Arab Nations Projected to Yearly Produce 8 Million Metric Tons of Hydrogen by 2030, According to AEO Head
In a significant move towards a greener future, Arab states are ramping up their hydrogen production efforts. If market conditions are met, the production of hydrogen in these regions is projected to surge to 27.5 million tons per year by 2040.
This ambitious initiative involves not just production, but also the export and transportation of low-carbon hydrogen via pipelines from North Africa to Europe. These plans were included in the 2026 commission's task program.
The Arab Energy Organization (AEO), formerly known as the Organization of Arab Petroleum Exporting Countries (OAPEC), is spearheading this drive. Nine Arab states have already expressed ambitions to produce 8 million tons of low-carbon hydrogen annually by 2030, according to Jamal Al-Loughani, Secretary General of the AEO. Six of these states have already finalized strategies for their hydrogen projects.
The Geneva-headquartered, UN-affiliated Group of Experts on Gas has welcomed this joint initiative by the AEO and Russia regarding plans to store and transport liquid and solid hydrogen. The AEO, a member of the UN group of experts since 2015, regularly participates in its meetings.
The number of hydrogen projects in Arab states has grown four times between 2021 and 2024, reaching 127 ventures compared to 34 in 2021. Jamal Al-Loughani, who is also the former chief of the Organization of Arab Petroleum Exporting Countries (OAPEC), presented an outlook on the growing interest of Arab states in investing in the hydrogen industry to meet demand in major markets like Asia and Europe.
The hydrogen produced is intended for land and marine transportation and fueling ships. However, limited direct data is available about the specific increase in hydrogen production in Arab states from 2021 to 2024 and detailed future plans by 2030 and 2040.
Based on regional energy trends and known ambitions, the Arab states, especially the Gulf countries like the UAE and Saudi Arabia, have been increasingly investing in hydrogen projects, particularly green hydrogen (produced from renewable energy using electrolysis). Their future plans by 2030 and 2040 involve major capacity expansions and positioning as leading exporters of green hydrogen, leveraging renewable energy resources.
The outcomes of this initiative will be revised at its meeting due in March 2026. The topic of storing and transporting hydrogen was included in the plan during the 12th session of the UN gas experts, held in Geneva between March 25 and 28. The session was attended by representatives of the member states of the European Economic Commission, the European Commission, and international agencies.
The Arab states, particularly the Gulf nations like the UAE and Saudi Arabia, are actively investing in hydrogen projects, with a specific focus on green hydrogen produced from renewable energy, as part of their ambitious plans to position themselves as major hydrogen exporters by 2030 and 2040. These renewable-energy-driven hydrogen projects are expected to significantly contribute to the finance and expansion of the hydrogen industry, helping meet demand in key markets such as Asia and Europe.
