Hydrogen Developments
Implementation stage

Federal

February 2025: The Australian Parliament passed legislation on 11 February 2025, introducing the Critical Minerals Production Tax Incentive (CMPTI) and Hydrogen Production Tax Incentive (HPTI). These incentives aim to boost Australia’s domestic capabilities in processing critical minerals and renewable hydrogen, enhancing national security, economic resilience, and reducing dependence on foreign imports. The HPTI promotes renewable hydrogen production, crucial for transitioning to low-carbon energy and provides a AUD 2 per kilogram refundable tax offset for renewable hydrogen production.

Source: Incentive for critical minerals production and processing in Australia | Department of Industry Science and Resources

September 2024: The Australian government released its 2024 National Hydrogen Strategy on 13 September 2024. The 2024 Strategy provides the framework to guide Australia’s production, use and export of hydrogen. The 2024 Strategy vision is for a clean, innovative, safe and competitive hydrogen industry that benefits Australia’s communities and economy, enables Australia's net zero transition, and positions Australia as a global hydrogen leader. The 2024 Strategy identifies four objectives:

  • Supply: Australia’s hydrogen industry is globally cost-competitive
  • Demand: Identify and support the most prospective hydrogen demand sectors
  • Community benefit: Communities are aware of and realise the benefits of hydrogen
  • Trade, investment and partnerships: Establish trade at scale and leverage purposeful partnerships

The 2024 Strategy’s objectives are supported by specific actions, targets, collaboration across governments and associated enablers that will underpin their delivery. The strategy's primary focus is on developing renewable hydrogen.

Highlights under the 2024 Strategy include the following:

  • 2050 production target and milestones: Australia will target producing at least 15 million tonnes of renewable hydrogen annually, with a stretch potential of 30 million tonnes annually, by 2050. Australia will set 5-yearly milestones to track progress against the national target. The first 5-yearly milestone in 2030 is 0.5 million tonnes of production annually, with a stretch potential milestone of producing 1.5 million tonnes annually. The other milestones are: 2035: 3 – 5 million tonnes, 2040: 5 – 12 million tonnes, and 2045: 9 – 20 million tonnes.
  • 2030 export target: A base export target of 0.2 million tonnes of renewable hydrogen (or equivalent in hydrogen embodied products) per year with a stretch potential of 1.2 million tonnes per year by 2030.
  • Government support will be focussed on renewable hydrogen complemented by suitable emissions intensity thresholds and other requirements for government-supported hydrogen projects, with GO (guarantee of origin) certificates to form the basis of verification.
  • Range of incentives mentioned include Hydrogen Production Tax Incentive, Hydrogen Headstart, Future Made in Australia Innovation Fund, Hydrogen Hubs, ARENA support and concessional finance.
  • Most prospective hydrogen demand sectors identified include green metals (iron and alumina), ammonia, long haul transport, power generation and grid support.
  • Implement the Guarantee of Origin scheme in 2025, and progressively increase the scope of the scheme.
  • Continuing efforts across all levels of government to improve the efficiency and effectiveness of regulatory approval processes for safety and environmental protection and support the development and adoption of the National Hydrogen Codes of Best Practice in relation to hydrogen and ammonia.
  • Full review of the National Hydrogen Strategy every 5 years.

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September 2024: Australia and Germany have signed a deal to deepen cooperation on new green hydrogen supply chains through a AUD 660 million (EUR 400 million) H2Global funding window to guarantee European buyers for Australia’s renewable hydrogen producers. The countries' existing Energy Partnership has elevated to an Energy and Climate Partnership. The Joint Declaration of Intent to negotiate the AUD 660 million deal, equally funded by the two governments, would form part of the German government’s H2Global auction mechanism. The joint H2Global tender will help bridge the price gap of renewable hydrogen and its derivatives produced in Australia and sold in Europe. The initial hydrogen purchase auction is scheduled to begin in 2025, with the first annual sales auction targeted for 2027/2028.

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September 2024: The Future Made in Australia (Guarantee of Origin) Bill 2024 (Cth) (Bill) was introduced into the Federal parliament on 12 September 2024 with two accompanying bills. The Bill establishes the voluntary Guarantee of Origin (GO) scheme to track and verify attributes associated with low-emissions products, starting with hydrogen, and establishes an enduring certification mechanism for renewable electricity. The GO scheme supports the Australian government’s Future Made in Australia plan to attract and enable investment, leveraging economic and industrial benefits of the global move to net zero. The legislation would define and provide the framework for two types of certificates: Renewable Electricity Guarantee of Origin (REGO) and Product Guarantee of Origin (PGO) certificates. The Bill provides for the Clean Energy Regulator to administer the GO scheme. This would include registering participants and facilities, issuing certificates, maintaining the public register of certificates and undertaking compliance and enforcement. The Bill has been referred to the Senate Environment and Communications Legislation Committee with the report due on 31 October 2024.

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June 2024: Consultation for the Hydrogen Production Tax Incentive (HPTI) opened on 28 June 2024 and closed on 12 July 2024. The HPTI is AUD 2 per kg of eligible renewable hydrogen produced, provided as a refundable tax offset to eligible producers for a maximum of 10 years between 2027-28 and 2039-40, to bring forward project investment, make renewable hydrogen available sooner and build scale to reduce production costs over time. It was first announced in the Australian federal budget handed down in May 2024.

