Exploring Australia's hydrogen future with Germany

Joint media release with Minister for Trade, Tourism and Investment Simon Birmingham and Minister for Resources, Water and Northern Australia Keith Pitt

Academia and industry experts will team up to advance the future development of a hydrogen supply chain between Australia and Germany.

Following a competitive process, the Government has selected a consortium led by the University of New South Wales (UNSW), Deloitte and Baringa Partners as the Australian partners to deliver the ‘German-Australian Supply Chain Feasibility Study of Hydrogen produced from Renewables’.

This follows the signing of a landmark agreement between Australia and Germany in September to explore the potential for closer collaboration on hydrogen supply.

The consortium will begin work to identify barriers and the optimal approaches to establishing a hydrogen supply chain between Germany and Australia.

The Australian consortium will work with peers in Germany to analyse the entire hydrogen supply chain (production, storage, transport, recovery and use) to establish how Australia can best deliver renewable hydrogen to Germany.

The study will also consider opportunities for trade of technological innovations that could transform the value chains between the countries.

Federal Trade Minister Simon Birmingham said the feasibility study was a major step in establishing a hydrogen supply chain with Germany that has ambitions to become a major user of clean energy into the future.

“Partnering with future importers of hydrogen, such as Germany, will be critical to growing demand for Australian hydrogen and accelerating industry development,” Minister Birmingham said.

“This study will help build on existing hydrogen collaborations Australia has with other key energy trading partners including Japan, the Republic of Korea and most recently Singapore, all of which will be critical to building a world-leading hydrogen industry right here in Australia.”

Federal Energy and Emissions Reduction Minister Angus Taylor said the study would help pave Australia’s path to becoming a powerhouse in hydrogen production and exports.

“Investment in clean hydrogen through international cooperation is critical to growing an Australian hydrogen industry, delivering jobs, strengthening our economy, and reducing emissions,” Minister Taylor said.

“This international partnership will help to lower the price of hydrogen, which will get us closer to our goal in the Technology Investment Roadmap of producing hydrogen for under $2 per kilogram.

“Reaching this goal will help us to become the obvious partner of choice for hydrogen across the globe.”

Federal Resources Minister Keith Pitt said Australia has a mix of all the key ingredients needed to be a major global player in a thriving clean hydrogen industry.

“We have abundant land, abundant energy resources and extensive carbon storage reservoirs, coupled with long standing experience and an excellent track record and reputation as a global energy exporter,” Minister Pitt said.

The UNSW-led consortium has a well-established track record in delivering outcomes for both industry and government.

The Government is providing $363,000 to the consortium to deliver the study, with the Australian consortia contributing $1,103,000 of in-kind and cash contributions.

They will also capitalise on long-established relationships with key German and European partners, to develop a holistic, cross jurisdictional renewable hydrogen trade and investment.

Australia’s future hydrogen industry has the potential to generate around 8,000 new jobs by 2050, many in regional Australia, with exports estimated to be worth around $11 billion a year in additional GDP.

The Australian Government has already committed more than $570 million to back this industry’s development.

Media contacts:

Minister Taylor's office: 02 6277 7120

Minister Pitt's office: 02 6277 7180

Minister Birmingham's office: 02 6277 7420