The Egyptian Cabinet has approved the creation of the National Council for Green Hydrogen to stimulate green investment, as part of the country's plan to promote sustainable social and economic development.

The body – officially named the National Council for Green Hydrogen and its Derivatives – also aims to ensure the country's regional and international competitiveness, read a Cabinet statement on Wednesday.

It will be headed by Prime Minister Mostafa Madbouly and count among its members the ministers of electricity and renewable energy, petroleum and mineral resources, finance, environment, and the Executive Director of Egypt’s Sovereign Fund.

The council will be tasked with monitoring the implementation of the country's National Strategy for Green Hydrogen and working to overcome obstacles facing green investment.

It will also be responsible for reviewing all legislation and regulations concerning green hydrogen and its derivatives, according to the statement.

In recent months, Egypt has inked several deals with international alliances to produce green hydrogen and its derivatives in the Suez Canal Economic Zone (SCZone), seeking to become a global hub for its production.

The latest of these was a preliminary agreement signed on 9 August with the Indian renewable energy company Ocior to invest $4 billion in green hydrogen projects in the SCZone.

Egypt aims in the coming years to reduce carbon emissions and promote the use of renewable and alternative energy sources, including green hydrogen, as part of its National Climate Strategy 2050.

As part of this strategy, Egypt aims to produce green hydrogen at the lowest cost worldwide by 2050 at $1.7 per kg and capture 8 percent of the global hydrogen market, according to previous statements by government officials.