Physical Address
304 North Cardinal St.
Dorchester Center, MA 02124
The European Investment Bank (EIB) has agreed to strengthen its support for green hydrogen investment in Kenya through signing a Joint Declaration on Renewable Clean Hydrogen between Kenyan officials and an EIB Vice President, which includes initial mobilization of EUR 1.8 million in grants plus potential loan financing for larger investments.
On the 5th of March, 2023, Thomas Östros, European Investment Bank Vice President, and Professor Njuguna Ndung’u, Cabinet Secretary, National Treasury, and Economic Planning, signed the Joint Declaration on Renewable Clean Hydrogen following discussions on green hydrogen investment with William Ruto, President of the Republic of Kenya.
Kenya has some of the best renewable energy sources in the world if the storage components were equally developed. As part of Team Europe, the European Investment Bank stands ready to enhance cooperation to develop public and private sector investment that uses wind, solar and geothermal resources to produce green hydrogen, combat climate change, and support economic development in Kenya.
The new agreement will strengthen cooperation to support the development of green hydrogen schemes in Kenya. The EIB expects to initially mobilize EUR 1.8 million of grants from the European Union and to appraise possible loan financing for larger green hydrogen-related investments.
What is Green Hydrogen?
Green hydrogen is a form of clean energy produced through electrolysis. Electrolysis is a process which uses electricity to split water molecules into hydrogen and oxygen. This process can be powered by renewable energy sources such as wind or solar power.
Green hydrogen has a variety of uses including powering vehicles and providing clean energy for industrial processes such as fertilizer production. It can also be used for electricity generation when combined with fuel cells.
Green Hydrogen in Kenya
Kenya’s wind and solar power can be harnessed to produce green hydrogen and provide affordable power for economic development and industrial growth. Development of green hydrogen in Kenya has the potential to enable 100% of Kenya’s energy needs to be supplied by clean power.
“Today’s agreement builds on decades of close cooperation with the European Investment Bank to support renewable energy across Kenya. Together we will develop projects that will develop green hydrogen as part of the Kenya Energy Roadmap 2040,” said Professor Njuguna Ndung’u, Cabinet Secretary, National Treasury, and Economic Planning.
European Investment Bank Support
The EIB plans to work closely with Kenyan partners to identify and develop new renewable energy projects and unlock construction of hydrogen production infrastructure. Their energy and finance experts at the EIB Regional Hub in Nairobi and at headquarters will help make this a reality.
“Our energy and finance experts at the EIB Regional Hub in Nairobi and at headquarters will work closely with Kenyan partners to identify and develop new renewable energy projects and unlock construction of hydrogen production infrastructure,” said Thomas Östros, European Investment Bank Vice President.
Conclusion
The new agreement between Kenya and the European Investment Bank will improve understanding of how best to identify, structure, unlock and implement green hydrogen investment. With this agreement, Kenya has taken a big step towards becoming a leader in green energy technology.
This is an exciting opportunity for both parties involved as they look towards a future powered by clean energy sources. With their combined efforts, they have the potential to make great strides towards their shared goal of a greener future.