Source: Hydrogen production tax incentive

May 2024: The Australian federal budget handed down on 14 May 2024 contains significant initiatives relating to renewable energy, hydrogen, critical minerals, green metals, low carbon liquid fuels, and clean energy technology, with the AUD 22.7 billion "Future Made in Australia" package as a centerpiece. Through new or additional incentives and other funding, the Australian Government aims to attract investment in key industries for the energy transition, make Australia "a renewable energy superpower", add value to the resources sector, particularly critical minerals, and strengthen economic resilience and security. Notably, the Government announced an estimated AUD 8 billion over the next decade (and an average of AUD 1.2 billion per year from 2034–35 to 2040–41) to support new measures to support hydrogen production, technology development and skills. Key items included:

  • Hydrogen Production Tax Incentive: This incentive is intended to support decarbonisation, the growth of a competitive hydrogen industry and the acceleration of Australia's pipeline of hydrogen projects. The mechanism will pay AUD 2 per kilogram of green hydrogen produced over a ten year period to producers of green hydrogen, starting from 2027-28. The legislative framework is not expected to be released for some time, however hydrogen producers should note that projects will need to be in production and making revenue in order to be eligible for the scheme.
  • Hydrogen Headstart Program: In the lead up to the Hydrogen Production Tax Incentive, early movers will be benefited by a second round of the Hydrogen Headstart Program. Originally a AUD 2 billion initiative, the program has been boosted by a further AUD 2 billion. The program will allocate AUD 1.3 billion over 10 years from 2024–25 (and an average of AUD 151.6 million per year from 2034–35 to 2038–39) and seeks to bridge the green premium for early-mover green hydrogen projects.

Additional measures, such as the GO Scheme and the Future Made in Australia Innovation Fund, will also assist in the development of Australia's hydrogen industry, supporting technology, production and jobs at each stage of the process.

Source: Australia Federal Budget 2024-25 Key takeaways for the energy transition

May 2023: New AUD 2 billion Hydrogen Headstart initiative was announced in the 2023-2024 Federal Budget to underwrite the biggest green hydrogen projects to be built in Australia through a competitive process that will provide revenue support for ongoing operational costs in the form of production credit. The projects selected will be producing either hydrogen from renewable energy or derivative products made from hydrogen produced from renewables, such as ammonia. Funding will bridge the commercial gap between the cost of hydrogen production from renewables and its current market price for early projects. Hydrogen Headstart aims to support two to three flagship large-scale projects which could deliver up to a gigawatt (1 GW) of electricity capacity by 2030. Expressions of interest are expected to open in early 2024. Successful projects will be awarded contracts with ongoing payments over a 10 year period from 2026-2027.

Source: Hydrogen Headstart

March 2023: The Japanese government's Green Innovation Fund provided funding of JPY 220 billion (approximately AUD 2.1 billion) to the Hydrogen Energy Supply Chain project in Victoria, Australia as it enters the commercial demonstration phase.

Source: Japan commits AUD$2.1 billion to establish world’s first liquefied hydrogen supply chain

September 2022: The Australian Energy Market Commission (AEMC) has recommended to Energy Ministers that changes be made to the national gas and retail regulatory frameworks to enable the natural gas sector to use hydrogen and renewable gas to support Australia's emissions reduction plans. The recommendations in the final report and accompanying proposed draft rules published by the AEMC are critical steps toward the development of a national hydrogen and renewable gas industry. The AEMC's recommendations pave the way for setting up national regulatory frameworks so that hydrogen blends and renewable gases can be safely supplied through the existing distribution systems to appliances in homes and businesses.

Source: AEMC publishes final report for hydrogen and renewable gas review

January 2022: The Hydrogen Energy Supply Chain (HESC) pilot project reached the milestone of shipping liquid hydrogen from Australia to Japan. To coincide with the milestone, the Australian government announced AUD 7.5 million to support the next AUD 184 million pre-commercialisation phase, bringing its total commitment to the HESC project to AUD 57.5 million. The Victorian government contributed AUD 50 million to the AUD 500 million HESC pilot project with the remainder invested by the Japanese government and project partners.

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January 2022: The AUD 150 million Australian Clean Hydrogen Trade Program was announced to support Australian-based hydrogen supply chain projects that secure overseas public or private sector investment. The first round of the Program will focus on the export of clean hydrogen to Japan under the Japan-Australia Partnership on Decarbonisation through Technology. The Program will support projects to develop export supply chains and commercialize production of clean hydrogen and derivative clean hydrogen-based compounds, such as clean ammonia.

Source: Australia Japan Clean Hydrogen Trade Partnership

December 2021: Australia's future clean hydrogen industry will be further supported by three new regional hydrogen clusters that have been identified in Townsville in Queensland and Gascoyne in Western Australia. The new clusters will operate under the Hydrogen Technology Cluster Australia (H2TCA) program, an initiative of independent National Energy Resources Australia (NERA), which is funded by the Australian Government's Industry Growth Centre initiative. 

