Providence Asset Group's Mr Llewellyn Owens, NSW Energy Minister Matt Kean, UNSW's Professor Kondo-Francois Aguey-Zinsou.

Image: UNSW

More than $15 million in funding from the state government’s Regional Community Energy Fund was announced on Tuesday to help regional communities in New South Wales (NSW) take control of their energy bills and benefit from the economic opportunities presented by the energy transition. The awarded projects will unlock nearly 17.2 MW in electricity generation and up to 17.9 MW/39.3 MWh of energy storage, leveraging approximately $36 million in private investment.

Six projects will install solar, four of which will collocate battery storage on site, and one will deliver a shared community battery scheme.  The list of approved projects includes 5 MW Bayron Bay Solar Farm alongside a 5 MW / 10MWh DC-coupled battery; 500 kW Gloucester Community Solar Farm; the Goulburn Community Dispatchable Solar Farm involving 1.2 MW of solar PV and 400 kW / 800 kWh of battery storage; 1 MW Haystack Solar Garden; Orange Community Renewable Energy Park with a 5 MW solar farm and up to 5 MW / 5 MWh of battery storage; and a 1 MW / 2MWh battery, which will be installed under Enova Community’s Shared Community Battery Scheme for regional NSW.

A project that stands out in the group for its combination of on-site renewable energy technologies is the Manilla Community Solar. The development will feature 4.5 MW of solar PV, 4.5 MW / 4.5MWh of battery storage and a 2 MW /17 MWh hydrogen energy storage system. It will be backed by a $3.5 million grant that has been awarded to the Manilla Solar Project, a partnership between Manilla Community Renewable Energy and green investment outfit Providence Asset Group.

Plans for the Manilla solar farm were announced in December as one of the first of up to 30 community solar initiatives to be rolled out across regional Australia. On Tuesday, it was confirmed that the development will feature an advanced hybrid battery storage system in addition to the solar and battery storage components. According to UNSW, solid-state hydrogen technology will be installed in 20-foot containers with an energy density of 17 MWh and will be a first of this kind in the world in terms of scale.

New generation of batteries

The technology was first unveiled last March when a team of researchers at UNSW headed by Professor Kondo-Francois Aguey-Zinsou said they had developed a unique system that allowed for cheap storage and transportation of hydrogen and could provide a new alternative for energy storage within two years.

Their research, conducted in partnership with H2Store, had been underpinned with $3.5 million in backing from Providence Asset Group. The funding was intended to help the team deliver phase one of a four-stage project that includes the creation of prototypes of their hydrogen energy storage solution for residential and commercial use, demonstration units, and testing and optimization that will enable full commercialization of the product.

Speaking about the first phase of the project, Professor Kondo-Francois Aguey-Zinsou said that he believed his invention would offer significant advantages over current power storage solutions for home solar systems, such as the Tesla Powerwall battery.

“We will be able to take energy generated through solar panels and store it as hydrogen in a very dense form, so one major advantage of our hydrogen batteries is that they take up less space and are safer than the lithium-ion batteries used in many homes today,” he said, adding that the system can actually store about seven times more energy than other that are currently available. Other advantages include a lifespan of about 30 years compared with under 10 for other systems and no fire risk.

On Tuesday, Professor Aguey-Zinsou said: “I am very excited to see the technology we developed in the lab here at UNSW scaled up and used in real-world applications. It will prove the feasibility of hydrogen storage at scale and position Australia to become a major player in transitioning to renewable energy.”

Construction will commence on the Manilla Solar Project in the second half of 2020 and is expected to be operational early 2021. The storage component will be installed during 2021.

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This article originally appeared on pv-magazine-australia.com, and has been republished with permission by pv magazine (www.pv-magazine.com and www.pv-magazine-australia.com.)

Hydrogen from electrolysis is often described as the missing link in the energy transition.

