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South African Energy Minister Courts Hydrogen Investors in Japan

Kgosientsho Ramokgopa Photographer: Waldo Swiegers/Bloomberg (Waldo Swiegers/Bloomberg)

(Bloomberg) -- South African Electricity and Energy Minister Kgosientsho Ramokgopa met with potential funders and trading companies in Japan, as he courted investors for green hydrogen projects.

The three-day visit that began Monday is the latest effort by Ramokgopa to fund plans to manufacture hydrogen and ammonia from renewable energy. The minister visited Qatar last month in search of partnerships to develop the green fuel as well as securing natural gas supply.

Ramokgopa plans to meet with major financial institutions and trading companies including Mitsui & Co. and Itochu Corp., the government said in a statement.

“Japan’s pursuit of a sustainable hydrogen future presents a unique opportunity,” he said. 

After efforts to stabilize South Africa’s grid brought an uninterrupted halt to scheduled power cuts since March, the minister has looked abroad to promote a range of energy sources.

While Africa’s most industrialized nation is delaying the retirement of some coal-fired power plants that it relies on for about 80% of electricity generation, their eventual shutdown will require cleaner replacements.

Sasol Ltd. is planning a project at Boegoebaai, an undeveloped area on South Africa’s west coast that’s had few updates since the company first announced the plan in 2021. There’s also a green ammonia facility planned at the port of Coega in the south of the country.

In September, the European Union announced it will provide €32 million ($34 million) of grants to help South Africa kick-start its green hydrogen industry.

©2024 Bloomberg L.P.