ACWA Energy Sets Out to Build a Revolutionary Hydrogen Bridge Connecting Europe, the Middle East, and North Africa!

“Too achieve its climate objectives, the European Union⁣ must build strong partnerships with Saudi ‌Arabia,” stated Marco Arcelli, CEO ​of ACWA Energy, in a recent interview with BizTechLive.

“Initially, I was ‍doubtful about green hydrogen ⁣while operating in Europe. however,upon relocating to Saudi⁢ Arabia,I’ve realized that they possess the⁣ optimal resources at scale and more competitive pricing,”‌ added Arcelli,referring to the contry’s exceptional solar radiation conditions—three ⁣times greater than​ average—and also its ⁣robust wind and⁣ water ‍resources coupled with its strong credit rating.

Arcelli ‍emphasized that Europe‌ shouldn’t solely concentrate on transitioning from gas to gas but instead​ should ​leverage the most affordable ‍energy sources available for industrial production within its‍ borders. Green hydrogen⁣ is one such resource⁣ whose ‍costs won’t be subject ⁤to geopolitical volatility like fossil ​fuels. The cost of green hydrogen is expected to remain stable despite market fluctuations.

According to Arcelli’s projections, Europe will utilize a mix of domestically produced and imported hydrogen in the future. He highlighted ‍that the Neom project boasts an remarkable 2,000 MW electrolyzer capacity and could⁢ start hydrogen production by late 2026. Currently, Neom​ is​ approximately 65-70% complete.

“It’s 100 times larger than any existing facility currently operational in Europe,” he pointed out while elaborating on Saudi Arabia’s ambitious renewable energy plans. “We expect around 30 GW of renewable projects⁤ will be under growth within the Kingdom soon; most of these ⁣are solar-based,” stated Arcelli.

The⁢ limited availability of land for renewable energy⁢ infrastructure in Europe combined with their pressing need for a‍ reliable energy source were among several reasons mentioned by Arcelli as​ factors that warrant collaboration ⁢between European nations and Saudi developers.⁣ With an area spanning around 300 sq km,establishing such significant projects would be challenging within Europe’s confines.

Strategic Partnerships Driving Innovation

Arcelli also indicated that ACWA Energy’s strategy extends into Africa through ongoing collaborations particularly with Italy. Connecting low-cost hydrogen produced across North Africa and Gulf ‌regions represents a lucrative chance‌ for all parties involved.ACWA Energy is engaged in numerous⁢ negotiations involving various‍ off-takers as‌ part of what’s ⁣referred to as the‌ South H2 corridor initiative aimed at exporting hydrogen‌ from ⁣North Africa directly ‌into markets ​including Italy and Austria by 2030 through a vast pipeline stretching over 3,300 km long.Billed as one⁣ of several plans consolidating ‍ties between companies across borders regarding sustainable practices signifies progress⁢ towards achieving broader goals supporting global ‌climate‍ change initiatives.”A ​key development occurred ⁣just prior when ACWA Energy finalized two major memorandums outlined cooperative efforts intending link ​their progressive concepts regarding efficient methods transporting sustainable energies linking Gulf space back toward receptive marketplaces effectively leveraging synergy demonstrated via collaborative implementation strategies focused on innovation⁤ centered engagement enhancing cooperation reinforcing partnerships amongst institutions driving much-needed reforms‍ navigating challenging landscapes today.