Image: ARENA

Gladstone set to become the nation’s green hydrogen hotspot with two new projects seeking to tap the opportunities in the domestic supply of zero-emissions gas and in the emerging export market. Located in central Queensland, Gladstone is set to become the first entire city in the nation to be on a blend of natural gas and hydrogen.

An Australian first $4.2 million gas injection facility will be built in Gladstone to deliver renewable hydrogen into the city’s gas network, thanks to the first grant from the Queensland Government’s $15 million Hydrogen Industry Development Fund. “Using green hydrogen, Australian Gas Networks (AGN) will trial the blended hydrogen gas with a view to converting Gladstone’s network to hydrogen in the future,” Queensland Premier Annastacia Palaszczuk said.

AGN, part of the Australian Gas Infrastructure Group (AGIG), has been offered more than $1.7 million through the fund to build a blending facility to deliver 10% renewable hydrogen into the gas network. Under its $19 million hydrogen strategy, Queensland is looking to assist companies with the purchase of capital equipment as well as industry players looking to carry out feasibility studies.

“This project will be the first in Australia to blend renewable hydrogen into a gas network with residential, commercial and industrial customers,” Minister for State Development Cameron Dick said speaking from the Gladstone Hydrogen Forum on Thursday.

Elsewhere in Australia, Canadian gas giant ATCO started blending renewable hydrogen into the on-site natural gas network at its Clean Energy Innovation Hub in Jandakot, WA. The blend will be used throughout the Jandakot depot as the first step in exploring the potential of hydrogen for home use in gas appliances.

In another initiative for greening the gas network, energy infrastructure company Jemena is looking to generate hydrogen from renewables and inject it into the existing gas network so that homes and businesses in Sydney could begin using the fuel within five years. The $15 million Western Sydney Green Gas Project aims to demonstrate the co-mingling, storage and distribution of hydrogen and natural gas in the existing network which, as Jemena puts it, has the capacity to store the equivalent of 8 million Powerwall batteries.

“This project supports Gladstone’s vision to be a key hub for Queensland’s domestic and hydrogen export industry, just as it is for natural gas today,” AGN’s CEO Ben Wilson said. AGN had formed a partnership with Central Queensland University (CQU) providing access to the blending facility for CQU staff and students to build skills in hydrogen technologies.

Gigawatt plans

Along with the AGN project, Gladstone has also been selected as the location for the Hydrogen Utility’s (H2U) latest project, a proposed $1.61 billion industrial complex for the large-scale production of green hydrogen and ammonia. The H2-Hub^TM Gladstone facility will be built in stages to integrate up to 3 GW in electrolysis plant, and up to 5,000 tonnes per day ammonia production capacity.

“The integration of mature technologies – such as electrolysis and ammonia synthesis – at industrial scale, powered by 100 per cent renewable power supply, meets the emerging demand for decarbonised products in the energy, chemicals and mobility markets of North Asia,” Attilio Pigneri CEO and Founder of H2U said. He sees Queensland as well-positioned to capitalize on the opportunities from this new industry, in part due to its strong existing trading relationships with Japan.

According to Attilio, Gladstone was an obvious choice for locating industrial-scale green hydrogen and ammonia facilities due to its existing skill base, industrial port eco-system, and strategic location in the Queensland grid. Through the government-run land use planning and property development agency, Economic Development Queensland (EDQ), H2U has purchased a 171-hectare site at Yarwun in the Gladstone State Development Area, which is in close proximity to the export precinct at Fisherman’s Landing.

“The progressive and well-structured planning framework applicable to State Development Areas such as Yarwun, was also a key factor in our selection of the project site,” Pigneri said. “With the land in Gladstone secured under contract the project will now move into master planning and detailed feasibility, targeting approvals by 2023 and first operation in 2025.”

The project could potentially translate into a major bonanza for the city, creating over 100 operational jobs and driving new exports for green hydrogen and ammonia. Ultimately, it could turn Gladstone into the hydrogen export powerhouse on the back of Queensland’s solar, wind and biomass resources, existing gas pipeline infrastructure and developed export infrastructure.

