Japanese government funds SA green hydrogen export project

Japanese government

The Japanese government has awarded funding to Marubeni Corporation to export South Australian green hydrogen to the Indo-Pacific region. 

This is a pilot project that is part of Japan’s Ministry of Environment program to cooperate with developing countries to reduce greenhouse gas emissions. 

At the COP 26 talks in Glasgow on 11 November, the project was showcased in a presentation on “Building global supply chain of green hydrogen to support the energy transition toward a decarbonised society.” 

“This shows the success of the Marshall government’s Hydrogen Action Plan in attracting investment, working with critical trading partners such as Japan,” minister for Energy and Mining, Dan Van Holst Pellekaan said. 

“For a number of years, we’ve been building relationships with key governments and companies who are interested in hydrogen produced by renewable energy. It’s wonderful to see these partnerships solidifying into investments.” 

Marubeni Corporation will procure green hydrogen derived from renewable energy in South Australia and is working with the state government on project development, including site selection. 

“Today’s side event is a great start to our bilateral cooperation between Japan and Australia to expand the green hydrogen market and build an international supply chain in the Indo Pacific area, including the island countries in the Pacific,” Minister of the Environment, Japan, Tsuyoshi Yamaguchi said. 

“South Australia and Japan’s partnership on green hydrogen projects continues to gather momentum and I’m delighted that we will be further collaborating on realising both Australia and Japan’s goal of creating a carbon-neutral society through the export of low-cost, green hydrogen, produced by renewable energy resources from South Australia,” minister for Trade and Investment Stephen Patterson said. 

“Marubeni is an important partner for the South Australian government in supporting and showcasing that low-cost hydrogen production can be achieved right here in South Australia. It’s an exciting time for both our regions as we aim to reach a sustainable future.” 

South Australia was Marubeni Corporation’s preferred location to capitalise on its available and high-quality natural resources, along with the state’s developed infrastructure. 

Fewer than five projects were announced on the Japanese Pavilion side-event at COP26, looking at ways to further hydrogen technology in export markets. 

South Australia is in a unique position with an abundance of wind and sun already being converted to renewable energy, minister van Holst Pellekaan said. 

“The Marshall government has big ambitions of net-100 per cent renewables by 2030, and 500 per cent of current grid demand in renewable energy by 2050. That’s thousands of jobs expanding renewable energy for decades in South Australia,” he said. 

“It is an exciting opportunity for South Australia to showcase to the world that we are ideally located for low-cost, clean hydrogen production to help others to reach their carbon emissions reduction targets. 

“The Marshall government is securing our future harnessing our abundant renewable energy to become a renewable energy exporter, cutting emissions here and abroad.” 

Both Patterson and van Holst Pellekaan said they are looking forward to working with the Japanese government and industry representatives to progress the project. 

“We congratulate the Japanese government and the Marubeni Corporation, along with its industry partners, on this exciting venture,” they said. 

For further information on renewable energy projects, visit www.invest.sa.gov.au/projects. 

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