Sasol says support needed to realise green hydrogen dreams

Sasol is ready to lead the charge on green hydrogen in SA, but it cautions that a robust national vision and strong collaboration are required if the country’s grand ambitions are to be realised.

Though still not cost competitive with conventional grey hydrogen, the eventual commercialisation of green hydrogen is seen as key to decarbonising energy-intensive sectors like shipping and aviation, which are impossible to meaningfully decarbonise with current alternative energy offerings. Green hydrogen may also be the answer to Sasol’s long-term sustainability conundrum as the carbon-intensity of the group’s operations come under intensifying scrutiny.

Sasol sees a future where green hydrogen production hubs are located in high renewable energy zones and are linked to demand centres to drive efficiency and access, he said. Based on a moderate case, Sasol believes there is potential for demand of about 3-million tonnes of green hydrogen centred on the northeast and southwest regions of Southern Africa. Another 3-million tonnes or more could then be exported to international markets, where coastal hubs will play a key role.

There are some moves afoot. Minister of trade, industry & competition Ebrahim Patel has formed a green hydrogen panel with a focus on uncovering the requirements to unlock a large-scale domestic hydrogen industry in SA.

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