By: Mupiri Mathias
Windhoek, June 8 – A feasibility and implementation agreement (FIA) between the Namibian government and Hyphen Hydrogen Energy has been authorized. The FIA calls for the development, construction, and operation of a fully integrated green hydrogen project, with a 3GW electrolyzer fuelled by 7GW of wind and solar electricity.
The project, which is said to be the biggest in sub-Saharan Africa, will serve as the starting point for putting Namibia’s plan to create a nationwide green hydrogen economy into action.
From around 7GW of renewable generating capacity and 3GW of electrolyzer capacity, the project should be able to produce 2Mt of green ammonia annually for regional and international markets by 2030.
The facility will cost a total of $10 billion, or about as much as the nation’s yearly GDP. The project aims to make Namibia the world’s largest exporter of low-carbon energy, operate as a catalyst for energy independence, and decarbonize the whole nation’s electrical infrastructure.
A partnership between Nicholas Holdings Limited, located in the UK, and Enertrag, a firm headquartered in Germany, Hyphen Hydrogen Energy is a green hydrogen development company licensed in Namibia.
The preliminary phase, which is anticipated to last for six months according to the FIA, would provide the Namibian government the opportunity for exercising its option to buy up to a 24% interest in the project.
A 120-day governmental evaluation phase will follow a two-year Hyphen-led feasibility phase. Hyphen will get funding for the project, build it, and ultimately be in charge of running, maintaining, and eventually decommissioning it.
Three “hydrogen valleys,” which were highlighted in Namibia’s green hydrogen plan, have been requested by the Environmental Investment Fund (EIF) of Namibia to submit technical and financial ideas for feasibility studies.
The locations may be found in the areas of Karas, Erongo, Khomas, Otjozondjupa, and Kunene.
In contrast to the other regions in the country’s center, Karas in the north and Kunene in the south are stated to be “enriched with a world-class blend of wind and solar renewable power resources” as well as are equipped with road, rail, and port facilities.