Advancing Hydrogen Fund
A new clean energy source for Australian industry
Momentum to identify Australia’s emerging green hydrogen opportunities gathered pace in 2020–21, with the CEFC working across the market to progress large-scale investment opportunities through the $300 million Advancing Hydrogen Fund. We are confident of making our first investment through the Fund in the 2021–22 year.
While large-scale investments in new technologies necessarily take time to develop, we were pleased to make our first hydrogen-related investment in Hysata, a new company created to commercialise innovative electrolyser production technology. Reflecting the start-up nature of Hysata, this investment was made through our Clean Energy Innovation Fund, rather than the Advancing Hydrogen Fund.
Cost competitiveness of green hydrogen on the horizon
With Australia’s hydrogen industry in its infancy, we are working to lift understanding about investment opportunities among producers, large-scale energy users and investors. Our Australian hydrogen market study provided detailed analysis of the economic, technology and infrastructure factors that will underpin the green hydrogen economy.
- Green hydrogen is already approaching cost competitiveness for heavy trucking, buses and remote power
- Parallel advances in production and distribution costs, as well as ongoing technology evolution, will accelerate the commercial attractiveness of green hydrogen across key areas of the economy
- Large-scale development would be critical to driving down installation and commissioning costs, similar to the accelerated development experienced by Australia’s large-scale renewable energy sector