To extend the existing cooperation between Germany and Saudi Arabia to promote green energy, both countries signed a memorandum of understanding to work on green hydrogen.
The agreement was signed by Peter Altmaier, Germany Federal Minister for Economic Affairs and Energy and his Saudi counterpart Prince Abdulaziz bin Salman bin Abdulaziz, Minister of Energy, in a virtual ceremony.
Both countries will cooperate on the production, processing, use, transportation and commercialisation of clean hydrogen fuel as well as supporting various projects, including Neom. Both countries also agree to help encourage the transfer of knowledge and technical expertise.
The Saudi minister said that the MoU complements the ‘Kingdom 2030’ vision, which aims to diversify the economy and reduce the reliance on oil. Hydrogen potential has now been known to the world, and it is one of “the most important fuels of the future” which can help in decarbonisation efforts.
He said that Saudi Arabia has the potential to be the market leader in the hydrogen industry, given that it is building the world’s largest green hydrogen plant in Neom.
Recently, the Saudi minister also said of considering supplying green hydrogen to Europe through pipes if economically feasible.