Fraunhofer Institute for Systems and Innovation Research
Abstract: This report explores Kenya?s potential to develop a green hydrogen economy grounded in renewable energy and climate-aligned industrialization. It profiles Kenya?s resource endowment?solar, geothermal, and water?as key enablers for green hydrogen production, particularly ammonia for fertilizer manufacturing. It details policy instruments including the Green Hydrogen Strategy and highlights domestic use phases (2023?2027), industrial scale-up (2028?2032), and export opportunities (post-2032). Governance gaps include low incentives, high energy costs, and unclear stakeholder roles. The paper provides spatial mapping of energy corridors and suggests targeted investment models through PPPs and donor financing. It emphasizes hydrogen?s role in decarbonizing transport, replacing fossil-based fertilizers, and boosting food systems. Using policy analysis and economic modeling, the report sets Kenya apart as a frontrunner in Africa?s clean industrial transition and calls for stronger inter-agency coordination and green finance structures.