UNIDO | Assessment of low carbon hydrogen production, demand, business models and value chain in Egypt

Assessment of low carbon hydrogen production, demand, business models and value chain in Egypt

Its unique geographic location, and being the second largest signatory of multilateral trade agreements in the world, Egypt connects investors with both established and emerging markets.

The country is well positioned to play a functional role in the hydrogen economy. The country’s location coupled with the abundance of renewable energy resources, natural gas infrastructure and associated skills, is combined with sectoral enabling policies, strategies for water desalination and industrial know-how in hydrogen and ammonia production and related exports.

sectoral training

All the above places Egypt in a unique position to develop a front-leading hydrogen economy, both for Egypt and potential neighboring markets. Natural energy resources The Egyptian energy sector is a key driver for the socioeconomic development of Egypt, representing around 13.1% of current GDP and thus making economic growth in the country contingent upon the security and stability of energy supply. Since 2007, Egypt has experienced an energy supply deficit due to the rapid increase in energy consumption and the depletion of domestic oil and gas resources, shifting its position from a net hydrocarbon exporter to a net importer for the last three decades.

This has brought a set of challenges to the energy sector, including electricity shortages. In response, the Government of Egypt has taken bold steps to adopt an energy diversification strategy with increased development of renewable energy and implementation of energy efficiency measures, including rehabilitation and maintenance programs in the power sector.

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