Sasol and IDC partner for supporting South African hydrogen economy
Green hydrogen offers a potential opportunity for South Africa to create new hydrogen ecosystems and become a significant exporter of hydrogen and related products.
Sasol Limited (an integrated energy and chemical company in South Africa) and the Industrial Development Corporation of South Africa Limited (IDC) (a South Africa national development finance institution for the promotion of economic growth and industrial development) have agreed to work on developing South African green hydrogen economy.
Under the memorandum of cooperation (MOC), signed by both parties, aims to use South Africa abundant renewable resources and infrastructure and Sasol’s Fischer-Tropsch technology and expertise to make South Africa a leading player in the global hydrogen economy.
Both partners will also advocate and promote policy frameworks to enable a hydrogen economy, develop pilot and commercial-scale hydrogen projects, access local and international financing options and help the country towards green energy transition.
Priscillah Mabelane, Sasol’s Executive VP of Energy Business, said, “Our ambition is to lead and co-create South Africa’s hydrogen ecosystems through strategic partnerships, leveraging our proprietary technology and integrated value chain.”
Joanne Bate, COO of IDC said, “The development of the hydrogen industry is a key enabler in South Africa’s just transition to a decarbonised future. Hydrogen has the potential to decarbonise various industrial sectors. IDC intends on getting involved in the development of those catalytic projects needed to develop this new industry.”
Sasol has been active in promoting hydrogen recently. In April this year, Sasol and Sonatrach Raffineria Italiana (SRI) have formed a Temporary Association of Companies (ATI) to collaborate on developing hydrogen production projects. They also signed a partnership agreement with the Polytechnic of Turin for a feasibility study on using CO2 capture and utilisation technology in the industrial processes of the two production sites in Augusta.
Sasol also recently announced that it is part of a consortium bidding to produce sustainable aviation fuel under the German government’s H2Global auction platform, using its Fischer-Tropsch technology. It also allied with Toyota South African Motors (TSAM) to explore developing a green hydrogen mobility ecosystem in South Africa.