African Union Summit Adopts Bold Strategies for Clean and Sustainable Energy and Transport Pathways
In a momentous week at the 38th African Union Summit, held from 12-16 February 2025, African leaders endorsed groundbreaking strategies aimed at advancing Africa’s integration, economic transformation, and climate resilience. The Summit was instrumental for the adoption of ambitious strategies in the Infrastructure and Energy sectors that will shape the continent’s sustainable future.
The strategies, which had previously been approved by Transport and Energy ministers in December 2024, were centred around sustainable aviation fuels, green hydrogen, energy efficiency, and climate-smart infrastructure.
On Sunday, 16 February 2026, during a comprehensive briefing to local and international journalists, the African Union outgoing Commissioner for Infrastructure and Energy, H.E. Dr. Amani Abou Zeid underscored the pivotal achievements and strategic initiatives of the African Union in the realm of infrastructure, energy, and digitalization.
The Continental Strategy for Sustainable Aviation Fuels (SAF) and Low Carbon Aviation Fuels (LCAF) adopted at the Summit supports Africa’s objectives to reduce carbon emissions in the aviation sector while supporting the growth of the African aviation sector.
Africa is projected to experience a 4% annual growth in air traffic from 2018 to 2050, the SAF strategy will facilitate the creation of a SAF industry, offering significant economic benefits and job creation. Studies estimate that the Sustainable Aviation Fuels industry could generate between 11 to 20 million jobs and have a production potential of 70 to 261 million tons of SAF.
The African Green Hydrogen Strategy was also adopted, marking a critical step toward leveraging green hydrogen as a clean energy source across the continent. The strategy aims to position Africa as a leader in the global green hydrogen economy, reducing dependency on traditional energy sources and promoting energy security. Green Hydrogen presents Africa with immense potential to foster sustainable development.
The African Green Hydrogen Strategy sets the stage for the continent to actively engage in the green hydrogen market, ensuring that African nations benefit from the financial and technical advancements in this area. Several African countries, including Namibia, Egypt, Kenya, Morocco, Mauritania, and South Africa, are already leading the way with initiatives and projects related to Green Hydrogen production.
Another key milestone for the African Union’s energy agenda, the African Energy Efficiency Strategy and Action Plan (AfEES) was also officially adopted at the summit. AfEES sets a high-level target of increasing Africa’s energy productivity by 50% by 2050 and 70% by 2063 aiming to enhance energy efficiency across sectors such as power, transport, industry, buildings, and agriculture.
In line with Africa’s commitment to sustainable development, the Continental Policy on Climate Resilient and Smart Infrastructure was also adopted. The framework encourages the use of nature-based solutions, low-carbon technologies, and smart planning to enhance resilience and reduce greenhouse gas emissions. African countries will now tailor these principles to meet their unique national needs while fostering inclusive and climate-smart infrastructure development.
The just concluded summit also saw the adoption of the revised Abuja Safety Targets (ASTs) to improve aviation safety across Africa. These updated targets, aimed at improving air navigation and aviation safety, align with global best practices and ensure that African nations meet the evolving standards of the International Civil Aviation Organization (ICAO). Th will enhance the safety and efficiency of air transport systems across the continent supporting the growth of the aviation sector.
According to Commissioner Dr Abou-Zeid, the strategies adopted during the 38th African Union Summit represent a turning point for Africa’s energy and infrastructure sectors. From Sustainable Aviation Fuels to Green Hydrogen and energy efficiency, each of these initiatives is pivotal in achieving our climate goals, energy security, and economic growth.”
Dr. Abou-Zeid also highlighted the role of digitalization in driving Africa’s climate-smart and resilient infrastructure development. She explained how digital technologies, such as smart grids and data-driven planning, will be leveraged to optimize energy use, enhance sustainability, and improve service delivery across the continent. Digitalization is not just an enabler, but a fundamental aspect of our infrastructure transformation. By integrating smart technologies and ai into transport, energy, water, and ICT sectors, we can unlock new opportunities for innovation, efficiency, and inclusive development,” she added.
With the adoption of these critical strategies, African leaders have paved the way for a harmonized and sustainable energy path across the continent. The strategies not only address climate change but also create the foundation for future economic growth, job creation, and regional cooperation.
