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Abu Dhabi announces framework to accelerate UAE's hydrogen strategy

Industry

Abu Dhabi Department of Energy (DoE) announced that the development of its hydrogen policy and regulatory framework aims to accelerate the UAE’s national hydrogen strategy and help the nation attain global leadership in clean hydrogen

For the design of this regulatory framework, the DoE is working with key Abu Dhabi government and private sector stakeholders including ADNOC, Mubadala, Masdar, ADQ, TAQA, Emirates Water and Electricity Company and Abu Dhabi Ports. 

Abu Dhabi Department of Energy’s hydrogen policy and regulatory framework aims to clearly define policies, regulations, standards, and certifications for the emerging hydrogen industry to be globally competitive. Due to the nature of the industry, its wide target markets, emerging industrial functions, growth characteristics, and deeply technical components, a policy and regulatory framework is essential to ensure sustainable developments and to position Abu Dhabi as a leader in the production and usage of hydrogen worldwide. 

His Excellency Eng. Ahmed Mohammed Belajer Al Rumaithi, undersecretary of the Abu Dhabi Department of Energy, said, “A vibrant low carbon hydrogen production and consumption industry will place Abu Dhabi and the UAE at the global forefront of countries producing green energy. It can potentially increase low-carbon hydrogen production in Abu Dhabi to more than a million tonnes per annum by 2030. Locally produced hydrogen will act as a driver of innovation and economic diversification, allowing for the decarbonisation of the economy in line with UAE National Energy Strategy 2050.” 

“This is an opportunity for Abu Dhabi, with its abundant solar resources, to contribute to fulfilling a global need that will create new local industries and jobs, offer growth for existing firms, develop new skill sets, and facilitate more research. It will also stimulate more foreign direct investment in the energy sector.”

The Hydrogen Council reported in 2021 that hydrogen is an aspiration for the world as a future energy source. More than 30 countries have released hydrogen roadmaps, and the industry has announced more than 200 hydrogen projects and ambitious investment plans. 

In Abu Dhabi, hydrogen production is underway as a feedstock for ammonia and industrial processes. However, this is mainly grey hydrogen, for which production relies on natural gas. ADNOC has announced plans to increase its carbon capture capacity five-fold from 800,000 tonnes to five million tonnes by 2030. This will make Abu Dhabi one of the world’s lowest-cost and largest producers of blue hydrogen.

Abu Dhabi has a unique competitive advantage as a base for low-carbon hydrogen production with large reserves of natural gas and sunlight. Other advantages include its industrial capacity across the energy value chain, advanced infrastructure, and solid experience in export shipment of flammable materials, central location between large demand markets, and significant financing abilities and enabling foreign investment regulatory frameworks.