Source: Three new hydrogen clusters identified for regional Australia

December 2021: As part of Australia's National Hydrogen Strategy, the State of Hydrogen report was published on 10 December 2021. This inaugural report details Australia's progress compared to other global hydrogen developments since the National Hydrogen Strategy was released in 2019. Significantly, it has been found that Australia is well on the way to becoming a world leader in the production of affordable and clean hydrogen by 2030.

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November 2021: Australia and the Republic of Korea will collaborate as part of a new Zero Emissions Technology Partnership. Prime Minister Scott Morrison and President Moon Jae-in of the Republic of Korea agreed on the partnership during bilateral talks at the G20 summit in Rome, ahead of COP26 in Glasgow. Both jurisdictions will work together to encourage the development, commercialization, and use of low and zero-emission technology, including clean hydrogen, hydrogen fuel cell electric vehicles, and hydrogen power generation. The Republic of Korea has also agreed to research hydrogen supply chain possibilities between companies from the Republic of Korea and Australia.

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September 2021: The Australian prime minister announced that the government will provide an additional AUD 150 million in funding for hydrogen projects. This increases the grant total to AUD 464 million for feasibility studies and the construction of hydrogen projects in seven hubs around the country. The government has also committed to spend AUD 18 billion over the next 10 years on technology that will cut emissions.

Source: Future hydrogen industry to create jobs, lower emissions and boost regional Australia

July 2021: The Morrison Government is backing domestic hydrogen research, development and demonstration capability to advance Australia's clean hydrogen industry. Australia's national science agency, CSIRO, will deliver the AUD 5 million Hydrogen Research, development and demonstration International Collaboration Program, which is aimed at strengthening research connections, collaboration and knowledge sharing between Australian research institutions and leading international hydrogen research organizations.

Source: Building Australia’s hydrogen industry through research collaborations

June 2021: Scott Morrison and Angela Merkel sign Joint Declaration of Intent: Australia-Germany Hydrogen Accord. German Chancellor Angela Merkel and Australian Prime Minister Scott Morrison signed a joint declaration at the G7 Plus meeting, stating the commitment of the two countries to commercialize and purchase green hydrogen. As Germany is pursuing net-zero emissions by 2045, demand for emission-free energy will be even greater than previously planned. Australia, with its vast assets of renewable energy, is in a prime position to satisfy significant parts of the demand.

Source: Scott Morrison and Angela Merkel sign Joint Declaration of Intent (JDOI): Australia-Germany Hydrogen Accord

June 2021: Australia and Singapore will establish a AUD 30 million partnership to accelerate the deployment of low-emissions fuels and technologies like clean hydrogen to reduce emissions in maritime and port operations.

Source: Australia partners with Singapore on hydrogen in maritime sector

September 2020: On 11 September 2020, the Australian and German governments announced they have signed a joint resolution of intent on 28 August 2020 to carry out a two-year joint feasibility study to investigate the Australian-German supply chain involving the production, storage, transport, and use of hydrogen produced from renewable energy. The Australian government is releasing a call for an Expression of Interest from the Australian research and industry to partner with the German industry on the study. The submission for this Expression of Interest will close on 9 October 2020.

The Australian government has published their first annual low emissions technology statement. The 2020 report outlines an AUD 18 billion investment to be spent on different energy areas, including hydrogen, within the next decade. One of the five outlined priorities is the production of hydrogen.

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June 2020: The Australian Renewable Energy Agency (ARENA) has received 36 expressions of interest to participate in the AUD 70 million Renewable Hydrogen Deployment Funding Round. This funding round is targeted to fast-track large-scale green hydrogen projects that have electrolyzers of 5 MW or larger, with those that have electrolyzers of 10 MW or larger being preferred.

Source: ARENA gets cracking on commercial scale hydrogen

May 2020: The Clean Energy Finance Corporation (CEFC) has launched an AUD 300 million fund to finance the growth of the hydrogen industry, which is in line with the funding announced in November 2019 as part of the National Hydrogen Strategy. The initial priority of the CEFC will be to support projects that have been granted funding by the Australian Renewable Energy Agency (ARENA) as part of the AUD 70 million renewable hydrogen funding scheme.

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January 2020: The governments of Australia and Japan have signed a Joint Statement of Cooperation on Hydrogen and Fuel Cells to promote the use of hydrogen as a clean, affordable and sustainable source of energy. Both countries have agreed to continue their cooperation on the Hydrogen Energy Supply Chain (HESC) project in Victoria, which is progressing toward establishing the world's first international liquid hydrogen supply chain in Japan.

Source:   Australia-Japan Ministerial Economic Dialogue

November 2019: On 22 November 2019, the Commonwealth Ministers representing Australia's energy and resources sectors presented Australia's National Hydrogen Strategy. This Strategy sets a path to build Australia's hydrogen industry. The Strategy looks to initially concentrate hydrogen use in niche hubs that will foster domestic demand.

