Strong interest in Hydrogen
Australia’s emerging hydrogen industry is already showing promising signs of success with strong interest being recorded in developing commercial scale hydrogen projects.
Last year, the Morrison Government announced a dedicated funding program to help fast track the development of renewable hydrogen in Australia.
Applications have closed for the $70 million Renewable Hydrogen Deployment Funding Round, with the Australian Renewable Energy Agency (ARENA) receiving 36 expressions of interest for hydrogen projects, with a combined value of more than $3 billion.
Minister for Energy and Emissions Reduction Angus Taylor said the strong response demonstrated the widespread interest in a future hydrogen industry in Australia.
“Australia has abundant resources that give us a distinct advantage when it comes to developing a hydrogen industry that can provide thousands of jobs across regional Australia and lower emissions,” Minister Taylor said.
“The strong interest in the Morrison Government’s Renewable Hydrogen Deployment Funding Round shows Australian industry is ready to co-invest with Government and build a sustainable hydrogen sector.
“These projects will help us reach our H2 under $2 technology goal sooner, with $2 per kilogram hydrogen making it a viable alternative to other sources of energy.
“This builds on our existing hydrogen industry that supports our hugely successful agriculture and mining sector.”
The development of hydrogen in Australia fits with the Government’s strategy of investing in low-emissions technology that can strengthen the economy and support jobs through the Technology Investment Roadmap.
The ARENA funding aims to support two or more large-scale hydrogen projects to demonstrate electrolysis and associated renewable hydrogen technologies at scale. Eligible projects must have a minimum 5 megawatt (MW) capacity to be sourced by renewable energy, or through an approved contracting or certificate approach.
ARENA expects to announce successful projects through the Renewable Hydrogen Deployment Funding Round by the end of 2020.
Projects selected under the funding round may also be considered for financing from Government through the Clean Energy Finance Corporation (CEFC) $300 million Advancing Hydrogen Fund.
In total, the Government has now made available over $500 million in support for hydrogen projects since 2015.
Released in late 2019, the National Hydrogen Strategy aims to support an emerging industry to become a major global player by 2030 with exports to energy markets such as the Republic of Korea, Japan and Singapore.
Minister Taylor's office 02 6277 7120