What are hydrogen hubs?
Hydrogen hubs are regions where various users of hydrogen across industrial, transport and energy markets are co-located.
Hubs help to minimise the cost of infrastructure, and support economies of scale in producing and delivering hydrogen to customers.
Hubs also facilitate opportunities for sectors to innovate and collaborate, while developing the workforce and skills needed to support a future hydrogen industry.
The hydrogen hub initiative
The NSW Government’s hydrogen hubs initiative is a key action under the NSW Hydrogen Strategy. The strategy sets out our plan to develop a green hydrogen industry.
The initiative is providing up to $150 million in grant funding as part of the new low carbon industry foundation fund extension announced in February 2022. Funding will be used to develop hydrogen hubs focussed on the Hunter and Illawarra regions. This will support the establishment and growth of hydrogen industries across NSW.
These hubs will:
- reduce our carbon emissions in hard-to-abate sectors
- improve air quality
- grow and diversify our economy
- create new jobs
- improve our energy security
- provide businesses with more choices to increase revenue and reduce emissions.
We have a target to increase electrolyser capacity to 700 megawatts (MW) by 2030. To achieve this, we are delivering a competitive process to award grant funding that supports and encourages hydrogen hub development.
While the initiative is focused on developing hubs in the Illawarra and Hunter regions, it also aims to support hydrogen industries in other strategic locations across NSW.
Funding is being prioritised for projects that can scale quickly and support increasing hydrogen demand, such as heavy transport deployment, and projects that support the creation of a distributed refuelling network.
The initiative supports the development of hydrogen hubs through two streams:
- Hydrogen Projects - Grant funding to support commercial scale green hydrogen projects in NSW with confirmed offtake agreements. The projects must include at least one end user in the hub region and can also include end users outside the hub regions, including outside NSW and Australia.
- Hydrogen consumers - Registrations of Interest (ROIs) to identify hydrogen consumers, potential sources of demand across NSW, and within hub regions, to drive scale.
Note: Grant funding is only available for the hydrogen projects stream. Find out more below about how hydrogen consumers can access this funding.
How to get involved
If you wish to receive updates on the NSW Government’s current and future hydrogen initiatives, fill in your details below.
Thank you for registering your interest.