Source: Australia's National Hydrogen Strategy 2019

April 2018: Australia and Japan have allied to create the Hydrogen Energy Supply Chain project. The project is an experiment to assess whether it is possible to establish a durable supply of liquid hydrogen from Australia. The hydrogen will be produced from lignite and then shipped from Victoria to Japan. The pilot phase has received partial funding of about AUD 500 million from the Japanese and Australian governments. The pilot project will run from 2018 – 2021. 

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New South Wales (NSW)

June 2024: From the NSW State Budget (2024-2025), there is AUD 3.1 billion for energy transition to continue work of delivering five renewable energy zones (REZs) across NSW.

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February 2024: The Net Zero Manufacturing Initiative, which is a part of the NSW Net Zero Plan Stage 1: 2020-2030, comprises three grant programs: clean technology innovation, low carbon product manufacturing and renewable manufacturing. AUD 275 million was available in this round of the initiative. Expressions of interest opened on 26 February 2024 and closed in April 2024.

Source: Net Zero Manufacturing Initiative    

September 2023: As at September 2023, the NSW government has awarded AUD 109.3 million to three hydrogen hub projects: Hunter Valley Hydrogen Hub on Kooragang Island, Illawarra Hydrogen Technology Hub and Good Earth Green Hydrogen and Ammonia Project in Moree. 

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September 2023:  On 19 September 2023, the Treasury and Revenue Legislation Amendment Bill 2023 (NSW) (Bill) was tabled for debate in the Legislative Assembly as part of the 2023-2024 NSW State Budget. The Bill, once passed, will implement significant changes to the Duties Act 1997 (NSW) which are to commence on 1 February 2024, with limited transitional relief available for transactions taking place after this date. With respect to hydrogen, from 1 February 2024, the exemption for certain electric vehicles from the payment of duty will be removed. The transitional provisions will retain the exemption for battery electric vehicles or hydrogen fuel cell electric vehicles that had been purchased (or for which a deposit was paid) before 1 January 2024 but had not been registered before that date.

The Bill has passed both Houses of NSW Parliament and is awaiting assent.

Source: Australia: NSW 2023-2024 budgetary measures and implications on duties

September 2023: The NSW State Budget (2023-2024) included the largest investment in renewable energy in the history of NSW. The AUD 1.8 billion investment will roll out critical transmission and energy storage solutions, including an additional AUD 804 million into Renewable Energy Zones, AUD 1 billion to establish the Energy Security Corporation to accelerate investment and ensure dispatchable supply of clean energy, and AUD 263 million to deliver the Electric Vehicle Strategy.

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October 2022: The Net Zero Industry and Innovation Investment Plan (2022 – 2024) sets out AUD 360 million of funding comprising AUD 305 million for abatement projects at high emitting manufacturing and mining facilities and AUD 55 million to deliver clean manufacturing precincts in Hunter and Illawarra regions.

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June 2022: The NSW State Budget (2022 – 2023) included significant investment related to climate adaptation and renewable energy including:

  • More than AUD 2.5 billion investment from the Climate Change Fund over 10 years in programs to reduce emissions and make NSW more resilient to a changing climate from 2022 to 2030
  • AUD 300 million over 10 years to provide grants for new business activities to competitively produce low emissions materials, green chemicals, hydrogen, power fuels, clean fuels and agricultural materials
  • AUD 1.2 billion (net maximum after recycling proceeds) Transmission Acceleration Fund to accelerate delivery of new transmission projects required for Renewable Energy Zones across regional NSW
  • AUD 250 million over 5 years for grants to businesses to competitively manufacture components for renewable energy infrastructure, electrolysers, electrification of plant, and electric vehicles
  • AUD 84 million over 10 years to accelerate the Electricity Infrastructure Roadmap to replace retiring power stations with new sources of clean, cheap and reliable generation
  • AUD 218.9 million over 7 years to support the bus fleet move to zero-emissions technology including AUD 25 million over 3 years for regional trials in new and emerging technologies including hydrogen fuel cell electric buses.

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October 2021: The NSW Hydrogen Strategy was released to support the development of a commercial hydrogen industry in NSW. It builds on the work of Australia's National Hydrogen Strategy. The Strategy aims to reduce the cost of green hydrogen by AUD 5.80 per kg in the next decade to meet the stretch target of under AUD 2.80 per kg by 2030, provide up to AUD 3 billion of incentives to support industry development, deliver NSW's 2030 stretch target of 110,000 tonnes of annual green hydrogen production and drive decarbonization in the hard to abate transport, industrial and energy sectors to help reach net zero emissions by 2050.

Source: NSW Hydrogen Strategy

March 2021: The Net Zero Industry and Innovation Program was launched in March 2021 and is part of the NSW Net Zero Plan Stage 1: 2020-2030 to reduce emissions by 2035 and achieve net zero by 2050. There was AUD 750 million to invest in clean technology innovation, decarbonising the industry, creating job opportunities, and facilitating plant and equipment upgrades.

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November 2019: The NSW Electricity Strategy was released.