ACWA Power building hydrogen bridge between Europe and Middle East, North Africa
In an exclusive interview with pv magazine, ACWA Power CEO Marco Arcelli said the Saudi energy giant is currently exploring opportunities to build a hydrogen corridor between Europe and the Middle East and North Africa. He spoke about the company’s current 2 GW hydrogen project in Neom and presented the company’s plans for renewable energy and desalination.
If the European Union wants to reach its climate targets, it needs to build a bridge with Saudi Arabia,” Marco Arcelli, ACWA Power’s Chief Executive Officer, said in an exclusive interview with pv magazine.
“I was skeptical about green molecules when I was working in Europe, but when I moved to Saudi Arabia, I saw that you have all the ingredients at scale and a lower cost,” the Italian CEO said, speaking about the country’s “three times the sun”, solid wind and water conditions, together with its high credit rating.
Arcelli argued that Europe shouldn’t focus simply on a gas-to-gas switch but access the most affordable energy supply sources to secure and retain industrial production in the continent, including green hydrogen, the price of which will not follow the same oscillation patterns of geopolitics-sensitive gas. The price of green hydrogen would indeed remain pretty much stable.
According to Arcelli’s forecasts, Europe will use a combination of locally produced and imported hydrogen in the future. He underlined that the Neom project has a 2,000 MW electrolysis capacity, adding that hydrogen production should start at the end of 2026. The Neom project is 65-70% complete, said Arcelli.
“It is 100 times bigger than the biggest plant in operation in Europe,” he said, underlining the country’s plans. “We will soon have roughly 30 GWof renewable projects under construction in the Kingdom, and the vast majority of that is solar,” Arcelli added.
Europe’s scarcity of land for renewable developments and its need for a secure power supply are other reasons Arcelli listed as to why Europe should open itself up to working with Saudi developers. At around 300 sq km, the Neom project would be difficult to situate in Europe, he pointed out.
He explained that the company’s strategy in the African continent also hinges on collaboration with Italy.
Linking low-cost hydrogen produced in North Africa and the Gulf region to Europe represents a lucrative opportunity for all concerned, said Arcelli. ACWA Power is involved in several ongoing deals with various off-takers as part of the South H2 Corridor. When it is completed in 2030, the 3,300 km corridor will enable North Africa to export hydrogen to cities and towns in Italy, Austria and Germany.
ACWA Power has ongoing agreements in North Africa to explore the potential of exporting its North African hydrogen production capacity. But with Neom nearing completion, Arcelli said the company is now focusing on linking its Saudi-based hydrogen capacity to European markets.
In the weeks preceding pv magazine‘s conversation with Arcelli, ACWA Power signed two big memorandum of understanding (MoU) deals with a view to linking its hydrogen production in the Gulf region to European markets.
First up, the company’s MoU with European natural gas company Snam will explore the establishment of a supply chain of green hydrogen to Europe from Saudi Arabia through the South H2 Corridor. Italy-based Snam is one of the main transmission system operators (TSOs) involved in the development of the corridor.
In September 2023, the Saudi-listed company signed strategic agreements with six Italian partners at the Saudi-Italian Investment Forum in Milan, held on September 4th, to bolster cooperation, especially in research and development.
Shortly after the latest Snam deal, ACWA Power signed a MoU with German company Securing Energy for Europe (SEFE) with a view to producing and supplying green hydrogen to Europe. The deal will see the two parties establish a hydrogen bridge between Saudi Arabia and Germany, with an initial target of supplying 200,000 tonnes of green hydrogen annually by 2030. ACWA Power will act as the lead developer, investor and operator of green hydrogen and green ammonia production assets. SEFE will be the main off-taker, as well as co-investor.
“The final details are still being ironed out between the parties,” Arcelli said. “There is a little bit of adifference between the two. The Germanagreement was targeted, focused on the supply ofenergy to Germany; the ones with Italy alsoincluded some additional aspects for Africa, where Ithink that together, the two countries can play andleverage each other to ensure that we can deliveraffordable and secure water and energy to localpopulations.”
ACWA’s geographic diversification
ACWA Power’s main solar PV plants include the Red Sea Global project, which combines 340 MWac of PV with 1,200 MWh of battery energy storage, as well as the 300 MW Sakaka project, and the 1,500 MW Sudair project. All three are in Saudi Arabia.
