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Steel remains one of the most carbon-intensive industries

Sustainable technologies are attracting unprecedented attention across sectors, particularly as the global shift toward net zero intensifies.

From the increasing use of low-carbon hydrogen in industries like green steel to the development of alternative fuels and renewable energy solutions, companies are actively seeking viable pathways to decarbonise.

IDTechEx’s Energy & Decarbonisation and Sustainability Research Reports provide in-depth coverage of these trends, exploring cutting-edge technologies and their impact on various markets.

The steel industry’s role in emissions

Steel remains one of the most carbon-intensive industries, and demand continues to rise due to global population growth, accelerating industrialisation, the AI-driven expansion of data centres, and the rollout of renewable energy infrastructure. As a result, efforts to decarbonise steelmaking have become critical.

The traditional blast furnace route, still the dominant method for crude steel production, emits roughly 2.3 tonnes of CO₂ per tonne of steel produced. This poses significant sustainability challenges and is pushing regulators to tighten emissions controls and promote low-carbon alternatives.

Electric arc furnaces (EAFs), often used in steel recycling, offer a cleaner alternative. When powered by renewable electricity, EAFs can enable near-zero-emission steel production. This method is already in use and forms the backbone of green steel projects. When paired with direct reduced iron (DRI) technology, hydrogen can be used as a reducing agent instead of fossil fuels. IDTechEx’s report Green Steel 2025–2035 explores these technologies in detail, outlining their benefits, challenges and commercial potential.

Hydrogen as a low-emissions alternative

Green hydrogen, produced via water electrolysis using renewable energy, is emerging as a viable low-carbon energy carrier. It is particularly suited to sectors where electrification is difficult or inefficient. Companies already using hydrogen in industrial processes, such as chemical manufacturers, fertiliser producers and refineries, are expected to lead the early adoption of green hydrogen, given the relatively minor adjustments required to existing infrastructure.

Heavy industries such as steel and long-haul transportation are likely to be major consumers of green hydrogen up to 2040. Hydrogen fuel cells are gaining traction due to their faster refuelling times and longer range compared to batteries. In these cases, green hydrogen provides a sustainable energy source that aligns with decarbonisation goals.

Beyond 2040, green hydrogen is expected to play a growing role in power generation, aviation, and long-duration energy storage, though cost remains a key barrier. Progress in water electrolyser technologies will be crucial to scaling green hydrogen. Advances in component innovation and reduced dependence on critical raw materials will help drive adoption. IDTechEx’s report Materials for Green Hydrogen Production 2026–2036 covers the key technologies and suppliers supporting this evolution.

Green energy technologies rely heavily on advanced materials. Composite materials like carbon fibre offer the strength and lightweight properties needed for efficiency and durability. However, their own production processes can be energy-intensive and difficult to decarbonise.

Also read: Hydrogen mobility reaches new heights in NEOM's Trojena trial

 

Mitsubishi Power oversaw the design, engineering, equipment supply, and installation of the system. (Image source: Mitsubishi Power)

Mitsubishi Power, a brand of Mitsubishi Heavy Industries, has completed and handed over a landmark hydrogen fuel conversion project at the Alexandria National Refining and Petrochemicals Company (ANRPC) refinery in Egypt.

This marks the first industrial use of hydrogen as boiler fuel in Egypt and the wider MENA region.

The full turnkey project, awarded in 2022, involved the complete rehabilitation and upgrade of a 100-ton-per-hour boiler, converting it from heavy fuel oil and natural gas to run entirely on hydrogen.

Mitsubishi Power oversaw the design, engineering, equipment supply, and installation of the system, which now utilises 14,000 tons of hydrogen-rich gases annually.

The conversion is expected to cut natural gas consumption by 24,000 tons and reduce carbon emissions by approximately 65,000 tons per year.

Supporting Egypt's energy industries

The project supports Egypt’s decarbonisation efforts and underscores its position as a clean energy innovator. It also highlights the potential of hydrogen to drive industrial decarbonisation across the region.

Mitsubishi Power’s advanced hydrogen technology, combined with ANRPC’s operational capabilities, delivered a successful outcome, providing a replicable model for hydrogen integration in Egypt’s energy sector.

The collaboration aligns with Egypt’s strategy to lead the emerging hydrogen economy in the region.

Mitsubishi Power reaffirmed its commitment to supporting Egypt’s energy transition and promoting hydrogen and renewable technologies across MENA.

