Freeport Saldanha has appointed the Council for Scientific and Industrial Research (CSIR) to coordinate phase one of the West Coast green hydrogen master plan.
Image credit: CSIR
A central hub
As part of South Africa’s commitment to position itself as a key player in the global green hydrogen market, the Saldanha area is envisaged as a central hub for green hydrogen production and export.
Green hydrogen is produced by splitting water into hydrogen and oxygen, using electrolysis. This process is powered by renewable energy sources such as solar or wind power.
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“In the Saldanha context, the water would probably need to be sourced from desalination of seawater, if green hydrogen is produced at scale,” says CSIR research group leader, Paul Lochner.
Green hydrogen has the potential to replace fossil fuels in sectors where electrification is difficult, such as maritime shipping, heavy industry (production of iron, steel, cement and fertilisers) and long-distance transportation (rail and trucking).
These are referred to as the ‘hard-to-abate’ sectors in the transition from fossil fuels to green energy.
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A collaborative manner
The proposed Saldanha Hydrogen Hub is a flagship initiative under the Western Cape Government’s ‘Green Hydrogen Strategy and Roadmap’ that was approved in May 2024.
The hub is expected to leverage Saldanha Bay’s strategic location, its access to renewable energy resources such as wind and solar, potential for midstream hydrogen processing, and its strong import-export capabilities underpinned by significant port infrastructure.
The port provides access to international shipping routes and export and/or supply of green maritime fuels based on derivatives of hydrogen.
As indicated in the Western Cape’s green hydrogen strategy, the hub has the potential to address challenges of climate change and energy supply, while also creating an enabling environment for the private sector and other stakeholders to achieve economic growth, job creation and energy security in the Western Cape.
“This master plan is being developed in a collaborative manner that brings together key stakeholders from the three spheres of government, parastatals such as the Transnet National Ports Authority, private sector and civil society,” says Lochner.
“While being initiated by the Western Cape Government, the process also includes the Northern and Eastern Cape authorities, to share insights and facilitate green hydrogen planning amongst the provinces, as well as engaging with potential institutional and financial partners to support the implementation of future phases.”
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Partnerships and investments
Lochner adds that developing a green hydrogen economy is very complex and requires partnerships and investments across the public and private sectors.
Phase one of the master plan focuses on understanding the opportunities, constraints and priorities for common-user infrastructure, land requirements, an energy and environmental legislative review, and a strategic environmental analysis to guide further planning.
“Our collaboration with CSIR reflects a shared commitment to credible, inclusive, and future-focused planning. We are confident this partnership will deliver a master plan that not only outlines viable infrastructure and investment pathways but also reinforces Saldanha Bay’s long-term competitiveness in the global green hydrogen economy,” Shanon Neumann, project manager of the West Coast Green Hydrogen Master Plan at Freeport Saldanha, concluded.
