Namibia will require an estimated US$190 billion in investment by 2040 to fully establish its green hydrogen sector, according to the Green Hydrogen Organisation.
The figure highlights not only the cost of production plants but also the infrastructure, logistics, and skills pipeline required to build a comprehensive domestic and export-oriented hydrogen economy.
That breakdown encompasses multiple layers: massive renewable energy farms (solar and wind) to power electrolysers, large-scale electrolysis plants, refuelling networks for vehicles and industry, storage facilities, export terminals and pipelines, and the training and research ecosystem necessary to sustain operations.
It also factors in broader industrialisation, such as local manufacturing of hydrogen components and value-added processing.
Electrolysers, compressors, and purification facilities form the second pillar. These systems convert renewable electricity and water into hydrogen at an industrial scale. Additional investment will be directed toward converting hydrogen into ammonia or methanol, fuels that are easier to transport globally.
To move hydrogen and its derivatives to international markets, Namibia will need new export terminals, pipelines, storage tanks, and shipping facilities at Walvis Bay and Lüderitz. Plans for green maritime corridors would enable Namibian hydrogen to power ships, while also facilitating connections to Europe, Asia, and the rest of Southern Africa.
In return, Namibia expects significant dividends. Studies show that the sector could contribute as much as US$4.1 billion (approximately N$76 billion) to GDP by 2030 and US$6.1 billion (approximately N$113 billion) annually by 2040.
Employment creation is equally significant, with about 280,000 jobs projected by 2030 and more than 600,000 by 2040 across the hydrogen economy and related industries.
Hyphen Hydrogen Energy
At Tsau // Khaeb National Park near Lüderitz, Hyphen Hydrogen Energy is Namibia’s flagship project, budgeted at about US$10 billion.
Its first phase alone, costing US$4.5 billion, is expected to produce 0.7 million tonnes of green ammonia per year.
The project is owned by Enertrag and Nicholas Holdings through Hyphen, operating in partnership with the Namibian government. It will eventually deploy up to 3 GW of renewable energy to power electrolysers and feed large-scale ammonia exports to Europe and beyond.
Located in the Erongo region, the Dâures project has received N$220 million in funding from the German government. It is owned by the Dâures Green Hydrogen Consortium, led by Enersense Namibia (90%), with the Dâure Daman Traditional Authority (7.5%) and Tsiseb Conservancy (2.5%) as local equity partners.
The project integrates small hydrogen and ammonia production with carbon-free agriculture. By mid-2024, around N$198 million of the grant had been utilised.
Rail corridor conversion
Along the Walvis Bay–Kranzberg corridor, Namibia is piloting hydrogen-diesel dual-fuel locomotives, which are budgeted at approximately N$150 million. Led by CMB.TECH, in partnership with TransNamib and the University of Namibia, aims to demonstrate low-carbon rail transport, with completion targeted around 2025.
Walvis Bay hosts Africa’s first integrated hydrogen refuelling and production plant, spearheaded by Cleanergy Solutions Namibia — a joint venture between Ohlthaver & List and Belgium’s CMB.TECH. With a budget of N$110 million, the facility includes a 5 MW electrolyser, solar park, battery storage, and a mobile 500-bar refuelling unit. It is designed to support port operations, industrial users, and heavy transport, while also serving as a training hub for these industries.
Building the skills chain
A robust hydrogen industry cannot operate effectively without trained professionals. The Namibia University of Science and Technology (NUST) has secured €2 million (about N$40 million) from the EU to train 300 unemployed technical graduates, 40 instructors, and revise qualifications for the hydrogen era.
The Ignite Project, set to run over two years from October 2025, will connect graduates directly to pilot projects and energy companies, ensuring a ready workforce for hydrogen production, maintenance, and logistics.
The global context
While countries such as Germany, Australia, and the United Arab Emirates have invested heavily in hydrogen, most of their projects are geared toward export and lack full integration with domestic training and refuelling infrastructure.
Namibia stands out for combining production with local job creation and community development, making it a dual-purpose strategy — both an export hub and a development engine.
Cleanergy’s launch was celebrated during an EU Global Gateway visit, with Brussels framing Namibia as a cornerstone of future green maritime corridors. The EU has already mobilised €1.3 billion (about N$26 billion) in loans and grants for Namibia’s hydrogen sector. Germany has separately committed €40 million (about N$800 million) for pilot projects and training, dovetailing with support from SASSCAL and Germany’s Federal Ministry of Education and Research (BMBF).
Expansion capital has also been signalled for a Walvis Bay ammonia jetty and storage facilities, estimated at €3 billion (about N$60 billion).
Roadmap
Namibia’s hydrogen roadmap extends beyond current pilots. Plans include converting locomotives to hydrogen, commissioning a hydrogen-powered multipurpose harbour vessel at Walvis Bay (under construction in the Netherlands), and expanding port and export infrastructure. These initiatives will tie hydrogen production directly into logistics and maritime operations, giving Namibia a first-mover advantage in Africa’s emerging hydrogen trade.
Green hydrogen is more than a new sector for Namibia, but it is central to Vision 2030 and the Sixth National Development Plan.
It aligns economic transformation, environmental sustainability, and human development. With a US$190 billion investment envelope, Namibia is building a blueprint for energy sovereignty, industrialisation, and jobs at an unprecedented scale, while positioning itself as Africa’s leading hydrogen economy.
