Here is a playbook for tackling Africa’s hydrogen offtake

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As African developers struggle with offtake, a Namibian model offers a possible solution by using internal demand as an initial market for hydrogen. Maritime transport firm CMB.TECH commissioned its Hydrogen Dune facility in Walvis Bay in late August, with its operations providing the initial demand for hydrogen produced at the site.

• Developers face a chicken-and-egg problem, with customers wanting competitive hydrogen before committing to demand, while investors want committed customers before financing large production facilities. 

• CMB.TECH’s approach addresses this by developing hydrogen production alongside captive demand, using its own industrial and transport operations as an initial market while building infrastructure that can eventually support wider third-party demand.

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