Strategy and targets
South Africa needs a Hydrogen Strategy - nationally coordinated with actions plans and clear targets.
Green Hydrogen
The hydrogen portion of this project will be done under a SPV between SGH2 Energy and Caelum Consortium. SGH2 Energy Global, LLC (SGH2) is a Solena Group global renewable energy company with the mission to develop and build sustainable distributed Bio-Energy plants worldwide. SGH2's technology converts Municipal and Agriculture waste into a bio syngas which is used to produce green hydrogen.
The proposed RH2 production facility to be constructed in Gauteng will convert 42,000 tons per year of the biogenic fraction of pre-landfilled waste, agricultural biomass and recycled tyres to produce an estimated 3,850 tons of RH2 per year (equivalent to 3,435,711 gallons of DGE per year) to supply South African refineries as well as the export market, which is a growing demand.
Caelum has a Joint Development agreement with SG H2 Energy who will contribute 70% of the funding via USA funding with guarantees from large insurance institutions based in Germany. Caelum financial services have applied at a Global / Overseas Hydrogen Fund for concessional finance for the remaining 30%.
South Africa needs a Hydrogen Strategy - nationally coordinated with actions plans and clear targets.
Regulatory consistency and coordinated project approvals to activate the market and assist early projects is required.
Promote infrastructure developments via PPPs and collaboration among actors to capture local and export market infrastructure synergies.
Maximise value creation across hydrogen value chain through local and international partnerships.
Facilitate access to affordable finance by attracting FDI and international development institutions.
Create partnerships and joint ventures to share knowledge and expertise while diversifying investment risk.
Promote research and innovation projects on hydrogen technologies nationally and with international partners.
Develop programmes for hydrogen-related education and training focusing on new skills required for anticipated job creation opportunities.
Global Green Hydrogen Market is expected to reach $9.8 Billion by 2028
Growing at a CAGR of 54.7% (2021 - 2028)