The NSW government has signed a $45 million funding agreement to build the Hunter Valley Hydrogen Hub on Kooragang Island.
The project, led by Origin Future Fuels with funding from the Commonwealth and NSW governments, is expected to be a “regional cornerstone of the hydrogen industry, accelerating NSW’s shift towards clean technologies and net zero”.
“Projects like the Hunter Valley Hydrogen are vital to decarbonising the industrial sector as we work towards a net-zero future,” says NSW Energy Minister Penny Sharpe.
“The Minns Labor government is committed to investing in clean technologies which will create new jobs, business opportunities and allow NSW to become a clean energy superpower.”
The Hunter Valley Hydrogen Hub will produce green hydrogen through electrolysis (splitting water), which can be used to store energy and as a feedstock in industrial processes. The hub will initially deliver approximately 55 megawatts of electrolyser capacity by 2026, with an aim to scale up to over one gigawatt of capacity over the next decade.
The hydrogen produced by the hub will be used by industry, with the majority going to Orica’s nearby ammonia manufacturing facility to help decarbonise its operations. Hydrogen will also be made available to transport customers through onsite and satellite refuelling stations.
The project will deliver up to 150 direct (construction and ongoing) jobs, and up to 65 indirect construction jobs in the Hunter.
The NSW government has previously approved $28.5 million for the Illawarra Hydrogen Technology Hub and $35.8 million for the Good Earth Green Hydrogen and Ammonia Project in Moree.
