In an Australian first, renewable hydrogen will be delivered to 700 homes in Mitchell Park when Australia's largest electrolyser is switched on at Hydrogen Park South Australia (HyP SA) today.
The commissioning of the Australian Gas Network's electrolyser at HyP SA will see the 700 customers receive a blend of 5% renewable hydrogen and natural gas delivered through the existing gas network.
Operated by Australian Gas Networks (AGN), part of the Australian Gas Infrastructure Group (AGIG), the $14.5m renewable hydrogen production facility is Australia's largest renewable gas project and a market leader in decarbonisation of Australia's gas supply.
The facility was officially opened today by Premier of South Australia the Steven Marshall and the Dan van Holst Pellekaan Minister for Energy and Mining.
"Hydrogen is a fuel with tremendous potential and the Marshall Government is getting in on the ground floor to ensure we can service local, national and international demand for zero carbon hydrogen," Minister van Holst Pellekaan said.
"I congratulate AGIG for their outstanding success delivering Hydrogen Park South Australia which was supported by a $4.9 million grant from the Renewable Technology Fund.
"South Australia is well placed to be among the global leaders in the production, consumption and export of renewable hydrogen which can assist in the cutting of emissions from gas, transport and heavy industries as well as open up a major new export opportunity.''
The renewable hydrogen gas is created onsite using renewable electricity to split water (H2O) into hydrogen and oxygen through a 1.25 megawatt electrolyser, the largest in Australia.
Minister van Holst Pellekaan said the State Government was committed to supporting the rapidly growing industry through investment and innovation outlined in its Hydrogen Action Plan.
"Green hydrogen is a fuel of the future and will play an important role in helping achieve our goals of 100 per cent net renewable energy and reducing greenhouse gas emissions by more than 50 per cent in South Australia by 2030,'' he said.
"The outcomes of this project are part of the State Government's ambition to blend up to 10 per cent renewable hydrogen in South Australia helping to drive domestic demand and consumption.
"Importantly, there is no additional cost to customers who will receive the blended 5 per cent renewable gas as part of this project and the change will not impact any arrangements they have with their existing natural gas retailer.
"Countries around the world are looking for new technologies to help decarbonise their industries and the Marshall Liberal Government intends to create local jobs by become a world-class producer, supplier and exporter of 'green' hydrogen.
The HyP SA facility is also supplying renewable hydrogen gas to South Australian industry through an agreement with BOC that will allow renewable hydrogen to be transported by road to industrial customers in Whyalla and throughout Australia.
AGIG Chief Executive Officer, Mr Ben Wilson said the successful completion of HyP SA is an important milestone in South Australia's renewable gas journey and reflected widening community recognition of hydrogen's significant benefits.
"HyP SA is an Australian first and one of only a few projects in the world to deliver a renewable gas blend to homes connected to an existing gas network," he said.
"The hydrogen produced at HyP SA shows how we can use the state's abundant solar and wind resources to deliver carbon-free gas to homes and businesses.
"AGIG is leading the way in renewable hydrogen across the energy value chain in Australia, with a number of major projects across all mainland states."
