Big hydrogen export dreams in Tasmania stall
Big energy companies’ plans to turn Tasmania’s Bell Bay region into a hydrogen export mecca have taken a back seat as the Tasmanian government turns its focus onto domestic hydrogen projects.
Tasmanian Energy Minister Guy Barnett revealed on Friday that an upcoming round of grants for hydrogen projects would be exclusively focused on projects that sell the clean fuel to consumers inside the island state.
While the grants are expected to be small, the exclusive focus on domestic hydrogen consumption shapes as a big win for small companies such as Countrywide Hydrogen, and a freezing out of bigger players like Fortescue, Woodside and Origin Energy, which have spent years studying hydrogen export projects at Bell Bay.
Countrywide’s Geoffrey Drucker, who drives a hydrogen-powered car, hopes to be selling hydrogen to Tasmanian motorists by 2025. Elke Meitzel
“The development of a domestic market for the use of locally produced renewable hydrogen will play a critical role in establishing a viable renewable hydrogen industry in Tasmania,” said Mr Barnett upon announcing the grants.
“It will be the latest step in the Rockliff Liberal government’s plan to become a leader in green hydrogen production, and for locally produced renewable hydrogen to be a significant form of energy used in Tasmania by 2030.”
Big companies like Fortescue, Woodside and Origin had targeted Bell Bay for projects involving green hydrogen or ammonia (a compound of hydrogen and nitrogen that is easier to transport) because most of Tasmania’s power already comes from carbon-free forms such as hydro or wind.
Bell Bay was originally expected to be the scene of Fortescue’s first green hydrogen project, with the company telling investors in 2020 it would take a
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