Green hydrogen has moved rapidly from a niche technological concept to a central element of many energy-transition strategies. It is particularly relevant to MENA countries because several of them combine strong solar and wind resources with existing energy infrastructure and proximity to major European markets.
At the same time, the sector is entering a more realistic phase. The International Energy Agency (IEA) reports that the global pipeline of announced low-emissions hydrogen production projects for 2030 has fallen to about 27 Mt, while uncertain demand, complex regulation, financing and infrastructure remain important barriers [1]. Installed electrolysis capacity nevertheless more than doubled in 2025 to exceed 4 GW, showing that deployment is progressing even as expectations are being recalibrated [1].
Figure 1. Green hydrogen is an integrated value chain linking water, renewable electricity, production, transport, safety and markets.
This changing context raises a practical question for MENA: what makes a green hydrogen project genuinely feasible, rather than simply technically possible?
This article approaches the question from a systems perspective. Instead of focusing only on electrolysis, it examines the interfaces between water, renewable electricity, transmission infrastructure, hydrogen transport, safety, regulation and market demand. Particular attention is given to Algeria and its potential connection with European markets through the SoutH₂ Corridor.
Approach
This work is a critical narrative review rather than a systematic review. Priority was given to recent publications from the IEA, the International Renewable Energy Agency (IRENA), European institutions and peer-reviewed scientific literature published mainly between 2021 and 2026 [1–7]. Information concerning the SoutH₂ Corridor and the ALTEH₂A initiative was checked against the project’s official information and project-partner communications [8,9].
The analysis is organised around four domains: water, electricity and grids, molecule transport, and safety and regulatory governance. Their interactions are then discussed in the context of MENA export projects.
A reference 1 GW electrolyser is used only for order-of-magnitude illustration. An electricity consumption of approximately 55 kWh per kilogram of hydrogen and a total water requirement in the range of about 20–30 L/kg H₂ are used as illustrative assumptions. These figures are not site-specific engineering results and should not replace a project feasibility study.
Key Findings
1. Water security: the issue is mainly local
The theoretical minimum water requirement for electrolysis is about 9 litres per kilogram of hydrogen. Real installations require more because water must be purified and the electrolyser must be cooled. A 2026 review reports average water consumption of about 17.5 L/kg H₂ for PEM electrolysis and 22.3 L/kg H₂ for alkaline electrolysis when cooling is included [4]. IRENA and Bluerisk also emphasise that water availability becomes especially important in water-stressed regions [2].
For a 1 GW reference plant, a total requirement of 20–30 L/kg H₂ can translate into roughly 1.8–2.7 million m³ of water per year. At national scale this may appear manageable, but it can be significant in a stressed basin or groundwater system.
This is why water should be treated as a project-location issue rather than simply as a cost item. Coastal projects can use seawater desalination, while reclaimed water and more efficient cooling systems can provide additional options [2,4]. The key questions are therefore: where will the water come from, how secure will the supply remain over the project lifetime, how will cooling be managed, and how will brine or residual streams be handled?
For MENA countries, these questions are particularly important because areas with excellent renewable resources can also face high water stress [2,4].
2. Renewable electricity and grids: the hidden infrastructure
Electricity is the main energy input to green hydrogen. A large electrolyser therefore requires not only renewable generation but also substations, transmission capacity and a reliable connection strategy.
The IEA identifies infrastructure development as one of the conditions required for the scale-up of low-emissions hydrogen [1,3]. This is especially relevant for MENA export projects, where renewable resources, water resources, industrial centres and export terminals may be located far from one another.
There is also a positive side to the relationship. Flexible electrolysers can absorb electricity during periods of high renewable generation and potentially reduce curtailment. Hydrogen can therefore become not only a consumer of renewable electricity but also a source of flexibility for the wider energy system.
The practical lesson is straightforward: an electrolyser should not be planned separately from the renewable plant and the transmission system. The three must advance together.