Source: NSW Electricity Strategy: Overview and Detailed

 

Queensland

June 2024: In the 2024-2025 Queensland State Budget, announcements included the following:

  • Capital investment of around AUD 26 billion over 4 years to deliver the Queensland Energy and Jobs Plan (QEJP), including new publicly-owned investments. This includes AUD 16.5 billion for renewable energy and storage projects and AUD 8.5 billion for transmission infrastructure (including SuperGrid)
  • Additional funding of AUD 43.3 million over 5 years from 2023-24 for government policy priorities under the Queensland Energy and Jobs Plan, including hydrogen futures
  • AUD 4 million over two years from 2024 to assess natural hydrogen occurrence and production potential in Queensland.

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April 2024: The Energy (Renewable Transformation and Jobs) Act 2024 (Qld) passed on 18 April 2024 and received royal assent on 26 April 2024. It legislates Queensland's renewable energy targets and enshrines the State's commitment to public ownership of energy assets in law. The Act is foundational for the implementation of the Queensland Energy and Jobs Plan.

Source: Energy (Renewable Transformation and Jobs) Act 2024 (Qld)

April 2024: The Gas Supply and Other Legislation (Hydrogen Industry Development) Amendment Act 2023 (Qld) commenced on 4 April 2024, which is a key milestone in the progression of legislative change to support the effective regulation of renewable hydrogen development and use in Queensland.

Source: Gas Supply and Other Legislation (Hydrogen Industry Development) Amendment Act 2023 (Qld)

June 2023: The 2023-24 Queensland State Budget allocated around AUD 19 billion over four years to the Queensland Energy and Jobs Plan to support new wind, solar, storage and transmission.

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September 2022: The Queensland Energy and Jobs Plan (QEJP) was released announcing:

  • AUD 20 million to grow the future renewable hydrogen industry including AUD 15 million to supercharge, coordinate and further plan for renewable hydrogen hubs (part of the upcoming SuperGrid) and up to AUD 5 million for renewable hydrogen awareness programs and community hubs
  • Investment in new 200 MW hydrogen-ready gas peaking power station at Kogan Creek.

    Further, a AUD 2 billion boost to the Queensland Renewable Energy and Hydrogen Jobs Fund (QREHJF) with the QEJP to deliver on publicly owned renewables, storage, and network investments, bringing the QREHJF to AUD 4.5 billion.

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July 2022: The Hydrogen Industry Workforce Development Roadmap (2022-2032) includes investment of more than AUD 50 million in hydrogen and renewable energy training facilities.

Source: Hydrogen Industry Workforce Development Roadmap 2022-2032

September 2021: AUD 23 million has been invested in Queensland's renewable future. The money has been invested in the Pinkenba Renewable Energy Training Facility, and Premier Annastacia Palaszczuk said the new state-of-the-art training facilities will help prepare Queensland's workforce for the growing interest in renewable energy and hydrogen. Another AUD 2 million will also be invested in new hydrogen training facilities at Gladstone State High School.

Source: Sod turning for $23 million investment in Queensland's renewable future

June 2021: The Queensland Renewable Energy and Hydrogen Jobs Fund was announced with AUD 2 billion on renewable energy and hydrogen jobs increasing the existing AUD 500 million Queensland Renewable Energy Fund by AUD 1.5 billion.

Source: $2 billion Investment to Power More Jobs and More Industries Through Cheaper, Cleaner Energy   

May 2019: The Queensland Hydrogen Industry Strategy (2019 to 2024) was released with a AUD 19 million commitment that includes industry development funds to support hydrogen projects in Queensland with two funding streams - plant and equipment and feasibility studies.

Source: Queensland Hydrogen Industry Strategy 2019 - 2024 (May 2019)

 

South Australia

August 2024: The Hydrogen Jobs Plan has secured development approval, with site works expected to begin in late 2024. The project is being delivered by the Office of Hydrogen Power SA and a number of partners. The Hydrogen Jobs Plan involves the construction of a world-leading 200 MW renewable hydrogen power plant, 250 MWe of electrolysers and a 100 tonne renewable hydrogen storage facility near Whyalla by early 2026. The South Australian government has committed more than AUD 500 million to the Plan.

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July 2024: The Hydrogen and Renewable Energy Act 2023 (SA) commenced operation on 11 July 2024. The Hydrogen and Renewable Energy Regulations 2024 (SA) also commenced operation on the same day. 

June 2024: The South Australian government released its Green Iron and Steel Strategy on 20 June 2024. The Strategy outlines three objectives and nine key actions the government will lead to establish a world-leading green iron industry and supply chain in South Australia, including the ambition to facilitate a new hydrogen-based green iron plant in South Australian by 2030 or earlier. The commitment is backed by a AUD 3.6 million investment included in the 2024-25 State Budget to support a global expression of interest (EoI) process to engage companies in developing a green iron industry and supply chain in South Australia. The EoI closes on 1 October 2024.

Source: South Australia backs in its green iron credentials on the world stage

June 2024: The South Australian 2024-25 State Budget included AUD 4.1 million over four years to implement the Hydrogen and Renewable Energy Act, funding to implement the Green Iron and Steel Strategy, and Whyalla accommodation for the Hydrogen Jobs Plan workforce, as well as support for the Hydrogen Jobs Plan and Port Bonython Hydrogen Hub.

