Oman has great potential as clean hydrogen exporter: EU Commissioner
Published: 03:12 PM,Dec 23,2023 | EDITED : 09:12 AM,Dec 24,2023
EU Commissioner for Energy Kadri Simson
Muscat: European Commissioner for Energy Kadri Simson, on her recent maiden visit to the Sultanate of Oman, affirmed Oman's potential to emerge as a major player in the clean hydrogen export market.
In an exclusive interview with the Observer, Commissioner Simson also acknowledged the importance of Oman's solid port infrastructure in addressing transportation challenges for hydrogen and its derivatives.
'I chose Oman as my first destination because I do see that Oman has great potential to become one of the biggest hydrogen, clean hydrogen exporters of the region,' said Commissioner Simson.
The Commissioner acknowledged Oman's substantial renewable energy capacity, particularly from wind and solar sources, as a cornerstone for the production of green hydrogen. This aligns seamlessly with the global push towards cleaner and more sustainable energy solutions.
Furthermore, she commended Oman's political commitment to clean energy, emphasizing its dedication to environmentally responsible practices, thereby enhancing its appeal as a hydrogen exporter.
The solid and well-established port infrastructure in Oman was highlighted as a critical factor, facilitating the efficient transportation of hydrogen and its derivatives. Commissioner Simson emphasized that Oman's geographical location, combined with its logistical infrastructure, positions the country as a key player capable of meeting the growing global demand for hydrogen.
During the interview, Commissioner Simson elaborated on the European Union's recently finalized hydrogen and natural gas market package. She explained the EU's efforts to establish infrastructure planning, including a list of 10 port facilities and terminals. This planning allows trading partners to strategize routes based on EU planning, contributing to a more streamlined and predictable market.
Discussing the EU's certification schemes for green and low-carbon hydrogen, Simson highlighted the need for predictable demand. The EU, already consuming 10 million tons of grey hydrogen, has set ambitious targets for replacing at least 42% of it with renewables by 2030. This commitment provides a clear and predictable market for green hydrogen, making the EU an attractive global market, she said.
The Commissioner shared insights into the EU's plan to replace Russian natural gas with green hydrogen, requiring 10 million tons by 2030. While acknowledging Oman's potential to become a major exporter, she emphasized the global outreach needed to meet the demand. Priority corridors for transporting green hydrogen via pipelines were outlined, including North Africa, Ukraine, and the North Sea.
Commissioner Simson addressed challenges in scaling up the green hydrogen industry, such as the need for larger electrolysers. She discussed the EU's investments in innovative solutions, utilizing funds collected from industries emitting CO2.
She emphasized that the partnership extends beyond trade, encompassing technology sharing and mutual efforts to clean industries. In this regard, she highlighted the EU's experience in transitioning to a green economy and expressed eagerness to collaborate with Oman for mutual benefit.
Commenting on her engagement with local Omani businesses, Simson added: “I had a chance (..) to meet the representatives of Omani companies and also with Europeans who are eager to bring their technological knowhow to Oman. And I think that one of the key elements is that green transition brings new high quality jobs. So for us, our green deal was our growth strategy. And I see that we share the same understanding this brings, such as new job opportunities, and helps us to meet the climate targets.”
In an exclusive interview with the Observer, Commissioner Simson also acknowledged the importance of Oman's solid port infrastructure in addressing transportation challenges for hydrogen and its derivatives.
'I chose Oman as my first destination because I do see that Oman has great potential to become one of the biggest hydrogen, clean hydrogen exporters of the region,' said Commissioner Simson.
The Commissioner acknowledged Oman's substantial renewable energy capacity, particularly from wind and solar sources, as a cornerstone for the production of green hydrogen. This aligns seamlessly with the global push towards cleaner and more sustainable energy solutions.
Furthermore, she commended Oman's political commitment to clean energy, emphasizing its dedication to environmentally responsible practices, thereby enhancing its appeal as a hydrogen exporter.
The solid and well-established port infrastructure in Oman was highlighted as a critical factor, facilitating the efficient transportation of hydrogen and its derivatives. Commissioner Simson emphasized that Oman's geographical location, combined with its logistical infrastructure, positions the country as a key player capable of meeting the growing global demand for hydrogen.
During the interview, Commissioner Simson elaborated on the European Union's recently finalized hydrogen and natural gas market package. She explained the EU's efforts to establish infrastructure planning, including a list of 10 port facilities and terminals. This planning allows trading partners to strategize routes based on EU planning, contributing to a more streamlined and predictable market.
Discussing the EU's certification schemes for green and low-carbon hydrogen, Simson highlighted the need for predictable demand. The EU, already consuming 10 million tons of grey hydrogen, has set ambitious targets for replacing at least 42% of it with renewables by 2030. This commitment provides a clear and predictable market for green hydrogen, making the EU an attractive global market, she said.
The Commissioner shared insights into the EU's plan to replace Russian natural gas with green hydrogen, requiring 10 million tons by 2030. While acknowledging Oman's potential to become a major exporter, she emphasized the global outreach needed to meet the demand. Priority corridors for transporting green hydrogen via pipelines were outlined, including North Africa, Ukraine, and the North Sea.
Commissioner Simson addressed challenges in scaling up the green hydrogen industry, such as the need for larger electrolysers. She discussed the EU's investments in innovative solutions, utilizing funds collected from industries emitting CO2.
She emphasized that the partnership extends beyond trade, encompassing technology sharing and mutual efforts to clean industries. In this regard, she highlighted the EU's experience in transitioning to a green economy and expressed eagerness to collaborate with Oman for mutual benefit.
Commenting on her engagement with local Omani businesses, Simson added: “I had a chance (..) to meet the representatives of Omani companies and also with Europeans who are eager to bring their technological knowhow to Oman. And I think that one of the key elements is that green transition brings new high quality jobs. So for us, our green deal was our growth strategy. And I see that we share the same understanding this brings, such as new job opportunities, and helps us to meet the climate targets.”