Arcelli anticipates that the company will also continue to expand into other markets. At the beginning of 2025, it entered China with 1 GW, and it has opened a new research center in Shanghai where it is testing equipment with local suppliers.
Additionally, it has “a big pipeline in Central Asia, particularly Uzbekistan,” said Arcelli. “We have projects under construction in Azerbaijan, and throughout the area. I think that Central Asia could be another area where we could invest something like $15 billion altogether in the coming years.”
Altogether, ACWA Power is active in 14 countries and its portfolio comprises 99 projects in operation, advanced development, or under construction with an investment value of SAR 381 billion (USD 101.6 billion) and the capacity to generate 73.8 GW of power and manage 9.5 million m3/day of desalinated water per day.
ACWA Power is also maintaining its focus on Indonesia and some African markets, in particular its established “four main countries, Egypt, Morocco, Senegal and South Africa.” Arcelli estimated that the company is the largest investor across the four nations, with “over $7 billion already invested”.
Desalination
According to Arcelli, ACWA Power has the technological edge in desalination. “The industry is rather established in the Gulf,” he said. “We are now finalizing contracts for new plants in Azerbaijan, China and Senegal”.
He estimates that the “original footprint” of production in the Gulf already supplies around 25% to 30% of the population in Saudi Arabia, the Emirates, Oman and Bahrain – key desalination markets.
In mid-February, ACWA Power announced it signed a share purchase agreement with the regional subsidiary of French utility developer Engie, to acquire assets totaling $693 million in Kuwait and Bahrain. The assets comprise operating capacities of 4.61 GW of gas-fired power generation and 1.11 million m3/day of water desalination facilities, as well as stakes in the related operations and maintenance companies in both countries. Completion of the transaction is subject to customary regulatory and other stakeholder approvals.
“We consolidate our presence in Bahrain where we are already a reliable supplier of power and water, and we enter Kuwait, where we recently submitted a bid for a large power and desalination plant,” Arcelli said, commenting on the deal.
At the same time, given climate change, he expects new desalination markets, also in the Mediterranean.
South Africa Unveils Green Hydrogen Atlas To Map Future Energy Hotspots
The Department of Forestry, Fisheries and the Environment (DFFE), in collaboration with the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ), the Council for Scientific and Industrial Research (CSIR), and GFA Consulting Group, has unveiled two key environmental planning tools in Pretoria. These include the Environmental Impact Assessment (EIA) Guideline for green hydrogen projects and the South African Green Hydrogen Potential Atlas, an interactive geospatial tool mapping the country’s most suitable regions for green hydrogen development.
CSIR experts in environmental impact assessment played a pivotal role in creating these tools, which aim to ensure the responsible planning and sustainable growth of South Africa’s green hydrogen sector. Their development was funded by the H2.SA Programme, a GIZ initiative supporting the country’s transition to a green hydrogen economy.
Green hydrogen—produced using renewable energy—has the potential to replace fossil fuels in hard-to-abate industries such as cement and steel, as well as in mobility sectors including aviation, bulk road and rail transport, and marine shipping.
“As a freely available resource, the atlas can assist in identifying spatial prospects and constraints for green hydrogen development,” says CSIR senior researcher Luanita Snyman-van der Walt.
”The atlas provides significant value by offering an integrated environmental and techno-economic view of potential green hydrogen development opportunities. It aims to provide a point-of-departure to identify regions which could be further investigated for green hydrogen development feasibility. It is based on the best available data at the time, but to err on the side of caution, development decisions must be based on fine scale investigation, ground truthing, and stakeholder engagement.”
Titled “Managing the impacts of a Green Hydrogen / Power-to-X economy: an Environmental Impact Assessment Guideline for South Africa”, the instructional manual offers practical guidance for assessment practitioners, project developers, decision-makers and stakeholders involved in the planning and environmental authorisation processes for complex green hydrogen systems.
Green hydrogen atlas
The guideline provides an overview of what green hydrogen development entails, the associated policy and regulatory context, guidance on best practice EIA and useful tools for planning projects and assessing impacts.
The South African Green Hydrogen Potential Atlas is one such tool that aims to support the spatial planning of green hydrogen developments. It is the product of a multi-criteria analysis which considered spatially explicit key siting variables that represent environmental conditions and sensitivities, different uses and users of the environment, and the requirements for green hydrogen production.