A big step was made last year when Queensland celebrated Australia’s first-ever delivery of green hydrogen to Japan. The fuel was exported by JXTG, Japan’s largest petroleum conglomerate, with hydrogen produced at QUT’s solar cell facility at the Queensland government’s Redlands Research Facility.

Previously, the Queensland government committed $750,000 for a feasibility study into producing hydrogen using solar energy from central Queensland and exporting it to Japan via Gladstone. In a separate initiative, the Australian Renewable Energy Agency (ARENA) announced it was providing $2.9 million in funding to two studies in Queensland looking at the potential to use solar and wind-powered hydrogen produced via electrolysis to increase ammonia production at facilities which currently rely on gas as feedstock.

This article originally appeared on pv-magazine-australia.com, and has been republished with permission by pv magazine (www.pv-magazine.com and www.pv-magazine-australia.com )

Image: Warren Entsch MP

In May 2019, a federal government grant of $990,150 backed Daintree Renewable Energy Pty Ltd toward a feasibility study that would take the fully renewable solar baseload-power microgrid to ‘shovel ready’ status within 12 months. If what Federal MP Warren Entsch has said is true, construction on the project should be underway in a matter of months. 

“Work commenced in early December 2019,” said Entsch, “and will be finalised in July 2020…The final report will include a complete series of engineering and technical design packages including a detailed energy load profile study, microgrid management design, solar generation and storage analysis and design, electrical and civil work designs and microgrid economic analysis.” 

Because the Daintree is a World Heritage Protected Rainforest there are heavy restrictions on planning and development. Because of this, Entsch has also quashed the rumour that further development in the region was on the cards. The microgrid project is it, and, Entsch assures us, it “is being designed to align with the strict planning regime and accommodate energy requirements for existing population and businesses.” 

The proposed microgrid would reduce the Daintree area’s reliance on diesel dramatically. Currently, the region relies on four million litres of diesel fuel per year to generate power. 

Volt Advisory Group project manager Richard Schoenemann said work on the project was “actually” slightly ahead of schedule. “It will remove the need to burn dirty and inefficient diesel in the Daintree,” said Schoenemann, “allowing customers to have access to a cleaner, more affordable, more reliable source of energy.” 

“But more importantly,” Schonemann stressed, “once the concept is demonstrated and up-and-running it will have enormous potential to improve the power supply and lives of people living in remote communities including throughout the Torres Strait.” 

Like many remote island communities, Torres Strait Islanders would greatly benefit from the sustainable renewable energy supplied by solar based microgrids.

The federal government grant forms part of its $50.4 million Regional and Remote Communities Reliability Fund, part of the Morrison Government’s $2 billion Climate Solutions Fund. You may remember the Climate Solutions Fund as the pitiful federal effort toward the nation’s Paris targets that was supposed to be a 10-year investment plan but has already been pushed to 15 years, cutting the investment by 30%.  

Under the scheme, the Coalition government plans to support exploratory work for up to 50 off-grid and fringe-of-grid feasibility studies, and take proposals like the Daintree region project to the investment stage.

The Denham hydrogen plant will be powered by solar.

Image: Horizon Power

The coastal town on Denham could be on the way to become zero emissions thanks to a green hydrogen demonstration project proposed by WA’s regional utility Horizon Power. The hydrogen plant powered by solar energy will supplement existing wind turbines, which already produce 60% of the town’s electricity.

Located in the Shark Bay World Heritage Area, Denham’s existing power supply is a combination of a Horizon Power owned and operated diesel facility, and a Synergy wind farm. Both assets are aging and in need of replacement.

Horizon Power has sought expressions of interest from companies for the supply of the hydrogen electrolyser and fuel cell and to design and construct of the plant. It is also looking at state and federal funding for the trial, while supporting the State Government’s Renewable Hydrogen Strategy by investigating the possibility of demonstrating the use of hydrogen as a future source of energy for the town.

