Wedoany.com Report-Oct. 13, European Commission President Ursula von der Leyen has highlighted South Africa’s R105 billion Nelson Mandela Bay green-hydrogen-to-green-ammonia project as a model for clean energy transition, announcing an expanded €12 billion funding package under the South Africa–European Union Just Energy Transition Partnership. This represents a major increase from the €4.7 billion pledged at the EU–South Africa Summit in Cape Town in March.

At an event in Brussels, von der Leyen also unveiled a €618 million Team Europe initiative to modernize South Africa’s power grid and support renewable electrification. The partnership, developed with Global Citizen and backed by EU Member States, aims to accelerate renewable energy deployment and strengthen South Africa’s position as a clean energy hub.

Von der Leyen said: “We can now take almost €12 billion to our Just Energy Transition Partnership and support our ambition to become a true global leader in clean energy.” She specifically commended the Coega Green Ammonia project in Nelson Mandela Bay, saying: “With it, South Africa is on its way to becoming a global shipping hub as green ammonia becomes a clean maritime fuel of choice. This investment represents an enormous opportunity and is just one of many success stories that we can now expand.”

Hive Hydrogen South Africa, the developer of the Coega project, was represented at the event by its chairperson Thulani Gcabashe, who also leads Built Africa Group, a company focusing on renewable energy projects. Von der Leyen added: “It’s wonderful to see you again, President Ramaphosa. We have good news to share—South Africa has abundant natural resources, strong skills, and a clear business case for clean energy. The country is becoming a pioneer for the entire African continent.”

The Global Gateway initiative, which supports connectivity and sustainable development, will conclude with a pledging event during the G20 Summit in Johannesburg in November. Von der Leyen emphasized: “Let’s continue to make the business case for clean energy in Africa. The potential is immense—it can transform lives and deepen our partnership.”

Trade between South Africa and the EU stands at about €50 billion annually, with 98% of South Africa’s exports to the EU being duty- and quota-free. The Coega project has completed front-end engineering design (FEED) and environmental assessments for 3,300 MW of renewable energy capacity, including the 1,000 MW Carissa wind facility in the Western Cape. The project aims to produce over one million tons of green ammonia annually for export to Asia and Europe by 2029.

Globally, the hydrogen industry has committed $110 billion to more than 500 projects, totaling over six million tons of annual production capacity. China leads with $33 billion in investment and half of global renewable capacity. Other developments include Uniper’s hydrogen plant in the UK, a fuel cell power station in South Korea, and new electrolyser projects in Switzerland, Germany, and Lithuania.

Von der Leyen concluded: “This is a win–win situation. It will strengthen Africa, deepen our partnership, and make our planet healthier.”