3. Transport: the opportunity and challenge of existing gas infrastructure
Once hydrogen is produced, it must reach its users. Pipelines can be attractive for large and relatively continuous flows. The IEA reports that announced hydrogen pipeline projects, including new and repurposed natural-gas pipelines, exceed 40,000 km by 2035, although only a small share is already operational or backed by committed investment [3].
Repurposing existing gas infrastructure may reduce the need for entirely new corridors. However, a natural-gas pipeline cannot simply be labelled “hydrogen-ready”. Hydrogen exposure can reduce the ductility and fracture toughness of steels and increase fatigue crack growth, with implications for defects already present in gas infrastructure [7].
The issue is therefore not whether existing pipelines can ever be used for hydrogen, but whether each pipeline can be demonstrated to be suitable for its intended pressure, hydrogen quality, operating conditions and remaining service life. This distinction is particularly important for MENA–Europe projects based partly on existing gas infrastructure.
4. Algeria and the SoutH₂ Corridor: from potential to connection
Algeria provides a concrete example of why production, transport and markets must be considered together. The SoutH₂ Corridor is a planned 3,300-km hydrogen pipeline corridor connecting North Africa with Italy, Austria and Germany. Its project partners indicate an import potential of more than 4 Mt of renewable hydrogen per year and a strong reliance on repurposed infrastructure [8].
The Algerian dimension is being explored through ALTEH₂A — the Algeria to Europe Hydrogen Alliance. In November 2025, project partners announced the launch of a pre-feasibility study examining potential hydrogen production sites in Algeria, possible transport routes and European market potential [9]. The objective is to assess whether large-scale production in Algeria and transport to Europe through the SoutH₂ Corridor can be developed on a technically and economically realistic basis [9].
The corridor is particularly significant because it illustrates the infrastructure layer between North African renewable resources and European industrial demand. Its individual projects have been recognised as Projects of Common Interest under the revised European TEN-E framework [8]. According to the corridor partners, more than 65% of the planned infrastructure is expected to be repurposed, although the precise suitability of each pipeline still requires technical assessment [8].
For Algeria, this creates an opportunity to connect renewable resources, domestic industrial development and European demand. It also reinforces the central message of this article: producing hydrogen is only one part of the value chain. Water supply, renewable electricity, transmission infrastructure, pipeline integrity, certification and long-term demand must progress together.
Figure 2. The SoutH₂ Corridor provides a proposed infrastructure link between North African hydrogen production and European demand centres.
5. Safety, leakage and regulatory confidence
Hydrogen has particular safety characteristics, including a wide flammability range and low ignition energy. These properties require appropriate detection, ventilation, hazardous-area classification and emergency procedures.
Electrolysis also introduces process-specific risks, including gas crossover and degradation of membranes, separators and electrodes. These issues become especially relevant when electrolysers operate flexibly with variable renewable electricity.
A second and less visible issue is hydrogen leakage. Hydrogen is not itself a conventional greenhouse gas, but its release into the atmosphere can influence methane, ozone and stratospheric water vapour. Sand et al. estimated a 100-year global warming potential of 11.6 ± 2.8 [6]. This does not make hydrogen equivalent to carbon dioxide; rather, it means that leakage should be measured and managed if the climate benefit of hydrogen is to remain credible.
Regulatory predictability is equally important. Hydrogen projects require long development periods and substantial capital. Changes in certification rules, renewable-hydrogen definitions or market-access requirements can therefore affect investment decisions. The IEA identifies unclear or complex regulation among the barriers slowing deployment [1].
Discussion – From hydrogen projects to hydrogen systems
The findings show that the main constraints cannot be considered independently.
A project may have excellent solar resources but insufficient water. It may have renewable electricity and water but inadequate transmission capacity. It may produce hydrogen competitively but lack a reliable transport route or a long-term buyer. Finally, an export project may face market-access difficulties if its hydrogen does not satisfy the certification requirements of the importing market.
This systems perspective is particularly relevant to MENA. The region has major renewable potential, but the geography of renewable resources does not necessarily coincide with the geography of water, industry, ports and export infrastructure [2,3].
