In order to do this, the German Government has commissioned its development agency, Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ), to represent Germany in this agreement.

With the German ministry providing €12.5m ($14.25m) in funding to support development of the hydrogen economy in South Africa, the project will aim to achieve several key aspects of the ecosystem in the African nation.

Read more: South Africa: Green hydrogen policy – a rapidly growing timeline of important developments
Read more: Sasol leads South African hydrogen hub project

According to Minister in the Presidency Mondli Gungubele, the project will aim to develop favourable strategic and regulatory framework for a green hydrogen economy in the nation and coordinate important contributions of different government departments and stakeholders for the framework.

In addition to this, the project will enable relevant actors to build a green hydrogen export economy, enhance capacity and knowledge of South African stakeholders in the green hydrogen and Powerfuels sector, and mitigate potential implications of a green hydrogen and Powerfuels economy on the environment, society, and the economy.

The Investment and Infrastructure Office in the South African Presidency has also pledged its support to a project by energy giant Sasol and the German government supported H2Global initiative to produce sustainable aviation fuel to the international community.

Gungubele said, “The German government through its H2Global initiative has created a sustainable aviation fuel market trading platform which is intended to provide funding to green hydrogen products globally.

“South Africa has the potential to become a global sustainable aviation fuel (SAF) hub due to our renewable endowment and Fisher-Tropsch technology capabilities. Sasol is working with a number of local and international partners on a pioneering sustainable aviation fuel project at the Sasol Secunda facility.”