Sayed Al-Rawi, chairman and managing director of ANRPC, said, "We are proud to be part of Egypt's journey towards a clean energy future and to contribute to achieving Egypt Vision 2030 with this pioneering milestone to using hydrogen as a fuel. This project represents an unprecedented achievement for ANRPC, Egypt, and the entire region. By integrating hydrogen into refining processes, we are contributing to reduce Egypt's carbon footprint and set a new standard for the country's industrial sector. We are proud of our partnership with Mitsubishi Power on this project, which is a true example of how international partnerships and advanced technology can bring about fundamental change toward a sustainable energy future. We are thrilled about the positive environmental impact of this project in reducing emissions, and we look forward to continuing our role in supporting Egypt's transition to clean energy. Together, we can help meet current energy needs and participate in shaping a sustainable energy future in Egypt and the region."

Javier Cavada, president and CEO, Europe, Middle East and Africa at Mitsubishi Power, said, "The success of this first-of-a-kind hydrogen conversion project marks a milestone in Egypt's transition to clean energy and reflects Mitsubishi Power's global leadership in developing advanced, low-carbon power generation technologies. We are honored to partner with ANRPC and support Egypt's ambitious vision for a clean energy transition, providing our expertise to transition existing infrastructure to low-carbon commercially viable systems. This project will lay down the foundation to a commercial path for decarbonising Egypt's industrial facilities with minimal downtime, in addition to demonstrating the tangible and positive impact of hydrogen in reducing emissions and developing sustainable energy solutions. Mitsubishi Power is committed to supporting Egypt's journey towards a cleaner and more sustainable energy future, and we look forward to strengthening our collaboration with ANRPC and other stakeholders to drive the transition to hydrogen across the region."

Also read: Hydrogen mobility reaches new heights in NEOM's Trojena trial

DEWA is constructing 49 new 132 kV substations and two 400 kV substations. (Image source: DEWA)

Dubai Electricity and Water Authority (DEWA) is advancing its electricity transmission infrastructure with projects now valued at over US$2bn (AED7.6bn), according to HE Saeed Mohammed Al Tayer, MD & CEO of DEWA.

In the first half of 2025, DEWA commissioned four new 132 kV substations, adding a conversion capacity of 450 megavolt-amperes and extending 228 km of transmission cables at a total cost of US$197mn.

Currently, DEWA is constructing 49 new 132 kV substations and two 400 kV substations, while also inviting bids from contractors for 11 additional 132 kV transmission substations.

Over the next three years, the utility plans to launch tenders for more than 57 new substations and lay 160 km of underground transmission cables.

Hussain Lootah, executive vice president of transmission power at DEWA, stated that the newly commissioned substations support areas such as Al Yalayis 5 as well as Hatta and Warsan 4.

Efficient services

By the end of H1 2025, DEWA’s network included 391 transmission substations: 27 at 400 kV and 364 at 132 kV.

The projects, completed with more than 4.5 million working hours, utilise advanced digital technologies aligned with DEWA’s digital transformation strategy and its focus on delivering reliable, efficient and safe services.

Additionally, DEWA has awarded contracts worth US$299mn to build 10 new 132 kV substations in locations including Al Barsha South 2, Business Bay, Dubai Silicon Oasis, Airport City, Nad Al Sheba 1 and Wadi Al Safa 5.

It has also awarded projects to lay 60.6 km of transmission cables to connect these substations to the grid, valued at US$78mn. 

“In line with the vision and directives of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, we continue to develop an integrated and advanced energy infrastructure that enhances the efficiency and reliability of the electricity transmission and distribution network in Dubai to meet the increasing demand for energy in the emirate and keep pace with population and economic growth. This supports the goals of the Dubai Economic Agenda D33 and the Dubai Social Agenda 33 to develop a truly optimal city with an exceptional quality of life. In our projects, we adopt the latest technologies of the Fourth Industrial Revolution, which have contributed to achieving 100% reliability and availability in the power transmission system and a ‘best-in-class’ rating among global utilities since 2018,” said Al Tayer.

Also read: Transforming utilities: DEWA’s digital roadmap with Microsoft

The operation validated the technical capabilities of hydrogen fuel cell technology

A major hydrogen mobility breakthrough has been achieved in the Saudi Arabian mountains, as a successful trial in NEOM’s Trojena region demonstrated the viability of fuel cell electric vehicles (FCEVs) in high-altitude terrain.

