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He said: “We’re already [a] major hydrogen pro- goals around developing a leading hydrogen
ducer. We use hydrogen to produce fertilisers industry.
and plastics and other materials now. But there Since then, the government has taken several
is potential, over time, to migrate towards green important steps forward.
hydrogen and to use carbon capture and storage Australia agreed in early September to con-
[CCS] to decarbonise the process of producing duct a joint study with Germany on the devel-
hydrogen.” opment of a hydrogen supply chain between the
Canberra’s balanced approach to the green- two countries. Australian Trade Minister Simon
blue debate is good news for the country’s gas Birmingham described the agreement at the
players, which have begun arguing against full time as “critical” to developing “Australia’s future
electrification of the economy in order to reach as a powerhouse in clean energy exports”. The EC strategy’s
net-zero emissions by 2050. The agreement follows a similar deal signed at
Counter point: Australia’s leading gas indus- the start of the year with Japan, and another with priority is the
try bodies released a joint report on September South Korea in November 2019.
25 that highlighted the economic and climate Australia, which last year took the global top large-scale
benefits of using hydrogen within the existing spot in terms on LNG exports, needs to future- deplloyment
natural gas grid. proof its gas industry amid an increasing push by
The major conclusion of the report, “Gas the world’s biggest importers to embrace alter- of carbon-free
Vision 2050: Delivering a Clean Energy Future”, native fuels.
is that net-zero emissions can be reached with green hydrogen,
hydrogen at half the cost of full electrification. If you’d like to read more about the key events shaping
Energy Networks Australia’s acting CEO, Asia’s oil and gas sector then please click here for produced from
Tamatha Smith, said: “Policy settings aimed NewsBase’s AsianOil Monitor. water using
at reducing emissions should recognise that
continuing to use gas infrastructure is the low- Europe at the forefront renewable power
est-cost option to reach net-zero emissions from Europe is at the forefront of hydrogen develop-
the energy sector by 2050.” ment. The European Commission published its
Australian Petroleum Production and Explo- long-awaited strategy for hydrogen in July, in
ration Association (APPEA) CEO Andrew which it supports the fuel as a means of decar-
McConville said: “The report highlights the bonising economic areas which renewables
vital role of natural gas in emissions reduction alone cannot reach.
through fuel switching from more emissions-in- The strategy’s priority is the large-scale
tensive fuels to gas. Gas is also one of Australia’s deployment of carbon-free green hydrogen, pro-
most important exports, contributing AUD47bn duced from water using renewable power. But it
[$33.04bn] to our economy in 2019-20.” also accepts that in the short to medium term,
Canberra released its National Hydrogen some gas-based hydrogen will be needed as long
Strategy in November 2019, making clear its as it is decarbonised using CCS.

P8 www. NEWSBASE .com Week 39 01•October•2020