North African country, Egypt, has resumed discussion with India-based renewable energy company, ReNew Energy, to develop a $8 billion green hydrogen project in the Suez Canal Economic Zone.
This is contained in a press statement by the African Energy Chamber on Wednesday, obtained by Energy in Africa.
The project, aiming to produce 220,000 tons of green hydrogen annually upon completion, is poised to establish Egypt as a regional clean energy hub.
This represents a concerted effort by Indian companies to position themselves as key players in Africa’s energy transition to renewable sources.
India-Africa renewable energy investment
The Indian government is also funding the push to replicate its Solar electrification success in African nations. This is demonstrated in the $25 million funding package for the International Solar Alliance.
“The International Solar Alliance’s (ISA) Global Solar Facility – which aims to provide clean energy access to 200 million Africans by 2030 – recently received a $25 million funding boost from the Indian government”, the statement reads.
The ISA currently has 30 solar power projects currently under development across the African continent.
Indian financial institutions are stepping up support for Africa’s renewable energy infrastructure. In December 2024, the Africa Finance Corporation (AFC) secured a $300 million syndicated loan from a consortium of Indian banks to fund renewable energy projects and broader infrastructure development across the continent.
As India looks to diversify its energy sources and secure long-term supply chains, Africa presents a strategic opportunity to deepen its energy partnerships and expand its footprint in the global energy market.
Green hydrogen development in Africa
Meanwhile, ReNew Energy is not the only Indian company looking to invest in Egypt’s green hydrogen potential.
Last month, the Egyptian Ministry of Investment and Foreign Trade said India-based power transmission infrastructure company, Sterlite Power, proposed a plan to establish a dedicated electricity grid for green hydrogen projects in Egypt.
In the same month, Egypt’s Arab neighbour, Morocco, approved six green hydrogen projects, which together are valued at $31.9 billion.
The newly approved projects build on two earlier agreements signed in October 2024 between Morocco and France. The agreements were witnessed by King Mohammed VI and French President Emmanuel Macron.
As part of that deal, France’s TotalEnergies partnered with the Moroccan government to develop green hydrogen.
