Hydrogen economy for sustainable development in GCC countries: A SWOT analysis considering current situation, challenges, and prospects

The increasingly serious threat of climate change caused by the excessive use of fossil fuels have been prompting GCC (Gulf Cooperation Council) countries to aggressively seek a clean energy source in the future. Recently GCC countries announced their carbon emission targets e.g. Saudi Arabia & Bahrain's net-zero emissions by 2060, UAE and Oman net-zero emissions by 2050, Qatar 25% and Kuwait 7.4% reduction by 2035. In recent years, gov-ernments and energy companies across the world alike are placing large wagers on hydrogen, in an effort to lower emissions. Therefore, to achieve these long term stated emission targets of GCC countries, Hydrogen Economy is one of the areas where efforts must be ramped up. However, there are currently numerous obstacles to the scaled and to substitute the revenue of fossil fuel exports with green hydrogen economy in Gulf coun-tries, such as high production costs of green hydrogen, a lack of infrastructure, storage and transportation problems, regulation and the necessary demand in the indigenous end-user sectors. The aim of this study is to analyze the existing obstacles and future prospects of hydrogen economy in GCC region using SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis approach. The results shows that GCC countries have the resources and opportunity to be a leader in hydrogen, but will need to take risks if it wants to compete globally. The uptake of hydrogen in short-and midterm will largely be based on blue hydrogen, however as it is expected a substantial fall green hydrogen production cost by 2030, it is therefore in the long term green hydrogen production offers the major route for the GCC, based on natural endowments. It is revealed that the scale and growth of the hydrogen economy in GCC countries will largely depend on external factors (i.e., global hydrogen adoption and demand) beyond their control. (c) 2022 Hydrogen Energy Publications LLC. Published by Elsevier Ltd. All rights reserved.

Automated summary

The serious threat of climate change has prompted GCC countries to aggressively seek clean energy sources. Recently, these countries have announced carbon emission targets, with some aiming for net-zero emissions by 2050 or 2060. Governments and energy companies around the world are betting on hydrogen to lower emissions. However, there are obstacles to the adoption of a green hydrogen economy in Gulf countries, including high production costs, infrastructure and transportation issues, regulation, and demand. This study analyzes the obstacles and future prospects of hydrogen economy in the GCC region using SWOT analysis, concluding that while GCC countries have the potential to lead in hydrogen, they need to take risks to compete globally, and the growth of the hydrogen economy depends on external factors beyond their control.