Energy Department of Sindh in Karachi has recently signed an MoU for a 400MW green hydrogen project. The MoU was signed by Naheed Memon, CEO of Oracle Power, a UK-listed business, and Yang Jianduo, Chief Representative of Power China International in Pakistan, for the cooperative construction of Pakistan’s first green hydrogen project. The hydrogen project  will create roughly 150,000 kg of Green Hydrogen per day from a 400 MW plant that will be powered by wind and solar farms.

This significant achievement comes only days before COP26, the 26th United Nations Conference of the Parties on Climate Change, which will reaffirm a worldwide commitment to hydrogen economies. This initiative is also being launched at a time when Pakistan and China have declared their intention to sign a three-year investment cooperation agreement for green projects.

Importance of hydrogen projects:

Around the globe, more than 350 hydrogen projects are in the works. These aim to decarbonize economic sectors including heavy transportation, manufacturing, and even aviation. Hydrogen might provide up to 24% of global energy demand by 2050 if the correct policies and investments are put in place.

Currently, just 4% of hydrogen generated comes from renewable sources, but as the global decarbonization push accelerates, this number is likely to climb dramatically. The green hydrogen generated at this Sindh factory would first be exported, with the sponsors hoping to find clients in China and the surrounding area.

More than ten significant market economies have already implemented hydrogen policies. Minister for Energy Sindh Imtiaz Ahmed Shaikh remarked on the occasion that this initiative puts Sindh in the forefront for the development of future fuels globally, and Pakistan among the ranks of forward-thinking countries.

Shaikh promised the sponsors of the backing of the Sindh government. Sindh is a suitable site for setting up this hydrogen project because of its enormous renewable resources, two ports, and infrastructure. Sindh’s government has taken the lead in establishing renewable energy and is now taking another step in supporting frontier technology, sustainability, and innovation.

The sponsors are hoping for widespread support for this critical endeavour. This first green hydrogen project also allows Sindh’s plentiful renewable resources to be used. Given Pakistan’s present low or non-existent need for further power projects depending upon the budget of the country, this first green project of Pakistan provides a much-desired captive use of renewable energy.

Sindh province has a wind and solar power potential of 50,000MW and 10,000MW, respectively, with commercial rates as low as USc 3.5/kWh. When these resources are employed as captive power for hydrogen production, the cost may be reduced. This facility is projected to generate green hydrogen at internationally competitive prices, making it suitable for both local and export markets.

Source: The Nation

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