Gas news
Winter 2019
energysafe issue 54
National Hydrogen
Strategy
By Enzo Alfonsetti, Manager, Type A Gas Appliance & Component Safety
Over the past decade there has been much debate over Australia’s
energy policy and its obligations to tackle climate change under
the Kyoto Protocol and, more recently, the Paris Agreement.
More recently, as was seen during the
Federal Election, the dilemma of tackling
climate change while ensuring affordable
and reliable energy for consumers has
remained a challenge for everyone.
In August 2018, the Hydrogen Strategy
Group, chaired by Australia’s Chief
Scientist, Dr Alan Finkel, published
a briefing paper for the Council of
Australian Governments (COAG)
Energy Council entitled ‘Hydrogen
for Australia’s Future’.
The briefing paper outlines that both
Japan and South Korea are committed
to a hydrogen economy, therefore a
tremendous opportunity exists for
Australia to become a major producer
and exporter of hydrogen to the
respective countries.
This would allow Australia to leverage
from the opportunities and develop
its own hydrogen infrastructure for
a number of applications including
transport, power generation and
gas appliances.
A media release from the Chief Scientist
published at the same time last year
declared that:
“Hydrogen could be Australia’s next
multibillion dollar export opportunity.
Hydrogen produces only water vapour
and heat when burned. When produced
from water using renewable electricity,
or from coal or methane combined
with carbon capture and storage,
it’s a close to zero-emissions fuel.
With appropriate safeguards, it’s just
as safe as natural gas, and just as
convenient for consumers. In Australia,
we have all the necessary resources
and expertise to make hydrogen at
scale: wind, sun, coal, methane,
carbon sequestration sites.”
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Hydrogen gas is an abundant natural
resource, but the challenge is extracting
it from the environment. The focus on
hydrogen and its various production
methods has led to the introduction
of some new terminology. In December 2018, the COAG Energy
Council agreed to support a proposal
by Australia’s Chief Scientist to develop
a National Hydrogen Strategy in 2019,
and establish a dedicated working group
to lead activities that achieve this vision.
Green hydrogen is produced by
splitting the water molecule (H 2 O)
through an electrolysis process driven
by excess renewable energy from solar
and wind power. Seen as the ‘holy grail’
of hydrogen production, there are no
carbon dioxide (CO 2 ) emissions involved
in the process. At the moment, however,
the electrolysers used for the electrolysis
process are not commercially viable or
able to produce hydrogen in significant
quantities. The working group is considering
six streams:
» » Hydrogen Exports
» » Hydrogen for Transport
» » Hydrogen in the Gas Network
» » Hydrogen for Industrial Users
» » Hydrogen to Support Electricity Systems
» » Cross-cutting Issues (e.g. Standards,
R&D, etc.)
Blue hydrogen is produced by cracking
natural gas (methane) using a steam
methane reforming process where CO 2
is also produced and captured using
carbon capture and storage (CCS)
technology.
Brown hydrogen is produced via coal
gasification where CO 2 is also produced,
but again is captured using CCS
technology. The Victorian Government,
in collaboration with a Japanese-led
consortium, is progressing with a pilot
project to test the economic feasibility
of producing brown hydrogen in
the Latrobe Valley and shipping
the liquefied product to Japan.
In March 2019, the working group
published its Request for Information
—Discussion Paper.
The paper outlines how the working
group will action the activities, and
includes the published responses
of the paper’s Request for Input.
ESV is playing an active role in
development of the National Hydrogen
Strategy, providing feedback and
advice to the Victorian Department of
Environment, Land, Water and Planning
(DEWLP) and the Federal Department
of Industry, Innovation and Science.
In particular, ESV is providing input for
the Hydrogen in the Gas Network stream
and its impact on safety and legislation.
ESV also participated in a National
Hydrogen Strategy workshop in
April with the National Hydrogen
Strategy Taskforce.