SA, Netherlands, Denmark launches $1bn green hydrogen fund
South Africa and the governments of the Netherlands and Denmark have launched a $1 billion green hydrogen fund in the country's decarbonisation efforts.
President Cyril Ramaphosa hosted the two prime ministers in Pretoria on Tuesday.
At COP 27 in November 2022, South Africa launched its new Just Energy Transition Investment Plan (JET IP) and announced a five-year investment plan for the USD 8.5 billion financing package.
Ramaphosa says both countries have shown great interest to become key trading partners in the green hydrogen economy.
"While enabling the country to meet its ambitious emission reduction goals, the Just Transition Investment Plan brings about many trade and investment opportunities in the green hydrogen and green energy sectors,” said Ramaphosa.
"For South Africa, it is important to develop green hydrogen projects that contribute to the export market while developing local economies. Such investments are particularly important as South Africa faces severe electricity shortages."
Netherlands committed to investing $1 billion for the establishment of SA-H2 Fund to mobilise green hydrogen investments.
While Copenhagen Infrastructure Partners and Mulilo Energy Holdings SA on their announcement to invest $200 million to set up a New Funds Market for investments in green energy infrastructure.
"We welcome the establishment of a Climate Smart Horticulture demo facility at Eskom’s Grootvlei power station, which will serve as a hub for agricultural production, packaging and distribution for the surrounding areas." he added.
"We also welcome the expansion of the Danish Energy Partnership Programme to build capacity in wind and electricity."
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