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Australia and Germany join forces for major hydrogen supply projects

Economy
23 November 2021 17:19 (AEST)

Minister for Energy and Emissions Reduction, Angus Taylor. Source: Angus Taylor/Twitter

Australia and Germany are committing almost $130 million to fund a series of hydrogen projects as part of a push to lower carbon emissions and increase their use of clean fuel.

The Australian Renewable Energy Agency (ARENA) is teaming up with Germany’s Federal Ministry of Education and Research (BMBF) to deliver a hydrogen innovation and technology incubator known as HyGATE.

Australia will invest $50 million and Germany will invest €50 million (A$77.8 million) into the initiative, which is designed to strengthen Australia and Germany’s cooperation for hydrogen production and renewable technology.

ARENA today said the partnership with Germany, which was formalised in June this year, strategically builds on the strengths of each respective country; Australia plans to become a major hydrogen exporter over the years to come and Germany holds expertise in hydrogen technology.

Further, Germany is looking to become a major importer of hydrogen in the future.

ARENA CEO Darren Miller said the renewable energy body was looking forward to building a stronger relationship with Germany, which he said was one of the “world’s leaders” when it came to renewable hydrogen tech.

“Having already committed over $160 million into renewable hydrogen research, studies and electrolyser deployments, ARENA now has an opportunity to highlight Australia’s innovation and commitment to growing and being at the forefront of a renewable hydrogen economy,” Mr Miller said.

ARENA and BMBF plan to open the funding initiative during the first quarter of 2022.

Australian Minister for Industry, Energy, and Emissions Reduction Angus Taylor said a recent report from an Australian-German hydrogen supply chain study, HySupply, found there was “great potential” for Australian hydrogen to supply growing demand in Germany.

“Our partnership with Germany through the HyGATE project will accelerate the development of Australia’s hydrogen industry and will create new jobs and economic opportunities on the path to net-zero,” Mr Taylor said.

Under Australia’s National Hydrogen Strategy, released in 2019, the nation plans to become a major global hydrogen supplier by 2030.

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