VERBUND partners with Saudi Arabian energy company ACWA Powers for ambitious green hydrogen projects
VERBUND & ACWA Powers: Memorandum of Understanding for joint development of green hydrogen projects
• Saudi company to work with Austria’s leading electricity company to explore joint projects on green hydrogen
• Memorandum of Understanding signed during Abu Dhabi Sustainability Week 2023
ACWA Power, a leading Saudi developer, investor, and operator of power generation, water desalination and green hydrogen plants worldwide, has finalised a partnership agreement with VERBUND, Austria’s leading electricity company, to jointly explore the potential development of green hydrogen projects in the Middle East region to produce hydrogen to be used by VERBUND as a renewable energy source to the Central European markets.
Given its positive environmental implications and capabilities to decarbonise entire industrial sectors, energy sector players around the globe are embarking on ambitious green hydrogen projects that will harness their full potential in the decades ahead. To initiate the cooperation the co-operation between ACWA Power and VERBUND, both partners signed a Memorandum of Understanding (MoU) during the ongoing Abu Dhabi Sustainability Week (ADSW) 2023.
Mohammad Abunayyan, Chairman, ACWA Power, said: “Today’s announcement is another illustration of our enduring commitment to bring ingenuity and entrepreneurship together to ensure power is generated reliably, responsibly, and sustainably at the global level. In collaboration with VERBUND, we are excited to jointly explore the possibilities to deliver green hydrogen to the European market on a consistent basis, which will not only support nations in their energy transition efforts, but also drive social development, industrial advancement, and economic growth across the region. VERBUND is a company that shares our vision for widespread renewables integration and long-term decarbonisation – and working with such a like-minded entity will be key to us unlocking the many possibilities that accompany our partnership.”
Produced by electrolysis of water using only renewable energy sources, green hydrogen is one of the most promising solutions for addressing climate change and accelerating carbon-free strategies, with zero carbon dioxide (CO2) emissions making it the world’s cleanest, most efficient fuel.
“VERBUND is Austria’s leading energy company and one of the largest producers of hydroelectricity in Europe. With our portfolio of renewable energy production, transportation of electricity and gas as well as energy trading and services we cover the whole energy value chain. Green hydrogen is a logical next step”, said Michael Strugl, CEO, VERBUND. “We are very pleased and excited to announce the cooperation with ACWA Power to jointly explore green hydrogen projects for a sustainable, future-proof energy system.” he added.
Although the collaboration between ACWA Power and VERBUND has only just begun, the two parties are well-positioned to drive project progression quickly, partly due to ACWA Power’s ongoing green hydrogen activities and involvement.
The NEOM Green Hydrogen Company (NGHC), an equal joint-venture between ACWA Power, Air Products and NEOM, is developing the world’s first at scale green hydrogen project. Scheduled for completion in 2026, the project will produce up to 600 tonnes per day of carbon free green hydrogen in the form of green ammonia to be utilised as a cost-effective solution for transportation globally.
VERBUND’s technological capabilities, over 75 years of hydropower expertise and the strategic focus on green hydrogen, combined with ACWA Power’s green hydrogen knowledge, experience, and operations, will help ensure that the MoU’s objectives, terms, and aspirations are met moving forward.
About ACWA Power
ACWA Power (TADAWUL:2082) is a developer, investor and operator of power generation, desalinated water and green hydrogen production plants. Registered and established in 2004 in Riyadh, Saudi Arabia; ACWA Power employs over 3,900 people and is currently present in 12 countries in the Middle East, Africa, Central Asia and Southeast Asia. ACWA Power’s portfolio comprises 68 projects in operation, advanced development, or construction with an investment value of SAR 256.5 billion (USD 68.4), with capacity to generate 44.4 GW of power and manage 6.2 million m3/day of desalinated water per day, delivered on a bulk basis to address the needs of state utilities and industries on long term, off-taker contracts under utility services outsourcing and Public-Private-Partnership models