Construction has commenced on the $65 million Hydrogen Park Murray Valley project, which is set to produce up to 500t of renewable hydrogen each year once complete.
The Australian Gas Infrastructure Group (AGIG) said that this construction milestone is kickstarting the energy transition for Albury-Wodonga’s gas network and providing a new source of renewable energy for regional industry, homes and businesses.
A 10MW LONGi Hydrogen electrolyser will form the centrepiece of the project and will have eight times the capacity of the largest electrolyser currently operating in Australia, enabling Hydrogen Park Murray Valley to generate approximately 500t of renewable hydrogen and eliminate upwards of 3,000t of emissions each year.
The renewable hydrogen from the facility will be blended into the local network at up to ten per cent by volume to commercial and industrial gas users, and around 40,000 Albury-Wodonga homes and businesses.
Acting AGIG CEO, Cathryn McArthur, said the start of construction is a positive signal about the potential for renewable gases in the energy transition.
“This is a project of significant scale, which brings us one step closer to establishing a renewable gas industry in Australia and responds to the needs of customers for more renewable generation to support Australia’s energy transition.
“AGIG is committed to reducing emissions and we believe that renewable gases can play a critical role through the transition – this will be our third hydrogen project, following the success of our renewable Hydrogen Park facilities in South Australia and in Gladstone.”
Ms McArthur said that AGIG has been encouraged by the interest from community and industry in the Murray Valley project, which includes the recent signing of a Memorandum of Understanding with North East Water to explore the potential to use recycled water from its wastewater treatment plant as well as supplying it with surplus oxygen from the hydrogen production process.
“Importantly, this project is demonstrating the potential for industry to have greater flexibility in how they reduce their emissions, either by using blended gas delivered through the network or by purchasing renewable gas through a certificate scheme,” Ms McArthur said.
Mars Petcare has become the first business in Australia to take this path to reduce its carbon footprint, securing all renewable gas guarantee of origin certificates allocated to production at Hydrogen Park Murray Valley for its important food manufacturing business under GreenPower’s Renewable Gas Certification scheme.
Hydrogen Park Murray Valley is financially supported by the Australian Renewable Energy Agency, the Victorian Government and the Clean Energy Finance Corporation.
“We thank the Australian and Victorian Governments for their support of this project, along with our project partners and the Albury-Wodonga community for welcoming this important facility,” Ms McArthur said.
Federal Minister for Climate Change and Energy, Chris Bowen, said that the Hydrogen Park Murray Valley project represents a milestone investment in Australia’s clean energy future.
“Producing renewable hydrogen on this scale has never been done in Australia before, so this project is blazing a trail to scale up green hydrogen production, and that’s why we’re backing it,” Mr Bowen said.
Federal Assistant Minister for Climate Change and Energy, Josh Wilson, said that the Federal Government is investing to ensure Australia can reach its potential as a renewable energy superpower, with the $4 billion Hydrogen Headstart program and a $2 per kilogram hydrogen production tax incentive to scale up development of Australia’s renewable hydrogen industry.
“The Hydrogen Park Murray Valley project provides an excellent opportunity to blend renewable hydrogen into the local gas network to power thousands of homes and businesses in the Victoria–New South Wales border region,” Mr Wilson said.
“Once complete, the plant will be producing renewable hydrogen that reduces local emissions from day one, with the potential to supply additional markets as they move towards net zero.
“It’s an exciting opportunity to invest in the decarbonisation of households and local industry, while securing Australia’s net zero energy future.”
Federal Member for Indi, Helen Haines, said “Wodonga has a very strong and proud history of manufacturing and industry, and this is an exciting project for the innovation and future development of green hydrogen, not only for our region but for our nation.”
Mars Petcare General Manager, Craig Sargeant, said that Mars Petcare Australia is proud to play a leadership role in helping to create a renewable energy hub in north-east Victoria and a key part of this is working together with AGIG to purchase all of the renewable gas guarantee of origin certificates at Hydrogen Park Murray Valley.
“This is all part of our pathway to net zero carbon emissions at the Mars Petcare Wodonga site,” Mr Sargeant said.
North East Water Managing Director, Jo Murdoch, said, “By collaborating with AGIG on this project, we’re creating circular economy synergies between our upgraded wastewater treatment plant and the new hydrogen facility, with the potential to supply biogas, enriched oxygen, and recycled water for a more sustainable future.”
