{"id":27352,"date":"2021-08-23T11:55:39","date_gmt":"2021-08-23T08:55:39","guid":{"rendered":"https:\/\/saudishopper.com.sa\/en\/?p=27352"},"modified":"2026-03-27T23:05:39","modified_gmt":"2026-03-27T20:05:39","slug":"key-conditions-to-support-creation-of-700-billion-h2-economy-according-to-arthur-d-little","status":"publish","type":"post","link":"https:\/\/saudishopper.com.sa\/en\/key-conditions-to-support-creation-of-700-billion-h2-economy-according-to-arthur-d-little\/","title":{"rendered":"Key conditions to support creation of $700 billion H2 economy, according to Arthur D. Little"},"content":{"rendered":"\n<ul class=\"wp-block-list\"><li><em>The Middle East is witnessing green hydrogen projects being pursued in an industry projected to reach USD 700 billion by 2050&nbsp;<\/em><\/li><li><em>Arthur D. Little has found several areas requiring attention as countries and concerned parties drive their respective sustainability agendas&nbsp;<\/em><\/li><\/ul>\n\n\n\n<figure class=\"wp-block-gallery columns-2 is-cropped wp-block-gallery-1 is-layout-flex wp-block-gallery-is-layout-flex\"><ul class=\"blocks-gallery-grid\"><li class=\"blocks-gallery-item\"><figure><a href=\"https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Eddy-Ghanem.webp\"><img loading=\"lazy\" decoding=\"async\" width=\"683\" height=\"1024\" src=\"https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Eddy-Ghanem-683x1024.webp\" alt=\"Eddy Ghanem\" data-id=\"27356\" data-full-url=\"https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Eddy-Ghanem.webp\" data-link=\"https:\/\/saudishopper.com.sa\/en\/?attachment_id=27356\" class=\"wp-image-27356\" srcset=\"https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Eddy-Ghanem-683x1024.webp 683w, https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Eddy-Ghanem-200x300.webp 200w, https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Eddy-Ghanem-768x1152.webp 768w, https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Eddy-Ghanem-1024x1536.webp 1024w, https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Eddy-Ghanem-1080x1620.webp 1080w, https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Eddy-Ghanem.webp 1200w\" sizes=\"(max-width: 683px) 100vw, 683px\" \/><\/a><\/figure><\/li><li class=\"blocks-gallery-item\"><figure><a href=\"https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Carlo-Stella-.webp\"><img loading=\"lazy\" decoding=\"async\" width=\"683\" height=\"1024\" src=\"https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Carlo-Stella--683x1024.webp\" alt=\"Carlo Stella\" data-id=\"27357\" data-full-url=\"https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Carlo-Stella-.webp\" data-link=\"https:\/\/saudishopper.com.sa\/en\/?attachment_id=27357\" class=\"wp-image-27357\" srcset=\"https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Carlo-Stella--683x1024.webp 683w, https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Carlo-Stella--200x300.webp 200w, https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Carlo-Stella--768x1152.webp 768w, https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Carlo-Stella--1024x1536.webp 1024w, https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Carlo-Stella--1080x1620.webp 1080w, https:\/\/saudishopper.com.sa\/en\/wp-content\/uploads\/2021\/08\/Carlo-Stella-.webp 1200w\" sizes=\"(max-width: 683px) 100vw, 683px\" \/><\/a><\/figure><\/li><\/ul><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Dubai, UAE \u2013 23 August 2021:&nbsp;<\/strong>Green hydrogen (H2) has become a key agenda topic for policymakers and industrial players, driven by global decarbonization efforts and the commercial opportunities that could follow. Although ambitious targets are now being pursued through related projects, the possibilities that accompany the green H2 economy depend on several conditions across policy, supply, infrastructure, and demand. Arthur D. Little (ADL), the leading management consultancy firm with the longest-standing presence in the Middle East region, expounds this viewpoint in their latest report entitled&nbsp;<a href=\"https:\/\/www.adlittle.com\/en\/insights\/viewpoints\/paving-way-green-hydrogen\" target=\"_blank\" rel=\"noreferrer noopener\"><strong><em>Paving the way for green hydrogen: Key considerations for green H2 deployment<\/em><\/strong><\/a>. The document examines the role green H2 will have in the future, elaborating on promising use cases and the next steps needed for successful deployment.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cDecarbonization has been raised again on top of the world\u2019s agenda and countries are actively seeking to lower emissions and transition to clean energy sources,\u201d explained Carlo Stella, Partner at Arthur. D Little Middle East. \u201cThe 2015 Paris Agreement has instigated widespread action, with leaderships encouraging technology-backed decarbonization in the years since. Green Hydrogen has been identified as a key technology to bridge decarbonization ambitions if the basic conditions and some pressing requirements are met in the short term.