PERTH (miningweekly.com) – Industry has welcomed the Tasmanian government’s support for the development of a green hydrogen industry by 2025.

In announcing new funding to help stimulate domestic green hydrogen capability in Tasmania, Energy and Renewables Minster Guy Barnett said that building a domestic renewable hydrogen capability would strengthen the region’s net zero emissions status and competitive advantage.

“This second round of our Renewable Hydrogen Industry Development Fund will specifically look to fund domestic production and use of green hydrogen at a scale in the order of 5 MW to 10 MW to stimulate local demand and kick-start this new industry,” Barnett said.

“The development of a domestic market for the use of locally produced renewable hydrogen will play a critical role in establishing a viable renewable hydrogen industry in Tasmania.

“To secure funding, proponents will need to be able to commit to commencing production in 2025, provide evidence of their market for the green hydrogen produced and demonstrate a pathway to commercial sustainability.

"It will be the latest step in the government’s plan to become a leader in green hydrogen production and for locally produced renewable hydrogen to be a significant form of energy used in Tasmania by 2030.”

A call for registrations of interest is expected in October 2023.

“I encourage interested parties to work together to develop local proposals that will realise the goals of the Tasmanian Renewable Hydrogen Action Plan and further position Tasmania as a leader in the emerging hydrogen industry,” Barnett said.

ASX-listed ReNu Energy on Monday welcomed the funding, as the company’s wholly-owned subsidiary Countrywide Hydrogen is progressing three distributed green hydrogen projects in Tasmania, at Brighton, Western Junction and Heybridge.

Each location is being designed for a 5MWPlug Power electrolyser and Fabrum hydrogen refuelling station. The projects are strategically located to provide a network of refuelling stations to supply the state’s road transport network.

The projects will also provide for decarbonising natural gas networks and direct supply of 100% green hydrogen to identified industrial customers. First green hydrogen production is targeted for mid-2025 and a final investment decision during 2023.

“The Tasmanian government’s announcement is an endorsement of our strategy. Our projects are focused on supplying Tasmanian customers with access to locally produced green hydrogen to reduce emissions in road transport, to decarbonise natural gas networks and to offer green hydrogen as an energy solution for industrial customers,” said ReNu Energy executive director and Countrywide Hydrogen MD Geoffrey Drucker.

“In making this announcement, the government is honouring its commitment to the 2020 Tasmanian Renewable Hydrogen Action Plan to support hydrogen production projects,” he added.