Freeport Saldanha and the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) hosted a two-day event on green hydrogen and electricity-based fuels and feedstocks, also known as PtX (Power-to-X), including a demonstration of hydrogen production and a networking event to explain the potential impact of the green hydrogen revolution on the region.
As the Municipality of Saldanha Bay plays an important role in attracting investment and is a key stakeholder in the Ease of Doing Business in Freeport Saldanha, the training workshop increased the knowledge of municipal officials on the topic. It highlighted the potential impact of developments in the municipal area. The training workshop is part of GIZ’s H2.SA programme strategy to promote a green hydrogen economy in South Africa, implemented in close cooperation with the Presidency of South Africa.
Kaashifah Beukes, CEO of Freeport Saldanha, said the government’s Green Hydrogen Strategy was a “pivotal” moment that had set Freeport Saldanha on a new trajectory. She pointed out that key factors for Saldanha Bay were the fact that it was an SEZ with a significant deep-water port and rail hub, an existing industrial base in the steel mill and heavy-duty road haulage demand, and the availability of a skilled workforce.
“Saldanha Bay has existing customers to serve with this new net-zero product,” she points out. “In addition, Freeport Saldanha is a catalyst for what is possible. But it will only happen through partnership, public engagement and good governance. We have a chance to make a difference – we just have to get it right and do it better.”
The availability of low-cost, clean (ie: renewable) energy is a critical factor in making green hydrogen economically viable. A key factor that makes Saldanha Bay an ideal location for green hydrogen is its vast renewable energy potential. The region benefits from strong and consistent winds, making it a prime location for wind power generation, and is blessed with abundant solar resources. Saldanha Bay can power large-scale electrolysis plants to produce green hydrogen by harnessing these renewable resources.
Beukes said, private companies would play an essential role by investing in and operating various elements of the supply chain and developing new technologies to improve efficiency and reduce costs.
During the workshop on the regulatory and strategic planning environment, Thabo Chauke, GIZ policy and regulatory framework advisor said the pressing issues to be addressed were what South Africa could do to forge a green economy in the next three years. Nine recommendations from a GIZ H2.SA policy review report were summarised by Frederico Villatico, an independent consultant to GIZ, who pointed out that compliance with evolving regional regulations, codes and standards (RCS) – such as the Guarantee of Origin (GO) – was a priority for South Africa to access export markets.
Developing a green hydrogen industry in Saldanha Bay can create new employment opportunities in the construction and operation of electrolysis plants and supporting industries such as maintenance, logistics and infrastructure development. A green hydrogen cluster can also attract investment from local and foreign companies, foster innovation and create a thriving ecosystem of related industries.
And, as global demand for clean energy continues to grow, countries seeking to reduce their carbon emissions will be eager to import green hydrogen. In addition, Saldanha Bay’s location can provide easy access to key markets in Europe, Asia and beyond, giving it a competitive advantage.
By leveraging these advantages and fostering stakeholder collaboration, Saldanha Bay can contribute to the global transition to clean and sustainable energy while reaping the economic and environmental benefits for the local community and the country.