In a commitment during the G20 Compact with Africa Investment Summit in Berlin today, German Chancellor Olaf Scholz announced $4.4 billion funding injection into the Africa-EU Green Energy Initiative, aiming to span until 2030.
Expressing a proactive stance, Scholz highlighted Germany’s intention to source a substantial portion of its green hydrogen from Africa. “This is about investments that pay off for both sides,” he declared, outlining Germany’s necessity for green hydrogen in their journey toward climate neutrality.
“This is not about development aid according to the outdated patterns of donors and recipients,” emphasized Scholz, underlining the mutual benefits of this partnership.
He urged African nations to expedite the implementation of the Africa Continental Free Trade Area (AfCFTA) to facilitate smoother intra-continental business operations.
Under the Africa-Europe Green Energy Initiative, the focus extends beyond mere electricity generation to encompass energy accessibility enhancement across Africa. The initiative underscores various objectives including boosting energy efficiency, fostering regulatory reforms for private investments, and forging an integrated energy market.
Nigeria, in particular, emerges as a focal point within this initiative, with forthcoming financing agreements set to propel renewable energy projects. Moreover, the program’s outreach extends to youth involvement in agriculture, aiming to empower this demographic within the sector.
Strategic Focus on Nigeria’s Role in Hydrogen Development
The German-Nigerian symposium held in Abuja last month, highlighted the transformative potential of green hydrogen within Nigeria’s energy landscape.
Dr. Markus Wagner, Country Director of GIZ Nigeria & ECOWAS, stressed the significance of green hydrogen in reducing carbon emissions, diversifying energy sources, and stimulating economic growth.
Wagner emphasized the critical role of data and information, advocating for comprehensive planning, monitoring, and evaluation in Nigeria’s energy transition.
He urged Nigeria to position itself as a technology leader to harness the opportunities presented by this transformative journey effectively.
The pledge by Chancellor Scholz stands as a milestone in the collaborative efforts toward sustainable energy and economic growth between Europe and Africa, highlighting the role both continents play in shaping a greener future.