders.

Thanks to Kenya’s strong innovation culture, stable business environment and commitment to sustainable development, many companies are already pursuing green hydrogen projects in Kenya. This Roadmap will give investors the certainty they need and set clear targets for the development of this industry.

By substituting hydrogen commodity imports like fertiliser or methanol with domestically produced green alternatives, Kenya will be able foster the emergence of new industrial processes, mitigate supply risks, and reduce the uncertainties linked to market price volatility.

Green hydrogen therefore presents a promising pathway to unlock opportunities for sustainable manufacturing and drive industrialization, while contributing to a higher food security in the country and the region.

Global Gateway climate investments in Africa and Kenya

Team Europe is the world’s biggest climate finance contributor providing at least a third of the world’s public climate finance. In 2021 alone, the EU and its Member States contributed more than €23 billion to international public climate finance. The €150 billion Global Gateway EU-Africa Investment Package aims to support Africa for a strong, inclusive, green and digital recovery and transformation.

In Kenya, Global Gateway invests in the green economy, the digital economy and green mobility.  For example, the EU is supporting the development and operationalisation of the Nairobi Clean Bus Rapid Transit Line 3 (BRT 3) as part of the strategic Northern Corridor boosting trade, jobs and prosperity in Kenya and the region. To this end, Team Europe and Kenya are investing up to €350 million. This operation will build the first dedicated electric bus line in East Africa.

Kenya is a key ally in the fight against climate change, as shown by the initiative to host the Africa Climate Summit on the road to COP28. Kenya’s ambitious target of 100% clean energy by 2030 is an inspiration for other countries. The Roadmap on Green hydrogen will support Kenya towards that goal. It will help cut emissions, support a strategic industry for the country’s future and boost its export capacity towards partners like the EU. It’s already a success story, powered by Global Gateway.

Ursula von der Leyen, President of the European Commission

 

The Green Hydrogen strategy prioritizes economic expansion, generation of job opportunities, and the promotion of environmental stewardship and charts a course for Kenya to harness the potential of green hydrogen as a key driver of energy transition. Green hydrogen economy will enhance food security including expansion of green production of Kenyan tea, coffee, horticulture, floriculture and grains. It will also facilitate decarbonization of our industries and indeed the economy. Kenya thanks all its partners including European Union, Germany and EIB for continued partnership and collaboration and will enhance cooperation with all African countries.

William Ruto, President of Kenya

 

Green hydrogen is the energy of the future. Africa has great potential to become the leading continent in the development of this green energy source. Our support to Kenya’s green transition is part of Global Gateway, a positive and sustainable investment strategy, which will mobilise €150 billion for Africa. By working together as partners, Africa and the EU will be able to make a real change and bring direct benefits to the citizens.

Jutta Urpilainen, Commissioner for International Partnerships

 

The Hydrogen Roadmap is an important step towards building a green and sustainable hydrogen sector in Kenya. Germany wants to continue to support Kenya along this innovative road. Green hydrogen is a building block within our Climate and Development Partnership. We want to improve the framework conditions for the production of green hydrogen together and promote the production of fertiliser based on green hydrogen. Green fertiliser that is produced in Kenya can contribute to achieving sustainable food security for the people in Kenya. Germany will support this promising project with a loan of €60 million. As an additional highlight, we will soon open a Hydrogen Diplomacy Office in Nairobi to intensify our dialogue and collaboration.

Parliamentary State Secretary to the German Federal Minister for Economic Cooperation and Development, Dr. Baerbel Kofler

 

The European Investment Bank welcomes Kenya’s adoption of the visionary green hydrogen roadmap that will further strengthen Kenya’s role as a world leader in clean energy. This represents a milestone for further developing renewable energy in Africa and enhance access to affordable energy essential for industrial growth, economic development and social progress. As a leading financier of renewable energy across Africa and around the world the European Investment Bank stands ready to strengthen technical and financial cooperation with Kenya, Team Europe and international partners to enable Kenya to fully harness its geothermal, solar and wind resources to deliver the full potential of green hydrogen.

Vice-President of the European Investment Bank, Thomas Östros

 

 

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