\u201d&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Many governments in the Middle East, especially Saudi Arabia and the United Arab Emirates, are currently exploring opportunities that can be exploited in this field, as green hydrogen helps reduce economic dependence on hydrocarbons and contributes to economic development and diversification of energy supply. Furthermore, foreign policy and bilateral agreements are also reinforcing the green H2 economy\u2019s importance. Already in 2021, Saudi Arabia has announced a strategic green H2 development alliance with Germany to generate, process, use, and transport clean hydrogen, representing a significant stride as the Kingdom seeks to produce greater volumes of green H2. Similarly in the UAE, a green H2 project was inaugurated at the Mohammed bin Rashid Al Maktoum Solar Park in Dubai this past May. In collaboration with Dubai Electricity and Water Authority (DEWA), Expo 2020 Dubai, and Siemens Energy, the project is the first solar-driven green H2 producing facility in the Middle East and North Africa (MENA) region<a href=\"applewebdata:\/\/166270E7-AAED-4A76-90FF-14500ADC409D#_ftn1\"><sup>[1]<\/sup><\/a>.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cStrategic alliances are certain to be impactful as countries and industry players work together to realize their shared and mutual green H2 objectives,\u201d revealed Eddy Ghanem, Principal at Arthur D. Little Middle East. \u201cThat being said, the complex nature of green H2 production cannot be overlooked, and having dual sources of renewable energy is another necessity for sustained decarbonization success.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">While many locations have no shortage of single renewables sources, few are currently capable of meeting minimum requirements in terms of multiple sources. One example is NEOM in Saudi Arabia, where the world\u2019s largest green H2 plant is being developed. Upon completion, the availability of both solar and wind renewable energy in NEOM is expected to yield a combined electricity cost of USD 2-3 ct\/Kwh, which will reduce the total cost of green H2 production to approximately USD 2\/kg.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong><em>The outputs of \u2018Paving the way for green hydrogen: Key considerations for green H2 deployment emphasizes\u2019<\/em><\/strong>&nbsp;indicate three conditions necessary for the success of green hydrogen generation projects: cost-competitive production, reliability of production and supply, and hedging of risks to attract investors. Potential hydrogen demands are also examined, while decision-makers are provided with valuable opportunities analysis, risk limitation, and other risks and conditions related to policies and infrastructure.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cAlthough green H2 projects are being pursued and more investments finalized, this momentum can only continue if thriving conditions are secured in the areas of policy, supply, infrastructure, and demand,\u201d concluded Carlo Stella. \u201cThrough a collective effort based on transparency, collaboration, and innovation, interested parties can deliver on companies and countries decarbonization commitments, successfully deploying green H2 to usher in a new chapter of renewable energy transformation.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A full copy of the report can be found&nbsp;<a href=\"https:\/\/www.adlittle.com\/en\/insights\/viewpoints\/paving-way-green-hydrogen\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>here<\/strong><\/a>.<\/p>\n\n\n\n<hr class=\"wp-block-separator\"\/>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"\/\/166270E7-AAED-4A76-90FF-14500ADC409D#_ftnref1\" target=\"_blank\" rel=\"noreferrer noopener\"><sup>[1]<\/sup><\/a>&nbsp;<a href=\"https:\/\/www.dewa.gov.ae\/en\/about-us\/media-publications\/latest-news\/2021\/05\/green-hydrogen-project\" target=\"_blank\" rel=\"noreferrer noopener\">https:\/\/www.dewa.gov.ae\/en\/about-us\/media-publications\/latest-news\/2021\/05\/green-hydrogen-project<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Middle East is witnessing green hydrogen projects being pursued in an industry projected to reach USD 700 billion by 2050&nbsp; Arthur D. Little has found several areas requiring attention as countries and concerned parties drive their respective sustainability agendas&nbsp; Dubai, UAE \u2013 23 August 2021:&nbsp;Green hydrogen (H2) has become a key agenda topic for [&hellip;]<\/p>\n","protected":false},"author":17,"featured_media":5249,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_yoast_wpseo_meta-robots-noindex":"","_et_pb_use_builder":"off","_et_pb_old_content":"","_et_gb_content_width":"","_pr_autopilot_social_copy":"","_yoast_wpseo_opengraph_title":"","_yoast_wpseo_opengraph_description":"","_yoast_wpseo_opengraph_image":"","_yoast_wpseo_opengraph_image_id":0,"_yoast_wpseo_twitter_title":"","_yoast_wpseo_twitter_description":"","_yoast_wpseo_twitter_image":"","_yoast_wpseo_twitter_image_id":0,"_yoast_wpseo_primary_category":24,"_extra_hide_author_box":"","_extra_featured_post":"","_partner_post_id":0,"footnotes":""},"categories":[24],"tags":[],"class_list":["post-27352","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economy","et-has-post-format-content","et_post_format-et-post-format-standard"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.7 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>green hydrogen H2 - Key conditions for $700B economy | | Saudi Shopper<\/title>\n<meta name=\"description\" content=\"Green hydrogen H2: Arthur D. 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