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The growth of the green hydrogen market in the MENA region

The green hydrogen market in the Middle East and North Africa (MENA) region is set for a major boost as governments and investors ramp up their commitments to this clean energy source. Green hydrogen, which is produced using renewable energy sources such as wind and solar power, is seen as a key component in the transition to a low-carbon economy.

In recent months, several countries in the MENA region have announced ambitious plans to invest in green hydrogen projects. In March 2021, the United Arab Emirates (UAE) unveiled its hydrogen strategy, which aims to produce 1,000 metric tons of green hydrogen per day by 2030. This would require an investment of $12.6 billion and could create up to 7,000 jobs in the country.

Similarly, Saudi Arabia, the world’s largest oil exporter, has set a target of producing 650 metric tons of green hydrogen per day by 2030. The country plans to use its ample supplies of solar and wind power to produce the hydrogen, which it hopes will eventually replace oil and gas as its main export.

Other countries in the region, including Morocco and Egypt, have also announced plans to develop green hydrogen projects. These projects are expected to create new jobs, boost economic growth, and help these countries meet their emissions reduction targets under the Paris Agreement.

The growth of the green hydrogen market in the MENA region is being driven by several factors, including the declining costs of renewable energy technologies, increasing demand for clean energy, and a growing focus on sustainability and climate change. In addition, several international partnerships and collaborations are helping to accelerate the development of green hydrogen projects in the region.

However, there are also some challenges that need to be addressed, including the lack of infrastructure for transporting and storing hydrogen, the high cost of producing and distributing green hydrogen, and the need for supportive government policies and regulations.

Despite these challenges, the growth of the green hydrogen market in the MENA region is a positive sign for the global transition to a low-carbon economy. With the right investments and policies in place, green hydrogen could play a major role in meeting the world’s energy needs in an environmentally sustainable way.