As early works commence on a $11.4 million green hydrogen processing facility in South Australia, the State takes a step forward to transforming its energy system with Australian Gas Networks’ (AGN) Hydrogen Park SA (HyP SA).
“Hydrogen is a fuel of the future and the installation of a 1.25 megawatt electrolyser, the largest of its kind in Australia, at the Tonsley Innovation District puts South Australia at the head of pack striving to unlock its commercial potential.
“Hydrogen Park SA is an $11.4 million demonstration project delivered and funded by Australian Gas Networks, supported by a $4.9 million grant from the South Australian Government,” Minister for Energy and Mining Dan van Holst Pellekaan said.
Hydrogen, produced through the use of an electrolyser, will be injected into the State’s gas supply as part of a five-year demonstration project. Over 700 properties near Mitchell Park will benefit from the hydrogen injection at no additional cost to locals.
“This is particularly important as more renewable electricity generation capacity comes onto the grid.
“Producing a clean burning gas like renewable hydrogen supports Energy Networks Australia’s plan to advance gas networks towards net-zero emissions by 2050,” Mr van Holst Pellekaan said.
According to AGN Chief Executive Officer Ben Wilson, the challenge of decarbonisation is huge.
“Many solutions are needed for Australia to meet its emission reduction targets, and that includes gas stepping up to play its part.
“Developing the hydrogen economy will also play a key role and the momentum around hydrogen is building with burgeoning research and development underway,” Mr Wilson said.
In addition to producing and consuming 100 per cent green hydrogen, the State is well positioned to export to countries that have committed to creating a hydrogen-based economy, including Korea, Japan, China and Singapore.
“Exporting hydrogen made from South Australia’s abundant sun and wind resources presents a significant economic opportunity for our state and we are working towards creating this new industry,” Minister van Holst Pellekaan said.
Construction on HyP SA is now set to go underway with the electrolyser anticipated to arrive early next year. The production of hydrogen is expected to begin in mid-2020.
Subscribe to the PlantMiner blog today to stay up to date with the latest industry news and project updates.