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UAE Sets Ambitious Goals for Hydrogen Production

July 15, 2023
in UAE
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Hydrogen Production

Hydrogen Production

An energy ministry official said on Tuesday that the United Arab Emirates aims to produce 1.4 million times hydrogen annually by 2031 and predicts the future to increase tenfold to 15 million by 2050. 

One of the world’s top oil reporters, the UAE is preparing to host the UN’s climate conference COP28 from the end of November, and its climate credentials have come under security.

Declared in 2017 with a mid-century goal of climate neutrality, its hydrogen targets are part of a more comprehensive version of the Gulf states’ energy strategy for 2050 to better align with the plan.

Under Secretary for Energy and Petroleum Affairs, Sharif Alolama, told Reuters that green hydrogen, produced using renewable energy, should become progressively cheaper and the UAE should be a leading producer. 

He said, ” We have recognized that hydrogen will be a major part of the energy mix, maybe over the next three to five years but more than within 10.”

Alolama added that policy frameworks, including the US Inflation Reduction Act, and subsidies introduced in Europe and India, will diminish costs by encouraging production at scale.

Moreover, out of the total 1.4 million tonnes, the UAE’s clean energy firm Masdar is predicted to produce 1 million tonnes of green hydrogen by 2031, with the remaining 0.4 million tonnes of blue hydrogen provided using natural gas. 

Alolama said that Two “hydrogen oases” or hubs for production will be located on Ruwais and the Khalifa Industrial Zone Abu Dhabi( KIZAD), and by 2050 there will be five seats. 

The country’s modified energy plan includes tripling renewable energy capacity from 14 gigawatts by 2030 to 3.2 gigawatts. 

As a result, total energy generation costs are expected to go down by 100- 150 billion dirhams by 2030. 

However, On Tuesday, the UAE climate minister separately announced an updated national climate pledge under the Paris Agreement on climate change to cut emissions by 40% by 2030, increasing its target from 31%.

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