Australia's Hydrogen Export Potential: A Gateway to European Markets
Key Ideas
- The TrHyHub study reveals that the long distance from Australia to Europe contributes only 9% to the total cost of producing and delivering ammonia, making it a minor cost factor.
- Abundant solar and wind resources at Oakajee help reduce hydrogen production and storage costs, potentially making Australian hydrogen cost-competitive in the EU market.
- Australia's updated National Hydrogen Strategy includes a 2030 hydrogen export target, aiming to tap into the forecasted US$1.4 trillion global hydrogen market in 2050.
- Key players like BP, Fortescue Metals Group, and Aboriginal Clean Energy Partnership are investing in green hydrogen projects in Western Australia, highlighting the growing interest and activity in the Australian hydrogen market.
The TrHyHub study has conducted a techno-economic analysis of an ammonia supply chain from Oakajee, Australia, to Germany, revealing that the distance factor only contributes 9% to the total cost. The study showcases the potential for Australia to capitalize on the EU's hydrogen import target, aiming to produce and import 10 million tonnes of green hydrogen by 2030. The Oakajee Strategic Industrial Area could host the Mid West Hydrogen Hub, facilitating large-scale hydrogen production and exportation. Plans for the Mid West Hub include a clean ammonia export project, expected to produce up to one million tonnes of clean ammonia yearly starting 2029. The use of solar PV and wind energy to power electrolyzers for green hydrogen production is a key highlight. Australia's National Hydrogen Strategy aligns with its intention to export green hydrogen, targeting a base export of 0.2 million tonnes per year by 2030. Key players like BP and Fortescue Metals Group are investing in green hydrogen projects in Western Australia, emphasizing the country's commitment to leveraging its renewable energy resources for hydrogen production and export. The Aboriginal Clean Energy Partnership's agreements to develop a green hydrogen production facility powered by a 900MW solar PV plant further demonstrate the growing interest and potential benefits of hydrogen in Australia.
Topics
Europe
Green Hydrogen
Renewable Energy
Wind Energy
Australia
Export Market
Economic Opportunity
Strategic Planning
Solar PV
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