MOU Signing Ceremony For 400MW Green Hydrogen Project In Sindh At Energy Department, Karachi

400MW Green Hydrogen Project In Sindh Held On 23 October 2021 At Energy Department Of Government Of Sindh

Oracle Power, a UK listed company and PowerChina International, signed an MoU for the joint development of the first green hydrogen project in Pakistan.  The MOU signing for the 400MW Green Hydrogen Project in Sindh held on 23 October 2021 at Energy Department of Government of Sindh was witnessed by,

  • Honourable Chief Minister Mr. Syed Murad Ali Shah
  • Minister Of Energy Sindh Mr. Imtiaz Ahmed Shaikh And
  • Excellency Consul General Of China In Karachi Mr. Li Bijian

The announced facility will produce approximately 150,000 kg per day of Green Hydrogen from a 400 MW capacity plant using energy from wind and solar farms.  This important development comes a few days before the all important COP26, the 26 th United Nations Climate Change Conference of the Parties, which will confirm a global commitment to hydrogen economies. The initiation of this project  also comes at a time when  Pakistan and China have announced a plan to sign on a three year investment cooperation pact for green projects.

More than 350 hydrogen projects are currently in development around the world. These seek to decarbonise economic sectors – such as heavy transportation, industry and even aviation. With  the right policy and investment, hydrogen could satisfy as much as 24 percent of global energy demand by 2050.  Currently only 4 percent of the hydrogen produced is from green sources but it is expected to grow by many multiples as the global decarbonisation drive is accelerated.  Green hydrogen produced from this plant  in Sindh will be exported initially and the sponsors aim to secure buyers in China and in the region.  More than 10 large market economies already have established hydrogen policies in place.

This project places the province of Sindh in the lead for the development of the global future fuel and places Pakistan amongst the ranks of forward thinking nations.  The CM has assured the sponsors of his government’s support.  The abundant renewable resource in Sindh, three ports, and infrastructure make it an ideal location for this set up.  GoS has led in the establishment of renewable energy and now has taken another step  in moving to support frontier technology , sustainability and innovation.  The sponsors hope to secure global support for this important project.  This project also enables the use of Sindh ‘s abundant renewable resource.  Given the current low or absent demand for further power generation  in Pakistan, it creates a   much sought after captive usage of renewable energy.  Sindh province offers a potential of 50,000MW of wind and 10,000MW of solar power resource at commercial costs of as low as USc 3.5/kWh. This cost can be lower when these resources are used as captive power for producing hydrogen. It is expected that this plant will produce green hydrogen at globally competitive rates well suited for both domestic and export markets.

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