Despite the high potential of the low-carbon hydrogen market in the MEA, recent market challenges have highlighted the uneven pace of regional development. Gulf states are leveraging extensive sovereign wealth and existing infrastructure to lead in project execution, while Africa’s initial ambition has been winded by infrastructure gaps, an over-reliance on concessional finance, and sluggish demand from purported export markets.
Project progression remains slow across MEA, with 83% of its capacity being held in the feasibility stage. The slower-than-anticipated development of African mega-projects has been the primary driver, as developers reassess timelines amid rising borrowing costs and elevated risk premiums associated with projects in emerging markets. Weak demand signals have further contributed to delays.
In contrast, the Middle East benefits from established domestic industrial demand and extensive oil and gas expertise, enabling a greater share of projects to reach later development stages.
Recent hydrogen policy developments in the region have been focused on the Middle East and a small number of African countries, highlighting a narrow yet growing regional low-carbon hydrogen landscape. However, overall policy support remains insufficient, with a lack of notable subsidies, loans, and tax incentives to support the scaling of production necessary to achieve the region’s 2030 capacity outlook.
Project progression remains slow across MEA, with 83% of its capacity being held in the feasibility stage. The slower-than-anticipated development of African mega-projects has been the primary driver, as developers reassess timelines amid rising borrowing costs and elevated risk premiums associated with projects in emerging markets. Weak demand signals have further contributed to delays.
In contrast, the Middle East benefits from established domestic industrial demand and extensive oil and gas expertise, enabling a greater share of projects to reach later development stages.
Transport remains the dominant end-use industry for low-carbon hydrogen in MEA, with approximately 5mtpa of capacity expected to be allocated to this application
Ammonia production has also become a key focus area for MEA’s low-carbon hydrogen, given its importance in marine shipping, fertilizers, and as a carrier for transporting and storing hydrogen.Recent hydrogen policy developments in the region have been focused on the Middle East and a small number of African countries, highlighting a narrow yet growing regional low-carbon hydrogen landscape. However, overall policy support remains insufficient, with a lack of notable subsidies, loans, and tax incentives to support the scaling of production necessary to achieve the region’s 2030 capacity outlook.
Key Highlights
- Over the past year, the global hydrogen market has experienced significant headwinds. For the MEA region, the 2030 outlook decreased by 15% from the previous year.
- Project progression remains slow across MEA, with 83% of its capacity being held in the feasibility stage. The slower-than-anticipated development of African mega-projects has been the primary driver.
- In contrast, the Middle East benefits from established domestic industrial demand and extensive oil and gas expertise, enabling a greater share of projects to reach later development stages.
- As of 2026 year-to-date, the Middle East holds the third-largest active capacity, following North America and Asia.
- Transport remains the dominant end-use industry for low-carbon hydrogen in MEA, with approximately 5mtpa of capacity expected to be allocated to this application, based on current project announcements.
Report Scope
- A snapshot of the low-carbon hydrogen market
- Major hydrogen developments in MEA in 2025
- MEA’s hydrogen market in a global context
- Key regional projects
- Hydrogen competitiveness drivers in MEA
- Leading countries in MEA for low-carbon hydrogen production
- Key companies and future leaders operating in MEA’s hydrogen market
- MEA’s low-carbon hydrogen capacity scenarios
- Intended use sectors for MEA hydrogen
- Hydrogen policies, strategies, and funding initiatives related to hydrogen in MEA
- MEA hydrogen deals
Reasons to Buy
- Identify the market trends within the region and key players in hydrogen technologies.
- Develop market insight of current, in development and announced capacity and latest trends of the sector.
- Understand the region's different scenarios for 2030 based on the likeliness of the projects.
- Look at the demand in key application areas for the country.
- Facilitate the understanding of how and where the market is growing as it is rapidly scaling up to position as one of the main topics of the international and national agenda.
