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The consortium, supported by international energy experts, will work with the Industrial Development Corporation (IDC). Green hydrogen, created through electrolysis using renewable energy sources, is seen as a vital alternative to fossil fuels.
The study will assess the potential for building dedicated production facilities in the Eastern Cape as well as the infrastructure needed for international export.
"This feasibility study aims to inform strategic decisions for the production and export of green hydrogen from the Eastern Cape, potentially reshaping South Africa's economy for inclusive growth," said Professor Sibongile Muthwa, vice-chancellor of Nelson Mandela University.
The project is backed by a UK initiative, the South Africa-UK PACT, which promotes green economic partnerships.
British High Commissioner to South Africa, Antony Phillipson, said: "This project strengthens the UK's support to South Africa... We are excited by the potential impact ... in accelerating efforts to advance the green hydrogen export agenda in the Eastern Cape."
The Eastern Cape region offers abundant renewable resources, making it promising for green hydrogen development. The project emphasises community engagement for a sustainable and equitable transition.