HydGene technology produces hydrogen from biomass waste
Modular plants to produce green hydrogen in rural and remote areas
Australian company HydGene Renewables has developed an alternative green hydrogen solution that converts biomass sugars into hydrogen gas, via a carbon-negative process.
$2m
CEFC commitment
Innovative
hydrogen solution
Up to 91%
less energy used
Our innovative technology not only paves the way for the growth and adoption of decentralised manufacturing hubs, but also plays a crucial role in the global transition to an affordable, green hydrogen economy.Dr Louise BrownCEO and Co-founder, HydGene Renewables
Our investment
The CEFC has committed $2 million through the Clean Energy Innovation Fund to a $6 million HydGene Renewables capital raising, which also attracted $2.5 million from lead investor Agronomics.
HydGene has engineered bacteria to produce an innovative biocatalyst, converting sugars derived from biomass to hydrogen gas. The process takes place in HydGene-designed modular plants, enabling localised green hydrogen production in rural and remote areas, where the cost of transporting hydrogen can be high. The highly efficient biocatalyst system can be scaled up or down to meet demand.
The HydGene technology is biomass agnostic, with a focus on resources that already exist, and which would otherwise be discarded or burned. The flexibility of this new fuel source offers a potential decentralised solution to energy generation, fuel supply and waste management, producing hydrogen where and when it is needed.Blair PritchardPartner, Virescent Ventures
our impact
Producing high-purity hydrogen from wheat straw
HydGene announced in March 2026 that its team had successfully demonstrated continuous production of high-purity hydrogen from wheat straw using a fully commissioned pilot plant. Importantly, its engineered catalyst systems had operated continuously for more than two years, validating the durability and stability of the platform.
Other key outcomes included:
- Up to 91 per cent less energy use compared with conventional ammonia production
- 2.4 tonnes of CO₂-e prevented per tonne of fertiliser, opening the door to carbon-negative fertiliser systems.
The milestone was achieved through the Australia-UK Renewable Hydrogen Innovation Partnership and represents an important step toward decentralised ammonia production.
Growing the green hydrogen industry
The CEFC investment in HydGene, managed by climate-tech specialists Virescent Ventures, is aimed at supporting the development of the technology alongside electrolytic hydrogen to grow Australia’s green hydrogen industry as a critical factor in the net zero emissions economy of the future.
The HydGene technology offers the potential to make green hydrogen with biomass resources that already exist and is particularly suited to markets where feedstock supply and waste are abundant, such as the agricultural, forestry, paper and pulp and food industries.
The opportunity for Australia’s clean hydrogen sector
Hydrogen could supply up to a fifth of global energy needs and generate a market worth US$2.5 trillion by 2050, according to the Global Hydrogen Council.
Australia aims to be a global hydrogen leader by 2030, potentially exporting hydrogen and using it to decarbonise Australian industries. Modelling by McKinsey and the Department of Climate Change, Energy, the Environment and Water has predicted that Australia’s hydrogen industry could generate $50 billion in additional GDP by 2050.