“As part of our commitment to deliver cleaner, greener energy to our regional customers, we want to investigate the potential to develop a hydrogen demonstration plant to test the suitability and capability of hydrogen as a renewable energy source for electricity generation in the future,” Horizon Power Chief Executive Officer Stephanie Unwin said.

If the project is determined to be viable, construction would begin in February 2021. “Proving the reliability of such a hydrogen plant provides the opportunity to expand the plant to supply the full power requirements for the town in the future,” Urwin added.

Last year, the WA Government launched a strategy to set course for the state’s renewable hydrogen future with a focus on four strategic investment areas: export, use of renewable hydrogen in remote applications, blending in the gas network and use in transport. To support projects on ground, the authority last month opened a $10 million Renewable Hydrogen Fund and made cash available to feasibility studies, demonstration or capital works projects, to facilitate private investment.

Last week, the state government set aside $1.68 million in funding from the Renewable Hydrogen Fund toward the support of seven renewable hydrogen feasibility studies, including an electrolysis production plant and solar hydrogen for waste collection.

“Western Australia needs to explore how we can produce, use and provide energy to our international partners through clean and reliable sources – renewable energy via hydrogen provides a means to do this,” Regional Development Minister Alannah MacTiernan said. She noted the government received 19 feasibility study applications of which it chose seven, which confirmed the strong interest of developing a renewable hydrogen industry in WA.

On the ground, Canadian gas giant ATCO is already blending renewable hydrogen into the on-site natural gas network at its solar and battery hydrogen innovation hub in WA. The blend will be used throughout the Jandakot depot as the first step in exploring the potential of hydrogen for home use in gas appliances.

Last year, a massive green hydrogen production project was unveiled for Western Australia with Siemens on board as technology partner. The project proposed by Hydrogen Renewables Australia (HRA) aims to produce green hydrogen for local industry and export to Asia from up to 5,000 MW of combined wind and solar capacity.

This article originally appeared on pv-magazine-australia.com , and has been republished with permission by pv magazine (www.pv-magazine.com and www.pv-magazine-australia.com ).

Green hydrogen can be produced through electrolysis from any low-cost energy source.

Image: Siemens

Hydrogen cost competitiveness is closer than previously thought and scaling up existing hydrogen technologies will deliver competitive low-carbon solutions across a wide range of applications by 2030, finds a new report published by Hydrogen Council. Yet, to reach this scale, there is a need for investment, policy alignment, and demand creation.

As scale-up of hydrogen production, distribution, as well as of equipment and component manufacturing continues, cost is projected to decrease by up to 50% by 2030 for a wide range of applications, making hydrogen competitive with other low-carbon alternatives and, in some cases, even conventional option, finds the report prepared by global consultancy McKinsey. To deliver on this opportunity, supporting policies will be required in key geographies, including Australia, together with investment support of around US$70 billion.

“Based on real cost data from the industry, the analysis shows that a number of hydrogen solutions can become competitive until 2030 already.” says Bernd Heid, Senior Partner at McKinsey & Company. “Out of 35 use cases analysed, at-scale hydrogen can be the lowest cost low-carbon solution in 22 use cases – such as in the steel industry and heating for existing buildings. And it can beat fossil-based solutions at scale in 9 use cases – for example in heavy-duty transport and trains.”

2030 promise

Strong fall in the cost of producing low carbon and renewable hydrogen is one of the main drivers of this cost trajectory and hydrogen produced via electrolysis is identified as one of the areas where investment until 2030 would make the biggest difference. According to the report, achieving competitive renewable hydrogen from electrolysis will require the deployment of aggregated 70 GW of electrolyzer capacity, with an implied cumulative funding gap with grey production of $US20 billion.

