The NT needs a strategy to kickstart a clean, innovative, safe and competitive renewable hydrogen industry that creates jobs and benefits all Territorians.
Renewable hydrogen is an emerging zero-emissions fuel that will play a vital role in the NT’s grid of the future. As stated in the federal government's National Hydrogen Strategy, in the future renewable hydrogen will transform how we power our homes, our heavy industries, our transport and ultimately, our economy. It will create local jobs and build an export industry (dubbed 'shipping sunshine') valued in the billions.
In its latest annual report, the Territory's main electricity generator Territory Generation stated it was engaged with the Australian Renewable Energy Agency (ARENA) on a hydrogen solution for Yulara in Central Australia “to significantly increase solar energy deliverables to that region”. Unfortunately, this project has been rejected by the NT Government Treasury.
The Territory has the potential to be major global player in the renewable hydrogen industry by 2030. But first we need a government with a renewable hydrogen strategy.
How will this create Territorian jobs and support Territorian businesses?
Cast your minds forward one decade. By 2030, thousands of Australians could be working in an industry exporting a million tonnes of renewable hydrogen every year and worth billions to our economy.
The Territory is well-placed to capitalise on the renewable hydrogen export market thanks to:
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Exceptional renewable energy resources enabling zero-emissions hydrogen at low cost
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Existing infrastructure and experience in LNG exports, transferable to a hydrogen industry
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Existing trading relationships with customers in East Asia.
These advantages mean the Territory will be able to export renewable hydrogen to East Asia at a lower cost than most competitors. It is an ambitious and achievable aim for the Territory to capture two-thirds of Australia’s renewable hydrogen export industry. By 2030 this could mean for the NT:
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960 direct jobs in the hydrogen production and export industry
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2,830 new jobs created indirectly
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$590 million direct economic contribution
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Over $2.9 billion FOB (Free on Board, or the value of goods at purchase).
Producing this amount of hydrogen would require around 5.5 gigawatts of renewable energy capacity - an important part of our 10 gigawatt vision of the NT's future.