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MENA’s Energy Transition: Renewables, Hydrogen, and Storage on the Rise

The MENA region is rapidly emerging as a global leader in the energy transition, with ambitious plans to scale up clean energy technologies. A recent report by Dii Desert Energy, MENA Energy Outlook 2025 – Renewables, Hydrogen, and Energy Storage Insights 2030, provides key insights into the growth of renewables, low-emission hydrogen, and energy storage in the region.

Key Findings from the Report

1. Renewable Energy Growth (Excluding Hydrogen):
   • Solar PV and Wind: Installed capacity doubled from 15 GW to 30 GW in the past five years.
   • Future Growth: By 2030, an additional 20 GW per year is expected in a conservative scenario, with a green revolution scenario predicting over 40 GW per year.
   • Mega-Projects: GW-scale projects are becoming the norm for solar PV.
   • Leading Country: The UAE has the highest installed capacity in the region.
2. Low-Emission Hydrogen Expansion:
   • Project Boom: 117 hydrogen projects announced by end-2024, up from 67 in 2023.
   • Green Hydrogen Dominance: Over 90% of projects are green hydrogen, with smaller shares of blue and yellow hydrogen.
   • Renewable Energy Demand: Hydrogen production will require up to 400 GW of solar and wind capacity.
   • National Strategies: Almost all MENA countries have ambitious hydrogen strategies, targeting 10 million tons per annum (mtpa).
   • Offtake Markets: International exports remain the primary focus, but local demand is rising.
   • Mega-Scale Projects: MENA is home to some of the world’s largest hydrogen projects.
3. Rising Energy Storage Momentum:
   • Growing Importance: Energy storage is becoming crucial for integrating renewables.
   • Battery Energy Storage Systems (BESS): Massive BESS projects have been announced, including some of the world’s largest storage systems.

With rapid expansion across renewables, hydrogen, and energy storage, MENA is positioning itself as a clean energy powerhouse, playing a pivotal role in the global energy transition.