The Hunter’s future as the pre-eminent site in NSW for Hydrogen energy production and export is a step closer with further investment from the Federal Government announced today.
Senator for New South Wales, Perin Davey, said the Coalition Government has now increased the funding available under two Hydrogen Hub Grants programs: one for feasibility studies and one for implementation, to help accelerate the commercialisation of the low-emissions energy.
“A Hunter Hydrogen Hub is a strong contender for funding thanks to strong interest from the commercial sector, the existing capabilities of local infrastructure and resources and a commitment from the New South Wales State Government,” she said.
“The Hydrogen Hub locations have been identified in areas where it is possible to create economies of scale, by co-locating hydrogen producers, users and exporters in one area – all factors that make the Hunter an ideal location.
“Commonwealth funding makes these projects more appealing to private sector investment, by creating domestic demand to reduce hydrogen industry costs, while scaling-up its production.
“If we can get the balance right, this new industry could be a source of hundreds of new jobs in Hunter and also attract new industries to the region.”
The now $464 million grant program provides up to $3 million grants for project consortia towards feasibility and design work, and up to $70 million towards the roll-out of projects that are further along the commercialisation pathway.
“There is no reason why we cannot harness the exceptional advantages offered by the Hunter, including its highly-skilled workforce and proximity to the Port of Newcastle, to support the emergence of the emerging clean hydrogen industry.”
The development of Clean Hydrogen Industrial Hubs are designed to support the goal of delivering hydrogen production costs of less than $2 a kilogram, as outlined by the Federal Government’s Technology Investment Roadmap.
Program guidelines are now available at business.gov.au, with applications to open in the coming weeks.