Programme Objectives and Scope
The UAE National Hydrogen Strategy positions the federation as a major global producer and exporter of hydrogen across both blue and green pathways. Blue hydrogen, produced from natural gas with carbon capture and storage, is led by ADNOC and leverages the UAE’s existing hydrocarbon infrastructure and CCS capabilities. Green hydrogen, produced via electrolysis powered by renewable energy, is led by Masdar and its global partnership network. The strategy targets production of 1.4 million tonnes of green hydrogen annually by 2031, scaling to 15 million tonnes of total hydrogen production by 2050. The strategic rationale is to extend the UAE’s energy export relevance into the post-hydrocarbon era by becoming a primary supplier of clean energy carriers.
Key Targets and KPIs
The headline KPI is 1.4 million tonnes of annual green hydrogen production by 2031. Additional targets include capturing approximately 25 percent of global hydrogen-derived fuel markets in key export destinations, establishing export corridors to Europe, Japan, South Korea, India, and other demand centres, deploying carbon capture and storage capacity sufficient to support blue hydrogen production at scale, and developing domestic hydrogen applications in heavy industry, transport, and power generation. Cost reduction targets aim to bring green hydrogen production costs below $2 per kilogram, making UAE-produced hydrogen competitive in international markets.
Implementation Status and Progress
ADNOC has advanced its blue hydrogen capabilities, building on existing carbon capture infrastructure at Shah and Habshan gas processing facilities. ADNOC has signed hydrogen offtake agreements with buyers in Japan, South Korea, and Germany. Masdar has entered green hydrogen joint ventures in Egypt (a partnership with Hassan Allam and Egypt’s Sovereign Fund), the Netherlands, and other markets. Domestically, the Abu Dhabi Hydrogen Alliance — comprising ADNOC, Mubadala, and ADQ — coordinates sovereign investment in the hydrogen value chain. Electrolyser procurement and project engineering for UAE-based green hydrogen facilities are underway. The Ruwais industrial complex is a focal point for integrated blue hydrogen and ammonia production.
Lead and Supporting Institutions
The Ministry of Energy and Infrastructure provides policy oversight. ADNOC leads the blue hydrogen track through its existing gas processing and CCS infrastructure. Masdar leads the green hydrogen track through its renewable energy platforms and international partnerships. The Abu Dhabi Hydrogen Alliance coordinates sovereign investors. The Emirates Nuclear Energy Corporation (ENEC) has explored the potential for nuclear-powered hydrogen production using surplus electricity from Barakah. Emirates Water and Electricity Company (EWEC) is involved in electricity supply planning for large-scale electrolysis. Port authorities in Abu Dhabi and Fujairah are developing hydrogen and ammonia export terminal infrastructure.
Relationship to We the UAE 2031 Pillars
The hydrogen strategy directly supports the sustainability pillar as a core decarbonisation pathway and the economy pillar as a future export industry. The development of domestic hydrogen applications — in industry, heavy transport, and power storage — supports the energy transition within the We the UAE 2031 timeframe. The global engagement pillar benefits from hydrogen trade diplomacy and the UAE’s positioning as a reliable supplier of clean energy to global partners. The development of a hydrogen workforce supports the society pillar through the creation of high-value technical employment.
Funding and Resource Allocation
ADNOC’s multi-billion-dollar investment programme includes substantial allocations for blue hydrogen and ammonia production capacity at Ruwais and associated CCS infrastructure. Masdar’s green hydrogen investments are embedded within its broader expansion programme towards 100 gigawatts of renewable capacity by 2030. The Abu Dhabi Hydrogen Alliance pools sovereign capital from ADNOC, Mubadala, and ADQ. Federal budget allocations for hydrogen-related R&D flow through the Ministry of Energy and Infrastructure and the Technology Innovation Institute. Total committed investment across the hydrogen value chain is estimated to exceed AED 50 billion through 2031.