[ cover story ] entrepreneurial development bank FMO and Sanlam Infraworks , a South African institutional investor , with the aim of creating climate-centric infrastructure investments . I played a part in establishing our first renewable energy fund , then a water , waste , and sanitation fund , and now our green hydrogen fund , which is dedicated to supporting the energy transition in emerging markets .
Green hydrogen is a particularly exciting space right now . It offers a pathway to decarbonise not only energy systems but also hard-to-abate sectors such as steel production , fertiliser , cement , methanol , and synthetic fuels for aviation . The role that CFM plays is not just to make these projects possible , but also to unlock them by ensuring they are investable and scalable across regions where access to large capital might otherwise be limited .
Willem , could you tell us about your role and how you collaborate with Sebastian at CFM ? Willem Frens : My role is to provide technical expertise on hydrogen and its derivatives for projects that CFM is developing in Southern Africa , particularly in Namibia and South Africa . I advise CFM on hydrogen and hydrogen derivatives like ammonia / fertiliser , direct reduced iron ( DRI ), and synthetic fuels . Additionally , I advise on the optimal use of locally produced green hydrogen within local existing or new industrial plants . Sebastian and his team manage the financial side , while I contribute my technical perspective on how to best execute the projects from a hydrogen production standpoint .
We have been collaborating for some time now on large-scale green hydrogen projects . While my focus is more on the technical viability ,
including safety aspects , technology choices , and risk management , I work hand-in-hand with Sebastian ’ s team to ensure that the projects are both technically sound and economically attractive to investors .
The promise of emerging markets Why do you believe emerging markets like Namibia and South Africa are promising for green hydrogen development ? Sebastian Surie : Emerging markets , especially countries like Namibia and South Africa , hold enormous potential for green hydrogen production because they have the essential ingredients : vast renewable energy resources , plenty of land , and supportive government policies . Namibia , for instance , has huge expanses of land with some of the best solar and wind resources in the world , allowing for largescale hydrogen production at very competitive prices .
Green hydrogen is well-suited to regions like these because it allows them to develop local green industries while also serving export markets . Europe , Japan , and South Korea , for example , are seeking to import green ammonia , a green hydrogen derivative .
South Africa is a bit more industrialised , and there is already an appetite for hydrogen from local industries , such as in the production of green steel , sustainable aviation fuels , and fertilisers . Additionally , South Africa ’ s position as a global supplier of platinum group metals is important for electrolyser technology , especially for PEM electrolysers , which require iridium , a by-product of platinum mining . This provides added synergies
Willem Frens , Technical Advisor and Project Developer at Climate Fund Managers
Hydrogen Tech World | Issue 19 | December 2024 9