Table of Contents
- Overview
- Executive Summary
- A snapshot of the low-carbon hydrogen market
- Major hydrogen developments in MEA in 2025
- Low-Carbon Hydrogen Market
- World’s largest upcoming hydrogen projects
- Middle East’s largest upcoming hydrogen projects up to 2030
- Africa’s largest upcoming hydrogen projects up to 2030
- MEA in a global context
- Capacity band analysis of projects in MEA
- Hydrogen competitiveness drivers
- MEA hydrogen capacity by development stage
- Regional hydrogen capacity by stage and type
- Key players for low-carbon hydrogen in MEA
- Hydrogen capacity low-case and high-case scenario
- Demand in key application areas
- Intended end-use sectors for MEA hydrogen
- Transportation
- Power Generation
- Marine Shipping
- Fertilizer
- Iron & Steel
- Targets, policies, and funding initiatives
- Middle East’s hydrogen policies and funding
- Africa’s hydrogen policies
- Hydrogen funding in the MEA region
- MEA hydrogen deals
- World's largest upcoming hydrogen projects
- Middle East's largest upcoming hydrogen projects up to 2030
- Africa's largest upcoming hydrogen projects up to 2030
- Largest hydrogen-based power plants in MEA by capacity
- Upcoming hydrogen projects for the iron & steel industry in MEA by capacity
- Middle East's hydrogen policies and funding
- Africa's hydrogen policies
- Hydrogen funding in the MEA region
- A snapshot of the low-carbon hydrogen market
- MEA vs global low-carbon hydrogen capacity by development stage
- MEA project count by capacity band based on active and announced projects
- Breakdown of captive vs merchant projects in MEA
- MEA's active and upcoming solar and wind capacity
- Active and upcoming gas and hydrogen pipelines in MEA 2026YTD
- Active and upcoming low-carbon hydrogen capacity in MEA by development stage
- Top 10 MEA countries' 2030 low-carbon hydrogen capacity by development stage
- Top 10 MEA countries' 2030 green and blue hydrogen capacity
- Key players' net capacity share in 2030
- Capacity scenarios to 2030
- Target end-use sectors for MEA low-carbon hydrogen plants
- MEA's low-carbon hydrogen capacity for transportation by country
- MEA hydrogen capacity dedicated to marine shipping by country and stage
- Breakdown of MEA hydrogen production capacity by end-product
- Hydrogen capacity targeting fertilizer industry by country
- End-product breadown of MEA hydrogen plants targeting fertilizer industry
- Map of upcoming steel mill projects under construction in MEA 2026YTD
- MEA hydrogen deals
Companies Mentioned (Partial List)
A selection of companies mentioned in this report includes, but is not limited to:
- CWP Global
- Masdar
- Tadweer Group
- NGHC
- Hyphen Hydrogen Energy
- Plug Power
- Cleanergy Solutions Namibia
- Acwa Power
- EnBW Energy Solutions
- Air Products and Chemicals
- OQ SAOC
- NEOM
- Amarenco Solar
- H2 Global Energy
- QatarEnergy
- Actis Corp
- Fortescue Future Industries
- Blue Power Partners
- Copenhagen Infrastructure Partners
- Electric Power Development
- Electricite de France
- Yamna
- ACME Cleantech Solutions
- Egyptian Electricity Transmission
- New and Renewable Energy Authority
- Sovereign Fund of Egypt
- Suez Canal Economic Zone
- BP
- Jearrard Energy Resources
- Government of Mauritania
- Falcon Capital
- Hydrogene de France
- AP Moller Capital
- Eren Groupe
- TotalEnergies
- RWE
- AfDB
- Sasol
- Carbon Capital Corporation
- Green Bond Corporation
- Itochu Corporation
- Orascom Construction
- Hyundai Motor Group
- Sincetrue
- Moaj
- Abdul Latif Jameel Motors
- Toyota Motors
- HRS
- ENOC
- Darwish Bin Ahmed & Sons
- CMB.Tech
- Ohlthaver & List Group
- Aluminum Bahrain BSC
- Marubeni Corp
- ADNOC
- Mubadala Invesment
- Phakwe Richards Bay Gas Power 3 Pty
- Abu Dhabi Nation Energy Co
- JERA
- East Delta Electricity Production
- Zero Waste
- OECD
- MOPCO
- Thyssenkrupp Uhde
- Blue Power Partners
- Enertrag AG
- Nicholas Holdings
- SDG Namibia One Fund
- Chariot
- H2infra
