The African Blue Economy

With ambitious link to neighbours, Namibia charts course to becoming Africa’s green hydrogen powerhouse

Report highlight cross-border hydrogen pipeline to regional industrial hub and ports.

A cross-border hydrogen pipeline between South Africa and Namibia to be developed by mid-2026 is expected to super-charge the region’s green hydrogen ambitions.

In a report from Namibia’s Green Hydrogen Program (NGH2P), the cross-border hydrogen pipeline will traverse the Western and Northern Cape in South Africa and southern Namibia, linking hydrogen hubs in Lüderitz, Boegoebaai and Saldanha Bay, extending the reach to Gauteng via an eastern corridor, creating dozens of job opportunities in the two countries.

“This system is pivotal for sustainable energy, socio-economic growth, and advancing Namibia and South Africaʼs net-zero goals while positioning both countries as key players in the global hydrogen market,” the report said.

As Namibia emerges as a crucial gateway for trade within Sub-Saharan Africa, the Port of Walvis Bay and the Port of Lüderitz are also being developed to increase their readiness for alternative fuel handling.

Through NGH2P, Namibia is in advanced negotiations with the European Investment Bank (EIB) for a US$574 million (approximately N$10.3 billion) loan, aimed at supporting infrastructure development for green hydrogen production.

The financing, which carries favourable conditions including a 3.5% interest rate and a five-year grace period is expected to hasten the South African nation’s ambitions to become a key player in the global green hydrogen sector.

NGH2P in its 2025 Mid-Year Review report released recently, said the funding, if secured, will play a huge role in reducing investment risks in the sector.

Similarly, NGH2P expressed its ambition to transition from a donor-funded organisation “to one that will become self-sufficient.”

“Through its partnerships with key local and international players, and under the mentorship of the Namibian government, we aim to form a continental centre of excellence that will focus on sharing the lessons from our Namibian efforts with fellow African nations and, where possible, mobilise capital to champion green industrialisation continent-wide. We plan on embarking on this journey in earnest in 2025,” the report reads in part.

Green hydrogen is produced through electrolysis by using electricity to split water into hydrogen and oxygen and its production is being encouraged with a view of helping limit global warming, according to Mitsibushi’s newsletter, spectra.mhi.com. Namibia’s push to develop solar energy at scale means that the whole hydrogen power cycle could be “green”, offering Namibia a huge economic opportunity.

Namibia President Netumbo Nandi-Ndaitwah, has said that NGH2P has been on the forefront of not only contributing to the global fight against climate change, but also underscoring Namibiaʼs commitment to a carbon-free economy.

“By shifting from raw material exports to local value-added production, Namibia will generate six to eight times more economic value,” she was quoted as saying in the 2025 Mid-Year Review report.  

The NGH2P report noted that Namibiaʼs green hydrogen sector is already delivering meaningful employment outcomes.

“To date, more than 800 Namibians have been employed across pilot and early-stage projects, while approximately N$170 million has been channeled toward local Small and Medium Enterprises (SMES)”, the report said.