Algeria illustrates this challenge. Its southern regions offer strong solar potential, while the Mediterranean coast provides access to seawater, industrial infrastructure and European export routes. Future project development therefore needs to examine the complete chain rather than optimise each component independently.
Five practical priorities emerge:
- establish a complete water balance at the pre-feasibility stage, including cooling and long-term water availability;
- coordinate renewable generation, electrolysers, transmission and water infrastructure;
- assess existing gas pipelines individually before considering repurposing;
- include hydrogen leakage detection and quantification in environmental and safety planning;
- build long-term contracts and project structures that can accommodate regulatory evolution.
The broader research agenda should include hydrogen-specific pipeline integrity methods, direct measurement of hydrogen leakage, integrated water–energy–hydrogen models for arid regions, and better reliability data for electrolysers.
Limitations
This article is a critical narrative review and does not constitute a systematic review of all published evidence. Some recent information comes from institutional and project sources, while the reference-plant calculations are illustrative. The actual feasibility of a green hydrogen project depends on local renewable resources, water availability, infrastructure, financing, technology selection, regulation and offtake conditions.
Conclusion
Green hydrogen is neither a ready-made solution nor merely a technological promise. It is an emerging industrial system whose success depends on the coordination of renewable electricity, water, electrolysers, grids, pipelines, ports, markets and regulation.
For MENA countries, this systems perspective is especially important. The region combines exceptional renewable resources with significant water constraints and long distances between production areas and major demand centres.
Algeria’s potential connection to Europe through the SoutH₂ Corridor illustrates both the opportunity and the challenge. The future competitiveness of hydrogen exports will depend not only on how much hydrogen can be produced, but on whether the complete value chain can deliver it reliably, safely, sustainably and in accordance with the requirements of the final market.
The next phase of the hydrogen economy should therefore move beyond capacity announcements toward integrated project development. The real test will be the ability to connect water, energy, infrastructure, safety and markets into one coherent and credible system.
References
- International Energy Agency (IEA). Global Hydrogen Review 2026. Paris: IEA; 2026.
- International Renewable Energy Agency (IRENA), Bluerisk. Water for Hydrogen Production. Abu Dhabi: IRENA; 2023. ISBN 978-92-9260-526-1.
- International Energy Agency (IEA). Global Hydrogen Review 2026: Trade and Infrastructure. Paris: IEA; 2026.
- Sánchez AS, Nonato GV, Silva AL, Nogueira IBDR, Rebello CM, Medeiros DL, Hunt JD. Water Consumption in Hydrogen Production Through Electrolysis: Overview, State-of-the-Art, and Future Trends. Wiley Interdiscip Rev Energy Environ. 2026;15(2):e70035. doi:10.1002/wene.70035.
- European Commission. Commission Delegated Regulation (EU) 2023/1184 of 10 February 2023 supplementing Directive (EU) 2018/2001. Official Journal of the European Union. 2023;L157:11–16.
- Sand M, Skeie RB, Sandstad M, Krishnan S, Myhre G, Bryant H, et al. A multi-model assessment of the Global Warming Potential of hydrogen. Commun Earth Environ. 2023;4:203. doi:10.1038/s43247-023-00857-8.
- Pitois A, Smedberg E, Kleine R, Moretto P, Acosta Iborra B. Integrity and Safety of Repurposed Hydrogen Pipelines in the European Union. Hydrogen Safety. 2026;3(1). doi:10.58895/hysafe.56.
- SoutH₂ Corridor. The SoutH₂ Corridor: North Africa–Italy–Austria–Germany hydrogen pipeline corridor. Project information; accessed September 2026.
- VNG AG. Green Hydrogen for Europe: ALTEH₂A and SoutH₂ Corridor advance the vision of hydrogen imports from Algeria. Press release. Leipzig: VNG AG; 13 November 2025.
- European Commission. Hydrogen infrastructure and Projects of Common Interest under the revised TEN-E framework. Brussels: European Commission; 2025.
Note
This article is intended as a science-informed contribution for a specialised energy and sustainability readership. Numerical values are presented to explain scale and should not be interpreted as site-specific engineering design values.