The atlas showcases the potential for green hydrogen production aimed at export and domestic markets and additionally shows where enabling shared infrastructure could be leveraged to create a South Africa green hydrogen economy.
“Green hydrogen projects are novel and very complex. These tools are intended to assist industry, government, NGOs and other stakeholders in integrating the environmental and social planning of green hydrogen projects into existing legislation and decision making,” says Paul Lochner, the leader of the CSIR’s Environmental Management Services group.
It took the researchers from CSIR and GFA Consulting Group 24 months to develop the EIA guideline and the atlas, which are two outputs from an extensive body of work which also produced, inter alia, pre-feasibility guidance for green ammonia and methanol projects, a Life Cycle Assessment for green ammonia, and a comprehensive green hydrogen project developer’s guide.
The atlas can be accessed online at https://bit.ly/SAGH2atlas whilst the EIA Guideline is available at https://bit.ly/SAGH2eia.
South Africa’s abundant wind and solar energy resources, expansive land, port infrastructure, central geographical location on shipping lanes between markets in Europe and the east, and platinum group metal reserves could give it a competitive advantage in producing green hydrogen and other Power-to-X derivatives, contributing to decarbonising local and global economies.
Africa’s hydrogen horizon expands rapidly
Africa is poised to play a crucial role in the global green hydrogen market, with 41 projects projected for development in the next five years, according to a new report by the Energy Industries Council (EIC), a leading global trade association that provides data, insights, and events
However, the EIC warns that the hydrogen industry in Africa faces significant hurdles, such as securing offtake agreements, creating regulatory frameworks, and building reliable infrastructure.
The Africa OPEX Report 2025 highlights that North African nations, including Egypt, Algeria, and Morocco, are at the forefront, capitalizing on their abundant sunshine to drive green hydrogen production and export infrastructure investments.
Africa’s hydrogen potential
These countries’ strategic positions across the Mediterranean from Europe—where Germany, Austria, and Italy plan to repurpose 3,300 km of existing gas infrastructure—are set to facilitate the import of 4 million tonnes of green hydrogen annually. Egypt’s National Green Hydrogen Strategy, for example, aims to capture 8% of the global hydrogen market and produce 10 million tonnes of green hydrogen annually by 2050, much of which will be exported.
Neil Golding, EIC’s director of Market Intelligence, urged caution in viewing the sector’s growth. “While the longer-term outlook looks positive for the hydrogen sector, no commercial-scale project has yet reached a final investment decision,” he said. “Offtake agreements need to be signed, and demand created for the projects to be commercially viable. At the same time, we see the need for regulatory frameworks to be established and the development of robust infrastructure.”
He further emphasised, “What is clear is that North Africa is well placed to support Europe’s hydrogen ambitions and could become a potentially significant supplier of the molecule in the future. Financial support is also coming in the form of EU grants for some African countries, notably Namibia and South Africa, across the hydrogen value chain, which points to a positive outlook for the sector.”
The report, written by EIC analyst Aqilah Shahruddin, provides an extensive analysis of Africa’s energy landscape, covering renewable energy projects, carbon capture, energy storage, and traditional sectors like oil, gas, and thermal power.
Africa’s vast resources and low production costs make it an ideal location for scaling green hydrogen production, powered by renewable sources like solar and wind. The Africa Green Hydrogen Alliance, which was launched in 2022 and includes Egypt, Kenya, Mauritania, Morocco, Namibia, and South Africa, aims to position the continent as a global leader in the sector.
According to the report, 41 hydrogen projects are expected to begin development by 2030. Sub-Saharan Africa is also advancing in the green hydrogen space, with Namibia spearheading large-scale projects. Namibia’s US$10bn hydrogen initiative will generate 15,000 construction jobs and 3,000 permanent positions. To the north, Mauritania’s Aman and Nour projects are expected to generate 40 GW of power for hydrogen production.
Despite the enormous potential, the report highlights several challenges to unlocking Africa’s green hydrogen potential, including the need for major infrastructure investments—such as pipelines, ports, and export facilities—and clear policy frameworks and regulatory support to attract investment.