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February 2024: South Australia's first large-scale clean hydrogen production precinct, the Port Bonython Hydrogen Hub, has taken a major step with five companies signing development agreements to use the facility. It is to become South Australia's first large-scale export terminal for green and blue hydrogen. Both state and federal governments have committed AUD 100 million, and industry a further AUD 40 million, to developing common user infrastructure, such as upgrades to the port, common user last mile pipelines, storage and access roads.

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November 2023: The Hydrogen and Renewable Energy Act 2023 (SA) received Royal Assent on 23 November 2023. This Act regulates and licences large-scale hydrogen and renewable energy projects across South Australia. The Act's objects include:

  • to facilitate and regulate exploration for, and exploitation of, renewable energy resources;
  • to establish an effective, efficient and flexible regulatory framework for the constructing, operating, maintaining and decommissioning of renewable energy infrastructure and facilities for generating hydrogen for commercial purposes;
  • to encourage and maintain an appropriate level of competition for access to designated land to enable exploration for, and exploiting of, renewable energy resources;
  • to ensure that generating hydrogen and the exploitation of renewable energy resources is ecologically sustainable; and
  • to facilitate public safety in managing risks inherent in generating hydrogen.

Source: Hydrogen and Renewable Energy Act 2023 (SA)

September 2023: The Hydrogen and Renewable Energy Bill 2023 (SA) was introduced into South Australian parliament on 14 September 2023.

May 2023: In May 2023 the South Australian government opened consultation on the Hydrogen and Renewable Energy Bill. The proposed legislation seeks to streamline project and land use approvals and increase the state’s renewable energy production to safely meet energy and storage needs and reduce carbon emissions. It also aims to introduce a "one-window to government" licencing and regulatory system for the lifecycle of large-scale hydrogen and renewable energy projects in South Australia. Consultation closed in June 2023.

Sources: Hydrogen and Renewable Energy Act - Draft Bill

November 2022: The South Australian government through the Department for Energy and Mining (DEM) is seeking comment on the new Hydrogen and Renewable Energy Act, which is a proposal to establish a legislative framework for large hydrogen and renewable energy projects in South Australia. Consultation closed in February 2023.

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June 2021: Amendments to South Australia's the Petroleum and Geothermal Energy Act 2000 (SA), to be renamed to the Energy Resources Act, have been released for consultation. These amendments will enable renewable hydrogen to be transported through existing transmission gas pipelines, and ensure that South Australia is an attractive investment environment for hydrogen projects. The changes will ensure South Australia continues to be a world leader in the rapidly developing renewable hydrogen sector.

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2019: The South Australia Hydrogen Action Plan was released with 20 actions across five key areas to help scale-up renewable hydrogen production for export and domestic consumption.

Source: Hydrogen in South Australia  

 

Tasmania

September 2024: The 2024-25 Tasmanian State Budget announced on 12 September 2024 includes an AUD 11 million investment to deliver a green hydrogen hub in Bell Bay in light of Tasmania's vision to be a global leader in large scale green hydrogen production by 2030.

Source: Tasmanian Budget 2024-25: Overview

May 2024: The AUD 50 million Tasmanian Renewable Hydrogen Development Funding Program was launched in May 2020.

Round 1 Funding of AUD 2.6 million was granted to support three feasibility studies to investigate large-scale renewable hydrogen projects in Tasmania. None of these projects continued to stage 2.

Round 2 Funding was announced in September 2023, being the Green Hydrogen Price Reduction Scheme where the Tasmanian government was allocating up to AUD 8 million from the Tasmanian Renewable Hydrogen Industry Development Fund to reduce the sale price of green hydrogen within Tasmania. The successful applicant for the Green Hydrogen Price Reduction Scheme was announced in May 2024 and it will receive the full AUD 8 million funding. The Scheme stems from the Tasmanian Renewable Hydrogen Action Plan and aims to stimulate both supply and demand for renewable hydrogen. The Scheme seeks to bring the sale price of green hydrogen down to a level that is competitive with other energy or fuel sources to become an attractive zero emissions substitute for end users.

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January 2024: The Commonwealth government has struck agreement to invest AUD 70 million to develop the Bell Bay hydrogen hub in Northern Tasmania. The total investment will be at least AUD 300 million including funding from the Commonwealth and Tasmanian Government, as well as the private sector. The hub will produce 45,000 tonnes of renewable hydrogen a year. The project will commence in 2024 and will be complete by early 2028.

Source: $70 million boost for Tasmania’s renewable hydrogen industry

May 2023: The Tasmanian 2023-24 State Budget actions the Tasmanian Renewable Hydrogen Action Plan, and allocates AUD 900,000 over three years for additional resources to progress Tasmanian Green Hydrogen Hub in Bell Bay.

Source: 2023-24 Tasmanian Budget: Overview

May 2022: The Tasmanian Green Hydrogen International Engagement and Export Strategy was released setting out the vision for Tasmania to strengthen international partnerships in green hydrogen.

