Africa’s hydrogen focus shifts to steel industry

• Africa’s steel sector is growing thanks to infrastructure construction, making early green hydrogen adoption valuable to avoid carbon lock-ins and ensure sustainable industrial development.

• Algeria’s effort aligns with broader continental initiatives to decarbonise heavy industries and promote sustainable development by integrating green hydrogen into steel production.

• Our take: By aligning steel production with renewable energy growth, African countries are positioning themselves to first decarbonise their own industries and ultimately become suppliers of low-carbon industrial inputs to global markets, especially in Europe… Read more (2 min)

Funding tracker: Green hydrogen investments dip sharply

• Last month’s only deal went to Morocco, allowing North Africa to reclaim the lead after losing ground to southern Africa in April. 

• The downward trend, evident since March, is marked by a steady decline in both the number of deals and total funding amounts.

• Our take: We see growing caution among funders, especially amid rising expectations for measurable returns and clearer policy signals from governments.… Read more (2 min)

De-risking is key to green hydrogen competitiveness

• European decarbonisation deadlines are fast approaching, yet its domestic hydrogen supply remains limited. This opens a window for African producers, but only if they can match or beat costs from global competitors. 

• Africa’s advantage lies in its natural resources, but investors need proof of bankability. De-risking alone isn’t enough. Governments must also ensure project pipelines, transparency and infrastructure readiness to translate ambition into investable projects.

• Our take: The Munich study isn’t just a warning, it is also a roadmap. With deliberate site selection and coordinated action, Africa can become a credible green hydrogen hub.… Read more (2 min)

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