Minister of Mines and Energy Tom Alweendo says Namibia is on track to produce its first green hydrogen carbon molecules as early as 2026, with discussions between the government and Hyphen Hydrogen Energy underway.
This comes as the government is set to conclude contractual negotiations with Hyphen Hydrogen Energy, a company awarded the bid to develop green hydrogen projects in Namibia, and with an investment of N$194 billion (€9.7 billion) needed for major infrastructures to kick off.
At full capacity, the Hyphen project is expected to produce about 300,000 tonnes of green hydrogen per year for regional and global markets from 5GW of renewable generation capacity and 3GW electrolyser.
“We have gone out on the international RFP and last year we contracted with Hyphen, currently we are discussing how we are going to implement this. We have come a long way with this project and if all things go according to plan, we should be able to produce green hydrogen carbon molecules as early as 2026/2027,” said Alweendo.
He said Namibia is not only embracing hydrocarbons, but also renewable energy and over the last year and a half, the government has embarked upon this “ambitious” programme to develop green hydrogen.
“We did this to use natural resources that we have such as solar and wind and wide space that we need to develop these assets. I think what makes us proud is when people aim to reach net zero by 2030 to 2050, Namibia is most likely going to reach much faster as we will be producing green hydrogen needed by everyone else,” he noted.
He added that the hydrocarbons and fossil fuel the government aims to produce are “miniscule compared to what we want and we will probably be the first country to reach net zero.”
The Minister stated that production will not only be for export to the West, but also for local use in sectors such as agriculture and in Africa.
“One of the reasons Africa has been for the longest time a continent with all mineral resources without local benefit is because all resources were mined and exported without local utilisation.
“It is high time to think about how to utilise these resources and make sure of this before exportation. Our ambition is not only to export, but also to make sure this resource is actually used not only in the country in sectors like agriculture but also in the region,” he said.
Meanwhile, Alweendo further noted that Namibia and many other countries in Africa face a significant energy deficit, which limits economic growth and negatively affects the living standards of the citizens.
To address this issue, he emphasised it is vital to make use of all available energy resources, including renewable and non-renewable sources, to improve the livelihoods of people.
“Namibia’s green hydrogen ambitions is an example of this. In our energy basket, we aim for oil, gas, renewables, and other sources to be able to feature. This also warrants us to look at new and mixed forms of financing. Perhaps siding with the school of thought that thinks “Sustainable Financing” must include fossil fuels produced sustainably,” he added.
Alweendo said this means there is a place for renewable technology in the system.
“It means we need to, rather, re-ask the questions and find the most realistic way in which we fit the current level of technology, into the current energy demand structure, whilst balancing the people, the economy, and the planet,” he said.
