SA, California Ink Historic Clean Energy Deal

SA Gov

South Australia has signed an historic letter of cooperation with the State of California, which will herald a new era of collaboration to advance the states' shared leadership in renewable energy and clean hydrogen technology.

Premier Peter Malinauskas signed the letter with California in the presence of the Acting Governor of California Eleni Kounalakis in Sacramento on Wednesday, on the first leg of his trip to the United States.

Both states have agreed to work together on:

  • Developing world-leading clean renewable hydrogen projects for the production of green hydrogen and other low and zero carbon fuels and scaling hydrogen production for use and export, including cooperation between Hydrogen Power SA and the California Natural Resources Agency and California Energy Commission.
  • Advancing the clean energy transition and its integration of renewable energy into their respective grids
  • Exchanging leading practices on regulations and standards-setting to support the development of a clean renewable hydrogen industry
  • Advancing large-scale renewable energy generation and storage such as wind, solar PV, batteries and long duration energy storage
  • Supporting the decarbonisation and electrification of buildings, industry, and transportation, to increase grid flexibility, demand response, and vehicle-to-grid technologies
  • Supporting technologies to achieve better energy efficiency and demand management and enable distributed energy resources
  • Exchanging best practices on policies and other mechanisms to support the uptake of zero emission vehicles, including light-duty passenger vehicles, medium-duty and heavy-duty trucks and buses, and goods movement, and investment in charging and refuelling infrastructure
  • Exploring cooperation on strategies to further the transition of high emitting industries and industrial processes to low carbon alternatives
  • Accelerating concrete actions across our similar Mediterranean climates to protect communities and adapt to current and future climate impacts
  • Nature-based solutions to improve ecological function and to help address climate change
  • Methane mitigation
  • Research and industry partnerships in low carbon technologies
  • Strengthening critical minerals supply chains

Like South Australia, California is a global leader when it comes to renewable energy – both states have achieved periods where 100 per cent of their energy needs have come from renewable sources.

California has been selected by the United States Department of Energy to be a National Hydrogen Hub, with $1.2 billion invested to accelerate the development and deployment of clean renewable hydrogen.

As part of the State Prosperity Project, South Australia is building the world's largest hydrogen power plant and electrolyser at Whyalla.

California is the fifth largest economy in the world, with a nominal GDP of US$3.9 trillion, compared with Australia's national GDP of US$1.7 trillion.

As put by Peter Malinauskas

This is a significant step forward for our two states and I am honoured that California has agreed to partner with South Australia.

South Australia and California have many shared interests – we both enjoy a Mediterranean climate, we have shared values and we both have ambitions to lead the world in decarbonisation.

We are both already leaders in our respective nations when it comes to renewable energy, and we both share a commitment to advance clean hydrogen technology.

Like South Australia, California enjoys plentiful solar and wind resources, as well as the critical minerals the world needs to decarbonise.

It just makes sense that two global leaders in renewable energy like South Australia and California should work together to advance our shared interests in clean energy to advance our states' economies and the world's drive towards decarbonisation.

We can learn a lot from California, and I hope we can help them with their ambitious agenda.

As put by Eleni Kounalakis, Lieutenant Governor of California

Today's landmark partnership between California and South Australia is another example of our unwavering commitment to combatting our climate crisis.

Together, we acknowledge that the fight against climate change knows no borders. With a shared commitment to advancing renewable hydrogen and fostering clean energy solutions, this collaboration is another pivotal step towards a sustainable, clean energy future for generations to come.

As put by Liane Randolph, California Air Resources Board Chair

Climate action requires collaboration and the sharing of successes and ideas, which is why the partnerships between South Australia and California is an important step in working toward cleaner air and healthier communities.

Our shared commitment to solutions and to developing world-leading clean economies will strengthen our work on climate change.

As put by Commissioner Patty Monahan, California Energy Commission

The signing of the Letter of Cooperation shows how important combatting climate change is to both California and South Australia. I'm honoured to witness this new partnership and look forward to collaborating with our South Australian partners to reach our ambitious clean energy goals.

As put by Tanya Bennett, Australian Consul-General in Los Angeles

This commitment builds on the strong foundations of Australia's landmark partnership of cooperation with California to accelerate climate action - and is a reflection of Australia's significant progress to decarbonise its economy and drive the transition to net zero.

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