In an earlier analysis, Wood Mackenzie also identified 2030 as the year when green hydrogen, produced primarily by solar electrolysis, would reach cost parity. According to the consultancy, renewables hydrogen could reach parity in Australia, Germany, and Japan by 2030, based on US$30/MWh renewable electricity and 50% utilization hours for electrolyzers.

In production, the cost of low-carbon and/or renewable hydrogen production will fall drastically by up to 60% over the coming decade, the Hydrogen Council report states. This can be attributed to the falling costs of renewable electricity generation, scaling up of electrolyzer manufacturing, and the development of lower-cost carbon storage facilities. Although it identified the same drivers behind falling costs, the International Energy Agency (IEA) was more conservative in its forecast. Its earlier analysis showed that the cost of producing hydrogen from renewable electricity could fall around 30% by 2030.

“2020 marks the beginning of a new era for energy: as the potential for hydrogen to become part of our global energy system becomes a reality, we can expect fewer emissions and improved security and flexibility. This announces the decade of hydrogen,” said Benoît Potier, Chairman and CEO of Air Liquide and Co-chair of the Hydrogen Council. “A clean energy future with hydrogen is closer than we think, because the industry has been working hard on addressing key technology challenges.”

While often touted as the missing link in the energy transition, hydrogen has seen false dawns before. Declaring 2019 a critical year for hydrogen, the IEA said hydrogen was enjoying unprecedented momentum around the world. This was corroborated by the emergence of hydrogen roadmaps and strategies from around the world, which all suggested a large scale and rapid deployment of hydrogen technologies is expected from around 2030 onwards.

In Australia, state and federal energy ministers have given a tick of approval to the National Hydrogen Strategy prepared by chief scientist Alan Finkel and voiced support for a $370 million fund for green hydrogen projects. However, against high expectations of the country’s hydrogen export potential, The Australia Institute’s analysis has suggested that Australia has overhyped the potential demand for hydrogen exports by a factor of up to 11.

At the Friday meeting in Perth, the COAG Energy Council agreed to the National Hydrogen Strategy, which is expected to pave the way for a hydrogen economy that would enhance Australia’s energy security, create jobs and build an export industry valued in billions. The federal government used the meeting to announce $370 million would be directed to a new fund aimed at developing Australia’s hydrogen industry.

The money to bankroll green hydrogen projects will come from existing allocations to the Clean Energy Finance Corporation (CEFC) and Australian Renewable Energy Agency (ARENA), with the former tipping in $300 million and the latter $70 million. According to Energy Minister Angus Taylor, the funding will help Australia to realise its potential as a leading hydrogen supplier to key export markets, particularly in Asia.

Despite positive aspects, the National Hydrogen Strategy remains “technology-neutral”, with both hydrogen produced using renewable energy and the one via fossil fuels with “substantial” carbon capture and storage (CCS) in the game. Throughout the consultation process, Australia’s Chief Scientist Alan Finkel continued to push Australia toward hydrogen produced by solar and wind, but also remained attached to the fossil fuel-CSS idea. The stance was reflected in the Strategy itself.

Notwithstanding the efforts by ACT Energy Minister Shane Rattenbury on Friday to change the strategy so it only supported green hydrogen, federal resources minister Matt Canavan said after the meeting the government would be encouraging all forms of hydrogen creation, including production using brown coal.

“A decade ago the fossil fuel industry promoted clean coal using CCS and now it is promoting hydrogen using the same unsuccessful technology. CCS projects have repeatedly failed to live up to promises, both domestically and globally, and missed their targets by a very large margin time and time again,” Merzanin said. “The only way to make hydrogen truly sustainable is to produce it using water and powered by renewable energy sources. Australia has time to establish and lead a global renewable hydrogen industry and should focus research and development efforts in that area exclusively.”

This article originally appeared on pv-magazine-australia.com and has been republished with permission by pv magazine (www.pv-magazine.com and www.pv-magazine-australia.com