Tasmania’s ambitions to become a global exporter of green hydrogen are gaining traction as the state government names Bell Bay Power Fuels as the provisional proponent for its flagship Green Hydrogen Hub.
The announcement follows a competitive Expressions of Interest (EOI) process that drew five qualified bids, reinforcing investor appetite for large-scale hydrogen deployment in Australia’s most renewable-rich state.
Located at the Bell Bay Advanced Manufacturing Zone in northern Tasmania, the proposed hydrogen facility is expected to produce up to 45,000 tonnes of green hydrogen annually—enough to power more than 2,200 heavy vehicles for a year, based on current fuel cell efficiency standards. The project could serve both domestic applications and future export markets, particularly as Asian demand for green hydrogen and derivatives like ammonia scales in response to decarbonization targets.
Beyond emissions reductions, the hub is being positioned as a regional economic engine. The project is projected to create approximately 740 direct and indirect jobs, spanning both high-skill energy roles (engineers, technicians) and local trade professions such as fitters, electricians, and metalworkers. These figures place the hydrogen hub on par with other industrial-scale green hydrogen projects under development across Australia, where job creation has become a key metric for justifying public support.
The Bell Bay site offers several structural advantages: abundant renewable energy supply, deepwater port access, and integration potential with Project Marinus—an interconnector project linking Tasmania to the mainland electricity grid. The Marinus Link could eventually facilitate two-way energy trade and help stabilize power markets as hydrogen electrolyzers add flexible demand to the system. To that end, the state has provisioned a $300 million equity commitment toward Marinus, contingent on a final investment decision expected in August 2025 by Tasmania, Victoria, and the Commonwealth.
To support its broader energy agenda, the Tasmanian Government’s 2025–26 Budget includes $64.8 million over four years for strategic renewable projects. This includes the $14.4 million Renewable Energy Approvals Pathway—a streamlined regulatory track for complex infrastructure—and the development of a Renewable Energy Services Hub to support the hydrogen sector and associated supply chains.
While Tasmania is often overshadowed by larger hydrogen initiatives in Western Australia, South Australia, and Queensland, its near-100% renewable electricity generation profile gives it a cost and emissions credibility edge. The Bell Bay Green Hydrogen Hub will draw on this advantage to produce hydrogen via electrolysis, leveraging Tasmania’s hydro and wind capacity rather than relying on grid balancing mechanisms or imported renewables.
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