Shortly before the opening, German, European and Namibian flags are hurriedly brought into the conference center in Windhoek, while an African drummer group gets the visitors in the mood. More than 700 delegates from around the world are expected at the first African Hydrogen Summit, which officially opened in the Namibian capital on Wednesday. Green hydrogen has been the big buzzword in the African country since European and Asian countries have been looking for solutions for more climate-friendly industries and the late Namibian President Hage Geingob was very committed to promoting the development of a hydrogen economy in his country. Now European and Asian countries in particular are pressing ahead on the pace. Ahead of the conference, the EU announced the signing of several programs to support the transition to clean energy and new industries in the southern African nation of three million people. In recent months, however, there has been a lot of criticism against the plans. Many Namibians speak of a “hype” because they are unclear about whether and how they will benefit from it. Green hydrogen, which is obtained through the use of renewable energies, has the potential to become a “game changer,” she said EU Energy Commissioner Kadri Simson at the conference. The development is pointing in the right direction. “It is a great opportunity to combat climate change and at the same time create jobs in Namibia.” The Parliamentary State Secretary in the German Ministry of Economic Affairs, Michael Kellner, announced that he would support the Namibian government beyond the previous pilot projects. “The ultimate goal is to defeat fossil energy sources with the help of sun and wind.” At the conference it was emphasized several times that it was not just about exporting green hydrogen, but about building a processing industry in Namibia. It is a partnership for mutual benefit, said Kellner. Production “extremely cheap” In Namibia, green hydrogen can be produced “extremely cheaply” due to optimal conditions for the production of solar and wind energy, said Rainer Baake, special representative of the federal government for German- Namibian climate and energy cooperation, the F.A.Z. before the conference. At the moment you have to pay more for the “green” label than for the so-called gray hydrogen, which is produced from natural gas. “But that will change very quickly in Europe. We have no alternative but to switch to climate-friendly industries. If we want to maintain these important sectors of our industry, it makes economic sense to import these raw materials cheaply.” This applies, for example, to the ammonia industry, other areas of the chemical industry and the automobile industry. Europe, Japan and South Korea could only cover half of their green hydrogen needs from their own production and would therefore have to rely on various international suppliers. In the diamond restricted area: Location for the largest green hydrogen project in Namibia in the Tsau/Khaeb National Park.Claudia BröllThe Hyphen Consortium’s project, which is planned in the Tsau/Khaeb National Park, the so-called diamond restricted area near Lüderitz, is currently receiving the greatest attention. Total investments amounting to 10 billion dollars over two development phases are planned, which corresponds almost to the economic output of the entire country. Hyphen, in which the German renewable energy provider Enertrag has a stake, has announced the creation of 15,000 jobs in the construction phase and 3,000 permanent jobs. According to the current timetable, construction is scheduled to begin in January next year. The production of green hydrogen is scheduled to begin in 2029, which will be further processed into ammonia in Namibia and exported. Apart from huge solar and wind systems, an electrolyser, pipelines and an ammonia factory, almost the entire infrastructure such as roads, a new deep-water port and a seawater desalination plant must be created. A total of around ten projects are currently planned in Namibia by German companies or with the support of the federal government. The most advanced is the HyIron/Oshivela project, the first green iron plant in Africa, which has received a federal grant of 13 million euros. In a few days, the machine built in Germany for reducing iron ore is scheduled to arrive by ship in Walvis Bay. The planned start of production is at the end of the year. There is a lack of skilled workers for new economic sectors. In order to realize the projects, the Namibian government also has a responsibility to present itself as a stable location, said Baake. “The central problem of all projects is financing and capital costs.” In addition, international customers would have to conclude purchase contracts. “At the moment everyone knows that Europe will no longer be able to produce in a climate-damaging way in the future, but since gray hydrogen is cheaper, many are still waiting.”More on the topicIn Namibia, however, the critical voices cannot be ignored. An umbrella organization of environmental organizations is protesting against the location of the Hyphae Project, a national park with an extraordinary diversity of plants, because the diamond restricted area is still only accessible with special permits. The German government would never allow such a project in a national park, says association head Chris Brown. Can the hydrogen generated really be described as “green” if it could potentially cause great damage to Namibia’s biodiversity and national parks? The project should be stopped until extensive environmental assessments have been carried out. Hyphen emphasizes that great efforts are being made to keep the impact on the environment as minimal as possible. But some economists are also skeptical. Namibia’s economy is growing strongly, but only a small part of the population is benefiting from it, said Salomo Hei, chief economist at the Namibian analysis institute High Economic Intelligence (HEI), to the F.AZ. For technically highly developed new sectors of the economy, there was a lack of the right skilled workers, even for simple tasks. “We are going far beyond our capabilities here.” Flowers in the desert: The biodiversity in the area, which has been practically deserted for more than a hundred years, is extraordinary.Claudia BröllFor the government, the focus should be on inclusive economic growth in order to reduce poverty and high youth unemployment fight. “It’s about improving the living conditions of Namibians now and not in the distant future.” In economic policy, the government should promote sectors such as agriculture, trade or the development of basic infrastructure in order to create easily accessible jobs for the general population create. More than half of young people are unemployed. The vast and dry country is currently experiencing its worst drought in 100 years. The government wants to kill hundreds of wild animals soon to help starving and malnourished people. Government involvement in the hydrogen projects also poses risks, the economist added. For example, the state will have a 24 percent stake in the Hyphen project, with development banks likely providing loans at reduced interest rates. “It would be catastrophic if Namibia became heavily indebted and the projects were not realized in the end.” The pressure to advance the hydrogen economy is currently coming primarily from Europe. “Namibia has never attracted so much attention before. This is an opportunity, but we have to pay attention to sustainability and not rush forward too quickly.”
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