Australian Gas Networks (AGN), part of Australian Gas Infrastructure Group (AGIG), has secured funding for the construction of Australian Hydrogen Centre, which aims to assess hydrogen potential for local gas networks in South Australia and Victoria.

Scheduled for completion by mid-this year, the new centre is backed by more than A$4m ($2.6m) in government funding, industry cash and in-kind contributions.

Led by AGN in partnership with Neoen, AusNet Services and ENGIE, the project will undertake feasibility studies into integration of 10% renewable hydrogen into the gas distribution networks.

Australia aims to use hydrogen as greenhouse gas free fuel in gas distribution networks

The project will support the government’s aim to use hydrogen as a greenhouse gas free fuel in gas distribution networks.

South Australian Minister for Energy and Mining Dan van Holst Pellekaan said: “The Australian Hydrogen Centre’s ambitious research will explore the pathways required to decarbonise the South Australian and Victorian gas distribution networks by identifying methods to scale up renewable hydrogen production and consumption.

The centre will leverage insights and data from the AGN’s A$11.4m Hydrogen Park South Australia (HyP SA) project.

After coming online in mid-2020, the project will demonstrate a 5% hydrogen blend in gas distribution to 710 properties in Adelaide.

Pellekaan added: “A 5% hydrogen blend is the first important step to reducing gas related emissions, and will help accelerate renewable hydrogen into the South Australian economy.

“Producing a clean burning gas like renewable hydrogen supports South Australia’s intention to be net-zero emissions from electricity generation by 2030s and net-zero emissions across the state by 2050.”

The project will feature 1.25MW proton exchange membrane electrolyser, which makes use of purchased renewable electricity to split water into oxygen and hydrogen gas.

Last year, ABB was selected to deliver automation, electrification and instrumentation solutions for the Hydrogen Energy Supply Chain (HESC) pilot project in Australia.