Source: International Engagement and Export

March 2020: The Tasmanian Renewable Hydrogen Action Plan was released in March 2020. Under the Action Plan, the Tasmanian government has developed a AUD 50 million package of support measures over 2020-2030. This includes AUD 20 million Tasmanian Renewable Hydrogen Fund, AUD 20 million in concessional loans and AUD 10 million in support services (e.g. competitive electricity supply arrangements, payroll tax relief).

Source: The Tasmanian Renewable Hydrogen Action Plan

 

Victoria

May 2024: The 2024-25 Victorian State budget allocated AUD 28 million over 4 years for clean energy worker training centres for hydrogen and wind, and SEC (State Electricity Commission) Centre of Training Excellence to coordinate and accredit courses in clean energy.

Source: Victorian Budget 2024/25: Budget Paper No. 2 - Strategy and Outlook

September 2023: The Victorian government released the Renewable Gas Consultation Paper in September 2023 to seek views on the potential design of a policy or policies that will best support the efficient and effective deployment of renewable gas in Victoria. Renewable gas is defined in the paper as either biomethane or renewable hydrogen. Consultation closed in October 2023. A policy Directions Paper is expected to be published for further consultation in 2024.

Source: Victoria’s Renewable Gas Consultation Paper

June 2023: The Hydrogen Park Murray Valley Facility is an example of joint government funding. The AUD 65.46 million renewable hydrogen production facility in Wodonga received funding from:

  • ARENA (Australian Renewable Energy Agency) (on behalf of Commonwealth government) (Advancing Renewables Program): AUD 36.1 million
  • Victorian government: AUD 12.3 million
  • CEFC (Clean Energy Finance Corporation) (Advancing Hydrogen Fund): AUD 3.2 million.

Sources:

May 2023: In the Victorian State budget (2023-2024), it was announced the government will spend AUD 1 billion to bring back the State Electricity Commission (SEC), re establishing government owned energy and investing in renewables, and AUD 16 million to deliver two new clean energy worker training centres - one for hydrogen and one for wind to prepare workers for emerging industries.

Source: Victorian Budget 2023/24: Budget Paper No. 2 - Strategy and Outlook 

July 2021 to August 2021: The Victorian Government is helping businesses to switch to renewable hydrogen, with AUD 7.2 million in funding to deliver trials, pilots and feasibility studies that will enable them to take the first steps in transitioning to this clean energy alternative, as Victoria works to halve its emissions by 2030. To support capital works projects for hydrogen pilots, trials and demonstration the Government will invest AUD 6.2 million through the Renewable Hydrogen Commercialisation Pathways Fund, and an additional AUD 1 million to assist businesses to develop business plans to use hydrogen through the Renewable Hydrogen Business Ready Fund. Applications will be accepted for both funds until 27 August 2021.

Source: Pushing The Frontiers Of Renewable Hydrogen

February 2021: The Renewable Hydrogen Industry Development Plan was released in February 2021. The plan builds the foundations for a renewable hydrogen economy on Victoria. The plan outlines the steps to develop the sector, focusing on creating long-term jobs through new career pathways and skills clusters, enabling the export of renewable energy, driving innovation, building the skills and capacity in renewable hydrogen, and reducing greenhouse gas emissions across the industrial, energy and transport sectors. It included AUD 10 million for a clean economy workforce skills development initiative, AUD 10 million funding to establish the Victorian Hydrogen Hub (VH2) and AUD 20 million over three years for a state-wide trial to investigate solutions to achieve a zero-emission bus fleet, including hydrogen buses.

Source: Victorian Renewable Hydrogen Industry Development Plan  

February 2021: Swinburne University of Technology has received a AUD 10 million injection from the Victorian government to build the Victorian Hydrogen Hub. The Victorian Hydrogen Hub will be a major national precinct to explore new hydrogen technologies, including clean energy vehicles and hydrogen storage containers.

Source: Hydrogen Hub cements Victoria as Clean Energy Leader

November 2019: The government released the Green Hydrogen discussion paper seeking submissions to contribute to the development of a Victorian Green Hydrogen Industry Development Plan. Submissions close on 5 February 2020.

Source: Green Hydrogen Discussion Paper - Victorian Hydrogen Investment Program (November 2019)

December 2018: The Victorian Hydrogen Investment program was announced.

Source: New Program To Drive Investment In Hydrogen Energy

 

Western Australia

May 2024: In the 2024-25 Western Australia State Budget, announcements included additional investment of AUD 1.8 billion to diversify and decarbonise the economy including:

  • a new AUD 500 million Strategic Industries Fund to provide project-ready industrial land supporting new and emerging industries like hydrogen
  • AUD 373 million in critical port facilities
  • AUD 324 million for planning and long-lead items supporting investment in transmission network infrastructure for the South West Interconnected System (SWIS) to meet industry demand and expand renewable generation
  • AUD 148 million to construct additional network infrastructure in the North West Interconnected System in the Pilbara.

Further, allocations under the Climate Action Fund to be drawn in 2024-25 total AUD 214 million, with a further AUD 279 million to be drawn across the outyears. The funding includes various climate action initiatives including renewable hydrogen projects and further SWIS decarbonisation work. The Climate Action Fund was established in the 2021-2022 Budget to hold funds for future climate action and renewable energy initiatives.