The test involved the UNIVERSE Fuel Cell bus navigating elevations of up to 2,080 metres and gradients of 24%, a first for hydrogen-powered vehicles in such conditions.

Conducted in partnership with Enowa, NEOM’s energy and water subsidiary, the trial showcased the performance of the hydrogen-powered coach bus over a simulated route connecting NEOM’s future core business district to the Trojena mountain destination.

The operation validated both the technical capabilities of hydrogen fuel cell technology and its practical application in mountainous environments.

The achievement builds on a memorandum of understanding signed in September 2024 between NEOM’s Mobility sector and the automotive group behind the UNIVERSE bus.

The agreement aims to accelerate the introduction of next-generation, zero-emission mobility solutions across NEOM’s futuristic urban and regional developments.

Key features

A key enabler of the trial was Enowa’s installation of the region’s first hydrogen refuelling station, which supports a broad range of hydrogen vehicles.

This infrastructure allowed for the safe and effective use of the UNIVERSE bus during VIP transport services in NEOM between October and December 2024.

A video released alongside the announcement captures the bus navigating Trojena’s rugged landscape, with commentary from project partners highlighting the challenges and successes of testing hydrogen mobility in real-world, high-altitude settings. The footage reinforces the collective ambition to position NEOM as a global testbed for sustainable innovation.

The trial represents more than a technological milestone, as it is a tangible step towards realising the ambitions of Saudi Vision 2030.

By pushing the boundaries of clean energy use in transport, the project contributes to the Kingdom’s broader goals of economic diversification, environmental stewardship, and leadership in emerging green technologies.

The automotive group behind the trial brings decades of hydrogen expertise, dating back to technology development efforts in the late 1990s.

Through its hydrogen-focused brand and platform, HTWO, the company is advancing hydrogen mobility globally by integrating production, storage, and application solutions.

HTWO also serves as a platform for partnerships and investment, strengthening efforts to scale the hydrogen economy.

Also read: AVEVA and Protium aim to accelerate green hydrogen innovation

This marks AMEA Power’s first desalination project in North Africa. (Image source: AMEA Power)

A major water and energy infrastructure project is advancing in Morocco, as the second phase of the Agadir desalination plant moves forward with the support of AMEA Power.

The facility, set to become one of the largest of its kind in Africa, will be powered by a 150 MW wind farm in Laayoune, developed by the renewable energy company.

Once complete, the expanded plant will reach a daily capacity of 400,000 m³, significantly increasing clean water supply for the region.

The first phase of the plant was developed and is currently owned by Spanish company Cox, known for its global expertise in water and energy management.

In the second phase, AMEA Power is entering the project as a joint venture partner, supplying renewable energy and helping to scale up the plant’s operations.

This marks AMEA Power’s first desalination project in North Africa and represents the inaugural development under its new strategic partnership with Cox, which was formalised in May 2025.

The joint venture is designed to promote integrated infrastructure solutions that combine clean energy and water supply, addressing two of the most pressing sustainability challenges in the region.

The investment required for the expansion and associated wind energy development is expected to exceed €250 million.

Sustainability component

Construction of the desalination facility is scheduled for completion by the end of 2026, while the wind farm is set to come online in 2027.

The move underscores AMEA Power’s long-term commitment to Morocco, one of the company’s core markets.

Several renewable energy projects are already underway across the country, positioning the company as a key player in helping Morocco meet its ambitious targets for renewable energy generation, water security, and sustainable development.

By pairing desalination with renewable energy, the project also demonstrates how large-scale infrastructure in North Africa can decouple water supply from fossil fuels.

It reflects a growing trend across the region to power essential utilities with clean sources, reducing carbon footprints while improving resilience against climate stressors.

With water scarcity an increasing concern across North Africa, the Agadir project is expected to serve as a model for similar developments elsewhere, where the integration of clean energy with water infrastructure becomes essential for future-proofing vital resources.

Hussain Al Nowais, chairman of AMEA Power, said, "Our entry into the second phase of the Agadir desalination project in Morocco, under the Water Alliance Ventures platform, reflects AMEA Power’s ambition to address both water and energy challenges through integrated solutions. This project is not only our first entry into the water sector in North Africa – it is also a powerful example of what long-term partnerships can achieve for sustainable development across the region”.  

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