Federal Government pledges $140m to WA hydrogen hubs

The Federal Government has announced a $140m funding commitment towards two new hydrogen hubs in Western Australia.

The funding will be split between bp’s Kwinana green energy hub and the Government’s Pilbara Hydrogen Hub, with the two new hubs expected to create more than 3,600 jobs and attract over $410 million in new private and public investment to the state.

The WA State Government has already budgeted $70 million to support the Pilbara Hydrogen Hub alongside a range of local and international partners.

Alannah MacTiernan, WA Minister for Hydrogen Industry, said the commitment will supercharge its renewable hydrogen industry, helping to stimulate local demand for hydrogen to get production projects off the ground.

“Renewable hydrogen presents a big opportunity for industries right across WA to reduce their emissions and embrace a cleaner future, and our funding commitment to demand stimulation will help companies take that leap.”    

The bp hub, being developed in partnership with Macquarie Group, will produce hydrogen to support domestic and export demand including hydrogen supply for bp’s renewable fuels production, ammonia, metals and minerals processing, on-site gas blending, and hydrogen for heavy duty transport.

Frédéric Baudry, President of bp Australia and SVP fuels and low carbon solutions, Asia Pacific, said bp’s Kwinana hydrogen hub is further demonstration of its progress to becoming a net zero company.

“We believe hydrogen will play a central role in the decarbonisation of Australia’s hard-to-abate sectors – particularly heavy industry, mining and transport – and we have the experience, expertise and commercial partnerships to make that happen.” 

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