AfDB’s Sustainable Energy Fund for Africa Launches $20 Million Green Hydrogen Programme to Boost Continent-Wide Projects
The African Development Bank (AfDB) has issued a call for proposals under its newly established Green Hydrogen Programme, offering up to $20 million in pre-investment financing to accelerate the development of green hydrogen and derivative projects across Africa.
Managed through the Bank’s Sustainable Energy Fund for Africa (SEFA), the initiative targets private sector entities advancing green hydrogen projects. The programme, initially capitalised with funding from the German government and approved in late 2025, aims to support three to five top-ranked projects following a competitive selection process and due diligence.
Financing will primarily take the form of reimbursable grants to cover critical pre-investment activities. These include feasibility studies, detailed engineering designs for procurement and construction, and transaction advisory services. The support is designed to advance promising projects toward Final Investment Decision (FID) and financial close, addressing a key bottleneck in developing bankable green hydrogen initiatives on the continent.
“Green hydrogen represents a real opportunity for Africa, both to decarbonise hard-to-abate industries and to build new value chains, while contributing to socio-economic development,” said Dr. Daniel Schroth, Director of the Renewable Energy and Energy Efficiency Department at the AfDB. “The SEFA Green Hydrogen Programme is designed to contribute to the transition of projects from development to bankability, considering the rigour that is required in supporting an emerging sector.”
The programme aligns with broader AfDB goals under Mission 300, which seeks to deliver universal access to affordable, reliable, sustainable, and modern energy services across Africa. Green hydrogen, produced via renewable-powered electrolysis, is viewed as a strategic solution for decarbonizing sectors such as heavy industry, chemicals, and long-haul transport, while fostering new industrial value chains and economic opportunities.
Applications opened on 10 April 2026 at 09:30 GMT and will close on 11 May 2026 at 17:00 Abidjan time. Private sector developers are invited to submit proposals via the official SEFA platform at sefaafrica.org, where full eligibility criteria, guidelines, and the application questionnaire are available.
This latest effort builds on AfDB’s ongoing support for green hydrogen across the continent, including technical assistance in countries like Mauritania for auction frameworks and regulatory development. It forms part of a growing global momentum for green hydrogen as a clean energy carrier, positioning Africa—rich in renewable resources—to potentially emerge as a significant producer and exporter.
The call underscores the AfDB’s commitment to catalytic finance that de-risks early-stage projects, unlocks private investment, and supports Africa’s just energy transition amid rising climate ambitions and industrial development needs. Successful projects are expected to contribute not only to emissions reduction but also to job creation and sustainable economic growth.
