Australia to fund BP for renewable hydrogen production

The Australian Renewable Energy Agency (ARENA) will fund $1.71 million to BP Australia to produce renewable hydrogen instead of natural gas to produce renewable ammonia in Western Australia, according to the agency's statement Friday.

An independent agency of the Australian federal government, ARENA said BP will partner with Australia-based GHD Advisory in the study to investigate producing renewable hydrogen using electrolysis powered by renewable energy.

The research would yield results to better understand the technological and financial consequences of a fully integrated supply chain for renewable hydrogen, according to the statement.

When completed in February 2021, the study will produce approximately 20,000 tonnes of renewable ammonia from the facility per year for domestic use.

Darren Miller, ARENA’s CEO, said renewable hydrogen represents a significant economic opportunity for Australia's future.

“Australia is a key market for BP and other companies to progress their strategic developments for the future renewable hydrogen industry because of our abundant renewable energy resources and established trade partners,” Miller was quoted as saying in the statement.

Miller also said the study would also support heavy industry to reduce its emissions.

“BP believes that ‘green’ hydrogen, produced using renewable energy, will play an increasingly important role, particularly in parts of the world with high renewable energy potential, such as Western Australia,” BP’s Asia Pacific Chief Operating Officer, Frederic Baudry, said.

ARENA has committed over $55 million towards hydrogen initiatives so far, including over $22 million to research and development projects, and almost $28 million to demonstration, feasibility and pilot projects.


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