The Australian Hydrogen Council (AHC) has welcomed $2.35 billion in funding from Japan’s Green Innovation Fund to help commercialise the Hydrogen Energy Supply Chain (HESC) project in Victoria.
The project’s commercialisation phase will generate 30,000 tonnes of pure hydrogen per year from Latrobe Valley coal, with carbon capture and storage facilities in the Bass Strait. It will then be liquefied in the Port of Hastings before being delivered to the Japanese port of Kawasaki.
AHC CEO Dr Fiona Simon stated that following the successful demonstration project to carry liquid hydrogen from Victoria to Japan, the Japanese Government‘s investment shows that they have faith in Australia’s potential to export hydrogen on a large scale.
“With a target to increase hydrogen use to 3 million tonnes a year by 2030 and a strong trade history in energy and resources, Japan is an ideal trade partner to support Australia’s ambition to be a leading hydrogen exporter,” Dr Simon said.
According to Dr Simon, international collaborations like this will be critical for Australia’s energy transition. In AHC’s Ensuring Australia’s Hydrogen Future policy paper, Dr Fiona added that AHC urged the Australian Government to set aside funds for bilateral export agreements to establish tailored joint assistance packages that will guarantee trade and support required infrastructure.
“We congratulate the Australian and Japanese industry partners on reaching this important milestone, which is a great example of two nations combining skills, technology and investment to progress the global hydrogen economy,” Dr Simon stated.
Dr Simon added, “This is a positive step forward in reaching Australia’s ambitious hydrogen export goals, and we look forward to seeing this project progress to the commercial demonstration phase,” Dr Simon concluded.”