Source: Western Australia State Budget 2024-25: Budget Paper No. 3 – Economic and Fiscal Outlook

February 2024: Combined investment of AUD 140 million comprising AUD 70 million each from the Commonwealth (as part of Regional Hydrogen Hubs program) and Western Australian governments was announced on 19 February 2024 to build the Pilbara Hydrogen Hub. The investment will help build infrastructure to support hydrogen exports and renewable energy production, and to fund a Clean Energy Training and Research Institute. The Pilbara Hydrogen Hub is to be a major centre for hydrogen production and export, a gateway to Australian-made green steel and iron, and to become operational in mid-2028.

Source: Joint media statement - Pilbara Hydrogen Hub to boost Australia's hydrogen industry

September 2023: The Western Australian government opened a consultation regarding the refresh of the Western Australian Renewable Hydrogen Strategy. Consultation closed in October 2023.

Source: Renewable hydrogen: strategy refresh consultation

January 2023: In support of the Western Australian Renewable Hydrogen Strategy and Roadmap, the Western Australian Renewable Hydrogen Prospectus was launched.

Source: Western Australia: An outstanding place for renewable hydrogen investment (January 2023)

December 2022: A mission update for the Western Australian Renewable Hydrogen Strategy was released.

Source: Western Australian Renewable Hydrogen Strategy: Mission update 2022 (December 2022)

October 2022: A consultation paper was released to develop a Renewable Hydrogen Target for electricity generation in the South West Interconnected System (SWIS). Progressed to the detailed design phase.

Source: A Renewable Hydrogen Target for Western Australia

November 2021: The Western Australian government will investment up to AUD 117.5 million to attract Federal funding for renewable hydrogen hubs in the Pilbara and Mid-West regions of Western Australia.

Source: $117.5 million to progress two renewable hydrogen hubs

January 2021: The Western Australian Renewable Hydrogen Strategy was updated in January 2021.

Source: Western Australian Renewable Hydrogen Strategy (2021 update)

November 2020: The Western Australian Renewable Hydrogen Roadmap was launched in November 2022 identifying initiatives to drive and support the Western Australian Renewable Hydrogen Strategy.

Source: Western Australian Renewable Hydrogen Roadmap (November 2020)

September 2020: The Government of Western Australia announced that it is seeking Expressions of Interest from industry to advise on what is required to transform the Oakajee Strategic Industrial Area greenfield site into a globally competitive and sustainable area with a focus on the production of renewable hydrogen. The submissions for this Expression of Interest will close on 24 December 2020.

Source: Oakajee Renewable Hydrogen Expression of Interest

July 2019: The Western Australian Renewable Hydrogen Strategy was released. It sets out the state's potential as a key hydrogen producer and exporter to Asian markets, with support from the establishment of an AUD 10 million Renewable Hydrogen Fund. The Fund will aim to facilitate private sector investment and leverage financial support to the renewable hydrogen industry.

Source: Western Australian Renewable Hydrogen Strategy and Roadmap

 

Northern Territory

May 2024: The 2024-25 Northern Territory Budget's announcements include:

  • AUD 2.5 million towards developing a renewable hydrogen industry;
  • AUD 30 million over three years to support activation of the Middle Arm Sustainable Development Precinct (which will be designed to allow production of both blue and green hydrogen) and development of the Tennant Creek to Darwin infrastructure corridor; and
  • AUD 9.1 million to continue detailed design, strategic environmental assessment and preliminary works for Middle Arm Sustainable Development Precinct.

Source: 2024-25 Budget: Working for the Territory - Budget and Regional Overview

May 2023: The 2023-24 Northern Territory Budget's announcements include AUD 4.6 million over three years to accelerate development of the hydrogen industry and AUD 13 million for the detailed design and preliminary works for the Middle Arm Sustainable Precinct (which will be designed to allow production of both blue and green hydrogen).

Source: Northern Territory Budget 2023-24: Budget and Regional Overview

May 2022: The 2022-23 Northern Territory Budget's announcements include a new funding initiative of AUD 4.6 million per annum in 2022-23 and 2023-24, AUD 4.4 million in 2024-25, AUD 4.2 million in 2025-26 and AUD 3.2 million ongoing from 2026-27 to support jobs growth by accelerating hydrogen industry development and investing in additional biosecurity and aquaculture activities.

Source: Northern Territory Budget 2022-23: Budget Paper No. 2 - Budget Strategy and Outlook

October 2021: The Northern Territory Renewable Hydrogen Master Plan establishes a foundation for private sector investment to establish a local and export renewable hydrogen industry. Activities include local industry development, resource management, grow and harness demand, support innovation, and responsive regulation, the five themes identified in the Territory's Renewable Hydrogen Strategy.

Sources:

July 2020: The Northern Territory Renewable Hydrogen Strategy was released in July 2020, where it states the Territory's vision is to be recognised as a leader in the world transition to renewable hydrogen. It outlines the Territory's hydrogen opportunities and advantages, and a five point hydrogen plan, being local industry development, resource management, growing and harnessing demand, supporting innovation and responsive regulation.

Source: Northern Territory Renewable Hydrogen Strategy