New South Wales Government today (13th October) has unveiled its hydrogen strategy, which is set to attract over $80 billion of investment.
The strategy will provide up to $3 billion in incentives to support the hydrogen industry development. The strategy aims to reduce the cost of green hydrogen by $5.80 per kg in the next decade. It would also deliver the 2030 aspirational target of 110,000 tonnes of green hydrogen. The strategy is expected to drive deep decarbonisation and establish the region as an energy and economic superpower.
The strategy also includes:
- Exemptions for green hydrogen production from government charges
- A 90% exemption from electricity network charges for green hydrogen producers who connect to parts of the network with spare capacity
- Incentives for green hydrogen production
- A hydrogen refuelling station network to be rolled out across the State.
Locations like Parkes, the Illawarra, and the Upper Hunter are uniquely placed to take advantage of these opportunities, with existing supply lines, access to transport links and a skilled workforce ready to make regional NSW a leader in hydrogen technology.
Interested businesses should submit an expression of interest to participate in the hydrogen hubs by the end of October.
Premier Dominic Perrottet said, “Australia has an opportunity to be an energy superpower, New South Wales will lead the country with this hydrogen strategy.”
Dr Andrew Forrest, Chairman of Fortescue Future Industries, added, “We are committed to working with the NSW Government to support their ambitions and develop Green Hydrogen Hubs together.”
Andrew Horvath, Global Group Chairman Star Scientific, commented, “The region has the domestic demand equation to drive a green hydrogen economy – there is much heavy industry that will require green hydrogen to decarbonise.”
Dr Fiona Simon, CEO of the Australian Hydrogen Council, noted, “Plans and funding like this will mean Australia should not miss the boat on international opportunities and instead, will be well-positioned to be a leading producer and user of hydrogen in Australia and globally.”