The report stresses that the high upfront costs of green hydrogen projects necessitate international cooperation and financing initiatives. Europe’s REPowerEU Plan, which seeks to reduce dependence on Russian gas and aims to import 10 million tonnes of green hydrogen annually from Africa, signals that efforts are already underway. However, the report underscores that additional targeted funding and collaboration will be essential to scaling up hydrogen production in Africa.
Rebecca Groundwater, EIC’s head of external affairs, remarked, “If anything, this report, like many others the EIC produces, is a clear case for supply chain companies to look around the globe for opportunities rather than limiting themselves to markets they’re traditionally active in. This requires, of course, getting out of the comfort zone and for governments to help businesses understand different international markets, and Africa is no exception to that.”
She continued, “But of course, for businesses in Europe and elsewhere to move to Africa, there needs to be the right regulatory and financing conditions that help propel Africa’s hydrogen and, indeed, cleantech potential. But capital isn’t ample in Africa, and hence the need for international collaboration to open new financing channels in the continent.”
The green hydrogen industry is closely linked to Africa’s broader renewable energy growth. The report notes that 61.1 GW of renewable energy capacity is currently operational across the continent, with substantial investments in solar and wind. South Africa leads in solar capacity with 59 operational solar farms, while North African countries like Egypt and Morocco are driving wind energy expansion, adding 9 GW of wind capacity to the grid by 2024.
https://africanreview.com/energy/africa-s-hydrogen-horizon-expands-rapidly
The road to a green hydrogen economy in Africa
In Africa, surging investments in renewables have dramatically slashed costs.
For instance, according to the International Renewable Energy Agency (IRENA), solar photovoltaic (PV) costs have plummeted by over 80% since 2010.
With expanding wind and solar capacity, green hydrogen is emerging as a game-changer—offering a cleaner alternative for high-intensity industries like steelmaking and shipping. European nations are scrambling for Africa’s green hydrogen, striking deals to tap into the continent’s vast wind and solar potential for export.
Currently, Africa has over 114 GW of green hydrogen projects in the pipeline across more than 52 sites, including Mauritania, Egypt, Angola, Morocco, and Djibouti.
Yet challenges loom. A 2023 IEA report highlighted concerns over financing and export feasibility, citing market uncertainties, a shortage of buyers, and rising production costs as key roadblocks.
To unpack the future of green hydrogen in Africa, we speak with Dr. Nicodemus Nyandiko, a leading expert in sustainable development and disaster management.
With over 20 years of experience, he has served on the Africa Science and Technology Advisory Group for DRR, co-founded the Climate Mobility Africa Research Network, and advises the Platform on Disaster Displacement.
In 2024, Dr. Nyandiko joined the Santiago Network, tasked with addressing climate-related loss and damage.
How do you view the role of green hydrogen in Africa’s energy future? What opportunities and challenges do you foresee in scaling production, ensuring local value creation, and integrating green hydrogen into existing energy systems?
Dr. Nyandiko:
Green hydrogen is rapidly emerging as a vital clean energy source that complements established renewables like hydro, wind, and solar. Its primary objective is to decarbonise hard-to-abate sectors, particularly those heavily reliant on coal and petroleum, thereby accelerating the global shift away from fossil fuels.
On the global stage, countries such as China, Germany, and Japan are at the forefront of green hydrogen innovation, leveraging advanced electrolysis technologies to efficiently split water into hydrogen and oxygen. These nations are actively integrating hydrogen into their energy mix, setting benchmarks for large-scale production and utilisation.
Green hydrogen is gaining serious traction across Africa, with Namibia, South Africa, and several North African nations leading the way. Namibia, in particular, has made impressive progress, building a strong green hydrogen infrastructure and positioning itself as a major player in the sector.
With Africa’s vast renewable resources and growing investor interest, the potential is huge, not just for cutting emissions but also for driving sustainable industries and boosting energy security across the continent.
Most of the investments in Africa are coming from European countries—especially Germany—and China. The idea is to produce green hydrogen in Africa and export it to Europe. From your perspective, how viable is this? Do you see large-scale production and export of green hydrogen from Africa to Europe becoming a reality?
Dr. Nyandiko:
These projects can only take off with the right investment and smart planning. There’s no question—Africa has massive potential, especially compared to countries like Germany and Japan.
With year-round sunshine, Africa is primed for green hydrogen production, unlike temperate regions with limited solar exposure. Plus, the continent has plenty of land for large-scale projects, something many other countries simply don’t have.
