Australia and Germany have signed a landmark agreement under which the two counties will explore opportunities for future collaboration on commercial scale operations and investments in hydrogen production.
Minister for Trade, Tourism and Investment Simon Birmingham said the agreement initiates a feasibility study to investigate the Australian-German supply chain involving the production, storage, transport and use of hydrogen, produced from renewables.
“These kinds of partnerships will be critical to further developing our emerging hydrogen industry and Australia’s future as a powerhouse in clean energy exports,” Minister Birmingham said.
“This study gets the ball rolling on the development of future hydrogen supply chain with Germany which could lead to billions of dollars in export earnings for Australia and help them meet their future clean energy ambitions.
“With Australia well positioned to be a major supplier of low emissions hydrogen, and global demand for hydrogen continuing to grow, we need to continue to develop links with future importers around the world.”
Resources Minister Keith Pitt said the study – which is expected to be completed in approximately 24 months – will look to underpin the future of hydrogen supply and help to inform two-way trade and investment between Australia and Germany.
“This kind of cooperation is another step in helping to secure Australia’s clean-energy trading future which is backed by our abundant natural resources and strong history of being a reliable supplier,” Minister Pitt said.
“This agreement will open up another new market for our resources and potentially create thousands of new job opportunities for Australians well into the future.
“Clean hydrogen is a transformational fuel that can be used to power vehicles, generate heat and electricity, and as a chemical feedstock in major industrial applications.
“Australia has what it takes to be a world leader in hydrogen production and exports that will help our trading partners lower their emissions.”
Minister for Energy and Emissions Reduction Angus Taylor stressed that Australia has the natural competitive advantage to be a world leader in exporting hydrogen.
“The expertise and infrastructure from our gas industry will assist us to use hydrogen as an energy source at home,” Minister Taylor stated.
“Australia’s future hydrogen industry has the potential to generate 7,600 new jobs by 2050, many in regional Australia, with exports estimated to be worth around $11 billion a year in additional GDP. This is why the Australian Government has committed more than $500 million to back this industry’s development.”