By: Karim Hammam
Algeria and Tunisia are taking strategic steps to strengthen their role as the largest energy suppliers to Europe through the eco-friendly hydrogen corridor project known as the "SoutH2 Corridor." This ambitious project extends over 3,300 kilometers and enjoys strong political support from Italy, Austria, and Germany, aiming to provide more than 40% of the European Union's targeted hydrogen import needs by 2030.
Clean Energy Transition Strategy
The project relies on an advanced technical and economic vision, as it is planned to reuse more than 65% of the existing natural gas transport network infrastructure, which contributes to significantly reducing construction costs and improving the economic feasibility of transporting hydrogen across borders. This step complements the cooperation agreements signed in Rome, which aim to unite efforts between governments, transport network operators, financial institutions, and hydrogen producers.
A special secretariat for the project was launched under the auspices of the United Nations Industrial Development Organization (UNIDO) in Rome to ensure cross-border coordination and facilitate public-private cooperation. Operational activities for the corridor are expected to begin in the early 2030s, representing a paradigm shift in the energy partnership between North Africa and Europe.
Cooperation of Major Companies
The project's business activities are progressing through the "Algeria-Europe Hydrogen Alliance," which includes major companies in the energy sector, led by Sonatrach and Sonelgaz from the Algerian side, in addition to European partners such as Snam, SeaCorridor, VERBUND, and the German company VNG. These parties are currently working on conducting preliminary feasibility studies covering all aspects of the project, starting from hydrogen production in Algeria to its infrastructure and identifying potential European markets.
For Algeria, this corridor represents a strategic opportunity to expand its role as a key energy supplier beyond natural gas, leveraging its existing infrastructure relationships to be at the heart of Europe's efforts toward decarbonization and reducing dependence on fossil fuels. The project also holds special importance for Tunisia, which lies along the transport route, granting it significant economic and investment benefits.