But potential alone isn’t enough. Turning this into a thriving industry—especially for export—will take strategic investments, strong policies, and clear regulations to keep everything on track.
What role do factors such as infrastructure, trade agreements, and policy frameworks play in ensuring Africa becomes a reliable supplier of green hydrogen to global markets?
Dr. Nyandiko:
Different factors are crucial. First, African policymakers need to truly grasp green hydrogen’s potential. Without that awareness, attracting investment and rolling out supportive policies becomes an uphill battle.
Looking at success stories from countries like Japan, Germany, and India can help. Their strategies offer valuable lessons—African leaders and technical experts should study and adapt them to fit local realities.
Building capacity is just as important. Governments need to train officials, and the private sector must take a more active role in green hydrogen projects. In developed economies, private companies lead the charge in renewable energy investments. In Africa, though, many projects are still government-driven. That has to change.
Then there’s research. Policymakers need to respect and act on scientific findings. Too often in Africa, research is overlooked. We saw this during COVID-19 when some leaders downplayed the crisis despite clear scientific warnings. That same mistake can’t happen with green hydrogen.
And finally, trade agreements will be key. As the industry takes off, African nations must negotiate deals that ensure they benefit from green hydrogen exports. The U.S.-Africa trade agreements under AGOA offer a solid reference point for structuring fair partnerships with major importers.
Given Africa’s vast renewable energy potential, what do you view to have been the biggest obstacles preventing large-scale production and export so far?
Dr. Nyandiko:
Infrastructure is one of the biggest challenges. Developing green hydrogen requires a sophisticated supply chain, including electrolysis plants, storage facilities, and specialised transport networks. Many African countries lack this infrastructure.
Financing is another major issue. Green hydrogen projects are capital-intensive, and African countries often struggle to secure long-term funding. Many international investors are hesitant due to perceived risks, regulatory uncertainty, and governance issues.
Additionally, there is a lack of coherent policies to support green hydrogen development. Countries need clear regulations, incentives, and frameworks to attract private sector participation.
Assuming Africa were to implement an effective green hydrogen strategy today, how do you envision the continent’s energy landscape in the next 10 to 20 years?
Dr. Nyandiko:
If Africa fully embraces green hydrogen, it could be a game-changer—cutting reliance on petroleum-based fuels and easing the strain of costly energy imports. Right now, many countries depend heavily on coal and oil, which not only drive up carbon emissions but also drain foreign reserves.
Think about it—some nations have even faced fuel shortages simply because their central banks didn’t have enough dollars to pay for imports. Switching to green hydrogen could bring much-needed stability, reducing dependence on fossil fuels, easing forex pressures, and fuelling economic growth.
And it’s not just about big-picture economics. Cheaper, more sustainable energy would open doors for small businesses and industries, creating jobs and improving livelihoods. In the long run, a green hydrogen shift wouldn’t just transform Africa’s energy sector—it would power up its entire industrial future.
What are the potential risks to the development of green hydrogen energy in Africa, particularly in the context of industrialisation?
Dr. Nyandiko:
Hydrogen is super explosive, which makes safety investments and public awareness absolutely crucial to preventing fires and accidents.
That said, green hydrogen is a massive opportunity for Africa’s industrial growth. Kenya has made strides—both in the private and public sectors—but many industries across the continent are still struggling. Take the sugar industry, for instance.
Africa has over 100 sugar factories, and many are weighed down by financial and energy challenges. Green hydrogen could be a game-changer, slashing energy costs and giving these factories much-needed relief.
And it doesn’t stop there. The fertiliser industry—critical for Africa’s food security—has long suffered from energy shortages and a lack of key ingredients. Since hydrogen is a key component in nitrogen-based fertilisers, tapping into green hydrogen could ramp up agricultural productivity, boost exports, and strengthen Africa’s economy.
But to make this work, we need a clear plan. The first step? Getting green hydrogen into industries that already exist. That could set off a ripple effect, driving adoption across other sectors and pushing Africa further into the green energy revolution.
— bird story agency
Dr. Nicodemus Nyandiko is a Senior Lecturer and Chair of the Department of Disaster Management and Sustainable Development at Masinde Muliro University of Science and Technology, Kenya. He holds an MSc and PhD in Disaster Management and Sustainable Development.