The Australian Gas Infrastructure Group (AGIG) has achieved financial close for its Hydrogen Park Murray Valley development, marking the progress of one of Australia’s most significant renewable hydrogen projects.
The Australian Renewable Energy Agency (ARENA) has committed $36.1 million on behalf of the Australian Government to support AGIG in deploying a 10MW electrolyser in Wodonga, Victoria.
The Hydrogen Park Murray Valley project aims to produce renewable hydrogen that will initially be blended into the local natural gas distribution network. Located adjacent to the North East Water’s Wodonga Wastewater Treatment Plant, the facility will become the largest renewable hydrogen facility on the east coast of Australia and equally the largest in the country upon completion.
By displacing natural gas with renewable hydrogen blends of up to ten percent, the project will contribute to reducing carbon emissions without impacting gas users. With over 40,000 connections to the local gas network, the hydrogen produced by the project is estimated to benefit approximately 85,000 people living across the Victoria and New South Wales border. At a ten percent blend, the project is predicted to reduce approximately 4,000 tonnes of CO2 emissions annually.
ARENA CEO Darren Miller emphasized the importance of getting these initial renewable hydrogen projects operational to scale up Australia’s renewable hydrogen industry. The Hydrogen Park Murray Valley project will be a pioneering endeavor, contributing valuable insights and learnings as Australia’s hydrogen industry evolves into a crucial component of the net-zero economy.
Miller acknowledged ARENA’s ongoing commitment to advancing renewable hydrogen projects, including their support for the Australian Government’s Hydrogen Headstart program and other large-scale initiatives. He expressed excitement about the project’s ability to immediately reduce local emissions and its potential to supply additional markets as they transition towards net-zero goals.
Construction of the Hydrogen Park Murray Valley project is scheduled to commence in 2023, with the site expected to be fully operational by 2025.