Spain-based Solarig has signed a Memorandum of Understanding (MOU) with Melbourne-headquartered energy infrastructure company Jemena to assess the feasibility and supply of zero-carbon renewable hydrogen to gas users within Jemena’s network in New South Wales (NSW).
The partnership will initially focus on developing green hydrogen production and blending facilities in regional NSW. These facilities are expected to produce up to 35 terajoules of renewable hydrogen annually.
Under the MOU, Jemena will conduct feasibility assessments to blend the renewable hydrogen into its gas distribution network, which services 1.5 million households, businesses, and industrial customers in NSW.
Jemena, which has been exploring the blending of green hydrogen into the NSW gas network since 2021 when it launched the Western Sydney Green Hydrogen project, said if the initial phase proves successful, the parties will expand their renewable hydrogen initiatives.
Solarig said the hydrogen will be produced using 100% renewable electricity, either generated by its own projects or purchased as renewable energy. The company said it currently manages more than 10 GW of solar assets globally and has a portfolio of more than 20 GW of power projects it its development pipeline, including in Australia.
Solarig Australian Country Manager Andrew Want said the nation’s transition to low-carbon energy, transport, and industry is accelerating at pace, and solutions to decarbonise gas and liquid fuels are an urgent priority.
Want said the development of green hydrogen infrastructure in Australia would support the decarbonisation of industries like transport, agriculture, and mining.
“Our operations in Australia are focused on building infrastructure across regional Australia, where the renewable energy resources are and our major industries are, such as mining, agriculture, and logistics, providing long-term economic development and sustainable employment opportunities to communities in regional areas, in this case in NSW,” he said.
Jemena Managing Director David Gillespie said the Solarig project would support a renewable gas market to provide a long-term decarbonisation pathway for gas, while also contributing to broader economy-wide decarbonisation efforts.
“Australia is right in the midst of a once-in-a-lifetime opportunity to decarbonise our energy sector. But we know there is not one silver bullet that is going to help us reach our emission reduction targets,” he said.
“We are going to need a mix of renewable energy fuels to ensure Australia can reach net zero, while still delivering safe and reliable energy. Forming these types of relationships is essential to developing a robust renewable gas sector.”
Author: Ken Braganza
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